Oklahoma Bankruptcy HelpDo I Really Have to Get Credit Counseling Before Bankruptcy?

“Yes” is the answer to the question of, “Do I really have to get credit counseling before bankruptcy in Oklahoma?” Since the Bankruptcy Abuse Prevention and Consumer Protection Act (BAPCPA) was enacted in 2005, everyone filing personal bankruptcy in Oklahoma must first receive credit counseling.

Credit Counseling before Bankruptcy in Oklahoma

You must complete a credit counseling session no more than 180 days before you or your attorney file bankruptcy, according to the Federal Trade Commission (FTC).

Also, you cannot go to just any credit counselor; the organization must be on a list of those approved by the Department of Justice’s U.S. Trustee Program.

Finally, you will receive a certificate showing you completed credit counseling before bankruptcy. In order to prevent debtors from falsifying certificates, these are specially numbered and kept track of through a central automated system.

Additional Counseling is Required

Debtors also must complete a second session before receiving official forgiveness of their debts (also known as a bankruptcy discharge). This session cannot be completed at the same time as the pre-bankruptcy credit counseling session, warns the FTC.

You also must get a certificate that proves you completed the pre-discharge counseling session. A credit counselor cannot charge you extra money for these two required certificates unless it was previously disclosed to you.

Logistics

These credit counseling sessions can be completed online, in person, or over the telephone.

If you truly cannot afford to pay for one or both credit counseling sessions, the organization is supposed to give you a fee waiver. The government requires all fees be disclosed to a debtor before the organization provides the session. The fee may vary, but is usually in the ballpark of $50 for the first session and $100 for the second meeting.

The first credit counseling before bankruptcy meeting usually lasts about an hour to an hour and a half; the second session could last as long as two hours.

Purpose of Credit Counseling

According to BAPCPA, the purpose of requiring credit counseling before bankruptcy is to explore alternatives to debt relief as well as to teach financial management tools aimed at preventing future bankruptcies. It is also possible to find out information such as whether you qualify for bankruptcy in Oklahoma.

Initial Strategy Session: Tulsa Bankruptcy Attorney

Bankruptcy law and its forms are complicated, and mistakes will cost you. It is important to get the forms right the first time.

Because we have worked with so many clients, we know how to do the filings right and how to make the process efficient. Our goal is to make affordable debt relief in Tulsa available to anyone who needs to get out from under debt and back on top of their financial life.

Get out from under by calling for the help you need today. We are here to help.

To receive your low-cost initial bankruptcy analysis, call Freedom Financial Bankruptcy Lawyers of Tulsa today at 918-786-9600.