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What Happens During the Post-Bankruptcy Debtor Education Course

Kane County bankruptcy attorneysBankruptcy gives you the chance at a fresh, new start, but it is up to you to ensure you make the most of that start. This means you have to do things different and ensure you protect yourself from unnecessary or excessive debt in the weeks, months, and years to follow. Bankruptcy counseling, which is required before and after bankruptcy, can help you obtain the skills and knowledge you will need to restart your credit and maintain it, long into the future.

Why Do I Need Bankruptcy Debtor Education?

The U.S. Bankruptcy Code mandates that you receive two types of bankruptcy counseling: credit counseling before you file, and debtor education after. Although they sound similar, they are actually quite different. Credit counseling examines your financial situation before bankruptcy to determine if a budget or repayment plan can help you avoid filing. Debtor education, done after you file, is designed to help you focus on building credit and healthy debt management practices. Failure to comply and complete either course could result in a denial of your bankruptcy discharge.

Finding a Debtor Education Course

Debtor education courses can be taken online, in person, or over the phone. Sometimes, credit counselors provide special packaging options if you obtain both courses through their company. If you wish to take advantage of their offer, or if you prefer to continue working with the same agency, you may obtain debtor education certification through the same company. However, debtor education and credit counseling must still be done separately.

Alternatively, you may choose any other provider that is certified with the United States Department of Justice (DOJ) and your local courts. This is critical because, without proper certification, your debtor education course will not be considered valid. A list of approved providers can be found on the DOJ’s website, or you can consult your attorney to find an approved debtor education provider in your area.

What to Expect During Debtor Education

Your debtor education course can help you learn how to efficiently save and manage money, use and build your credit wisely, make and follow a budget, and deal with financial crises. You will also learn how to set and reach financial or credit goals and how you can protect yourself from credit scams, including those involving fraud and identity theft. This information, though beneficial in developing a healthy relationship with your credit, should not be misinterpreted as legal advice. Debtor counselors are not attorneys, which makes them ill-equipped when it comes to advising their clients on complex legal matters.

If you are planning on filing for bankruptcy, the assistance of an experienced bankruptcy can be critical to the outcome of your case. The Thomas Law Office, offers both standard and complex divorce bankruptcy services to ensure you have the representation you need and deserve. Dedicated to your best interest, and your financial future, we proudly serve clients in Algonquin, Huntley, and Woodstock. Call 847-426-7990 and schedule your consultation with our experienced Elgin, IL bankruptcy lawyers today.

Sources:

http://www.uscourts.gov/services-forms/bankruptcy/credit-counseling-and-debtor-education-courses

http://www.hib.uscourts.gov/forms/packages/CreditCounselingDebtorEd.pdf

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