You do not have to necessarily get credit counseling before you can file for bankruptcy.
Most states do not require you to take a credit counseling course before filing bankruptcy. This is typically a volunteer activity.
The purpose of credit counseling is to let a person know ways to reduce their debt. They also counsel people in ways to stay out of debt. A person might need credit counseling if they are about to file for bankruptcy.
Filing for bankruptcy is a complicated process and one should consider hiring a lawyer to help with the filing process. You also need to undergo credit counseling and be aware of what type of bankruptcy to file.
Go to the US Trustee's Website. This is the link http://www.usdoj.gov/ust/eo/bapcpa/ccde/index.htm.
Yes, you need to have some form of credit counseling approved by the U.S. Trustees program. You must also take a finacial management course before you file for bankruptcy. The best thing to do is hire an bankruptcy attorney to guide you through the process.
The fact that you have a repossession on your credit report is not a determining factor of whether your can file for bankruptcy. Generally in bankruptcy you can remove the debts from the repossession of your vehicle.
The bankruptcy will appear on their credit if you include this card in your bankruptcy. If you leave the card off the bankruptcy, it will not effect their credit.
Good question. There is a common misconception that bankruptcy is simple to file for and everyone who does so gets approved. In reality, neither of those are true. Successfully completing a bankruptcy proceeding can be a difficult process. However, there is a good deal of work you must do before you can file for bankruptcy. First, you are required to complete a "means test." This is a complicated calculation that determines your ability to pay your creditors. It also compares your financial status to the average person in your area. If you pass this means test, you are allowed to file a Chapter 7 claim in Bankruptcy court - otherwise, you can only file a Chapter 13 bankruptcy claim. The next step involves undergoing credit counseling. Bankruptcy law requires that you complete this counseling before going through the bankruptcy process. Finally, you can file for bankruptcy. In addition to filing, you must submit a bundle of paperwork with the Bankruptcy court. This paperwork includes information about your income, debts, assets, and personal information.
If you are surrendering your house anyways, it is usually better for your credit score if you do it through bankruptcy. If your house is foreclosed on before you file bankruptcy, then your credit score is hit by both the foreclosure and the bankruptcy. If you let your house go back through bankruptcy, instead, then your credit score is only hit by a bankruptcy.
Thier actions, or lack, do not effect your ability to file for bankruptcy.
You have to, it is a debt...it is just a secured debt...by the lien on the property.
Chapter 13 is a federal law, which means it is the same in all 50 states. See 11 USC 1301 et seq. The U.S. Constitution calls for a uniform set of bankruptcy laws. The exemptions available to Chapter 13 debtors, on the other hand, differ by state. The homestead exemption in Michigan, for example, is $35,300 in most cases.