What is pre-bankruptcy credit counseling?
A. Under the provisions of BAPCPA (the 2005 Bankruptcy Code Changes), any bankruptcy debtor must consult with a US Trustee certified Consumer Credit Counseling agency about the availability of credit counseling and a debt management plan prior to the filing of their bankruptcy petition. This consultation can be done in person, by phone, or by internet. Upon completion, a certification of compliance will be prepared and this will be filed with the Bankruptcy Court along with the Bankruptcy petition. A credit counselor is prohibited from providing legal advice and can only explain the option of credit counseling.
