Many bankruptcy filers are more concerned about getting rid of their debt then they are of the credit counseling legally required before your bankruptcy can be closed. Since you have to attend this meeting, you might as well gain some long term benefit from it.
When you find yourself overwhelmed in debt, often it is from mismanagement of your finances. While yes, it’s true, medical emergencies, loss of a job, and huge unexpected expenses can also knock us off our financial plan. The counseling should cover credit and financial planning to help you avoid what may have brought you to bankruptcy in the first place.
Fees and Plans
Make sure the agency you choose actually gives you financial advice instead of trying to sign you up for a debt management plan or DMP to pay towards your debt. Other questions to ask are:
- What services do they offer?
- Do they offer free information?
- Is there a list of fees and how much you will pay for the services?
- Are their employees paid more if a consumer signs up for certain programs or services?
- Will you keep my information confidential?
- What credentials or licenses do the counselors that are working have? You want to ensure they have the skills to give you sound advice.
The whole idea of credit counseling is to show you how to make better financial decisions in the future. Don’t be pressured to sign up for any repayment plans. Your counselor should be impartial and also give you information on bankruptcy options to help relieve your debt situation.
If you would like more information on bankruptcy and credit counseling services, contact a Plano bankruptcy attorney near you.