What happens to an individual's bankruptcy filing under the BAPCPA?

Under the Bankruptcy Abuse Prevention and Consumer Protection Act (BAPCPA), one of the key requirements is that individuals must undergo pre-filing credit counseling before they can file for bankruptcy. This provision was established to ensure that individuals have access to information about alternatives to bankruptcy and to provide them with resources for managing their financial situations more effectively.

The requirement for pre-filing credit counseling aims to promote responsible borrowing and spending habits and to help individuals evaluate their financial circumstances before making the significant decision to file for bankruptcy. This counseling must be completed within a specific time frame before the bankruptcy filing, and individuals must provide proof of completion when they file.

Other options do not align with the requirements outlined in BAPCPA. For instance, bankruptcy filings cannot occur without this mandatory counseling, and both Chapter 7 and Chapter 13 bankruptcy options remain available to debtors, subject to eligibility criteria. Additionally, filing fees are generally not waived for all debtors; in fact, many individuals are required to pay the associated filing fees unless they can demonstrate financial hardship that justifies a fee waiver.