Some people feel embarrassed that when they file for bankruptcy that they have to attend credit counselling and debtor education sessions. Each state has their own rules concerning this. The reason for this is the bankruptcy courts don't want individuals ending up in a bad financial state yet again. It is meant to educate individuals on how to handle debt that occurs and how to budget.
In Texas the rule is you need to attend a credit counseling course prior to your bankruptcy. This is done through services that have been approved by the bankruptcy courts. There are some exemptions to the rule of mandatory credit counseling. Those are on active military duty in a combat zone, are not required to do so. Neither are those who are deemed to be physically or mentally impaired to the point where they cannot carry out this requirement.
You will also have to attend debtor education before their bankruptcy will be discharged. This is a short course that lasts about 2 hours, and there are a variety of ways that it can be taken. It can be taken online or over the phone for example. This education focuses on budget.
While it may seem that these mandatory courses are belittling to you, they can provide you with some good information to help you with your finances in the future. Your Louisville bankruptcy attorney will explain these course requirements to you in greater detail.