Credit Counseling Required Prior To Filing Says Berwyn Bankruptcy At...

Let’s say the potential client is a Chapter 7 fresh start candidate.  We are going to go into detail on what’s involved in a Chapter 7 bankruptcy.  We’re going to talk about the paperwork that they need to gather.  For example, we need two months’ worth of paycheck stubs just before the case is filed.  So we’re going to advise our clients to keep saving their paycheck stubs.  Number two, we’re going to need the most recent federal tax return.  So we’ll try and get that in advance if we can.  Otherwise, we just need it before the case is filed. 

Lastly, under Chapter 7, the person has to take a credit counseling session.  This is a one-hour session that could be done on the computer or over the telephone or in person, and they’ll be going through information with a counselor all about their income and their expenses and who they owe and what they spend, and they’ll receive a certificate that enables them to file a bankruptcy.  Now, this has to be done prior to filing, and it cannot be more than six months before filing.  So I usually advise my clients and potential clients to wait until they’re closer to being paid in full, closer to having their case actually filed before we even think about taking the credit counseling. 

 For more information regarding filing, see Berwyn Bankruptcy Lawyer or call (847) 520-8100.