Chapter 7 Success Lawyers Chicago - Chapter 7 Bankruptcy - Prior to Filing

Chapter 7 Bankruptcy - Prior to Filing

Prior to filing, a debtor under Chapter 7 must complete a credit counseling session with a credit counseling agency approved by the office of the United States Trustee. The credit counseling session must be completed within 180 days of filing. If the credit counseling session is more than 180 days old, then the debtor is not eligible to be a debtor under Chapter 7. There are two differing opinions on whether the credit counseling session can be taken on the same day as filing or whether there must be at least a one calendar day gap between the credit counseling session and filing.
The credit counseling session can be done either in person, over the telephone or over the internet. The average cost for the session is $50.00. Joint debtors can take the credit counseling session at the same time for the total cost of $50.00.
During the session, the debtor will have to submit information about his income, expenses, assets and liabilities. The debtor will also be exposed to bankruptcy option and non-bankruptcy options. In some cases, the credit counselor will attempt to work out a debt management plan. Once the credit counseling session is completed, the debtor will be given a certificate of completion of credit counseling.

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