What is the Personal Financial Management Course (Debtor Education)?

Debtors are required to complete an instructional course in personal financial management as a condition for receiving a discharge.  This course is in addition to the credit counseling requirement. When the personal financial management course is completed, the debtor must file a Certificaiton About a Financial Management Course (Bankruptcy form 423).  If you and your spouse filed a joint petition, both of you must attend the course and both of you must file an Bankruptcy Form 423. The Certification About a Financial Management Course should NOT be filed when you file the petition.  It must be filed no later than the last payment made by the debtor as required by the Chapter 13 Plan.  If Bankruptcy Form 423 is not filed, the court may close the case without a discharge.  If you then file a motion to reopen the case to allow the filing of Othe Certificaiton, you must pay the full filing fee due for filing such a motion.

There are limited exceptions to the personal financial management course requirement such as incapacity or disability (defined in 11 U.S.C. §109(h)) or active military duty in a military combat zone.  If you believe that an exception is applicable to you, you must file a Request for Exemption from Financial Management and indicate on the Certification About a Financial Management Course that your request was granted by the court.

Click here for a list of approved Debtor Education Providers.