How To Get Free Credit Counseling for Chapter 7 Bankruptcy

Before you can file for Chapter 7 bankruptcy, federal law requires you to complete a credit counseling course from an approved provider. The course typically costs $10-$50, but most filers qualify for a fee waiver based on income. If your household income is below 150% of the federal poverty guideline, you can take the course for free. You just need to apply for the waiver when you sign up. If approved, you'll get your certificate at no cost.

Can You Get a Free Credit Counseling Certificate for Chapter 7?

Yes, and many filers do.

To get a free credit counseling certificate, apply for a fee waiver when you register for the course. Approval is based on your income relative to federal poverty guidelines.

If your income is below 150% of the federal poverty guideline for your household size, you'll likely qualify to have the course fee waived entirely. For 2026, that means:

• Single person household: Annual income below $22,590
• Two-person household: Annual income below $30,660
• Three-person household: Annual income below $38,730
• Four-person household: Annual income below $46,800

If you're over the threshold, you'll need to pay the listed fee, usually between $10 and $50 depending on the provider.

How Do I Get a Fee Waiver for the Credit Counseling Course?

When you sign up for your credit counseling course, the agency will usually ask if you want to apply for a fee waiver during registration. If they don't mention it, ask. Most agencies process waiver requests routinely.

Once you indicate you'd like to apply, the agency will tell you what they need. Typically, that includes:

• Recent pay stubs (last two pay periods)
• W-2s or 1099 forms from the previous year
• Social Security award letters, if applicable
• Unemployment or disability benefit statements
• Information about your assets (bank accounts, vehicles, valuables)

Most agencies respond within 72 hours. You'll receive an email confirming whether your waiver was approved.

If approved, you can take the course immediately without paying. If denied, you'll need to pay the listed fee before starting the course. Either way, you must complete the course before filing your bankruptcy petition.

Step-by-Step: How To Apply for a Free Credit Counseling Course

Here's how to navigate the process, start to finish.

Step 1: Find an Approved Credit Counseling Agency

You must use an agency approved by the U.S. Trustee Program. The official list is on the Department of Justice's website at justice.gov/ust. Search by state or district to find approved providers in your jurisdiction.

Once you've selected an agency, create an account on their website. You won't pay anything to register. The fee (if you end up paying one) comes later, after you've applied for the waiver.

If you're using Talk About Debt's free Chapter 7 filing tool, Zero will guide you through this step and connect you with approved credit counseling providers when it's time to complete your course.

Step 2: Fill Out the Credit Counseling Fee Waiver Application

After you create your account, look for the fee waiver option. It's usually presented during the registration flow or on a page labeled something like "Fee Waiver Eligibility."

The application will ask about:

• Your household size and total monthly income
• Sources of income (wages, Social Security, unemployment, disability)
• Assets you own (bank balances, vehicles, jewelry, other property)

Have your financial documents ready. You'll need to upload or email proof of income like pay stubs or benefit statements. Some agencies also ask for a list of your assets with estimated values.

Keep this information handy. You'll use the same details when you fill out your bankruptcy petition forms.

Step 3: Wait for Approval (Usually Within 72 Hours)

Once you submit your application and documents, the agency will review your request. Most respond within three business days via email.

If you're approved, you can log in and start the course immediately at no charge. The course itself takes 60-90 minutes and can be completed online at your own pace.

If your waiver is denied, you'll need to pay the course fee before proceeding. But you can still complete the course and get your certificate the same day.

Step 4: Complete the Course and Download Your Certificate

The credit counseling course covers your debt relief options, including bankruptcy, debt management plans, and debt settlement. You'll review your budget and financial situation with a counselor (usually via phone or online chat).

At the end of the course, you'll receive a certificate of completion. You must file this certificate with your bankruptcy petition. Without it, the court will dismiss your case.

The certificate is typically available for download immediately after you finish the course. Save a copy and keep it with your bankruptcy paperwork. You'll need to upload it when you file.

What If I Don't Qualify for a Fee Waiver?

If your income is above 150% of the federal poverty guideline, you'll need to pay the course fee. Most agencies charge between $10 and $50. Some accept payment plans if you can't pay the full amount upfront.

Even if you don't qualify for a waiver, the credit counseling requirement still applies. You can't file Chapter 7 without completing the course within 180 days before your filing date.

If the cost is a barrier, check with multiple approved agencies. Prices vary, and some providers charge less than others. A few agencies also offer sliding-scale fees based on income, even if you don't qualify for a full waiver.

Do I Need To Take the Course Again if My Case Is Dismissed?

It depends on timing.

Your credit counseling certificate is valid for 180 days from the date you complete the course. If your case is dismissed and you refile within that window, you can use the same certificate.

If more than 180 days have passed, you'll need to take the course again and get a new certificate. The same fee waiver rules apply, so you can reapply if you're still under the income threshold.

Is the Credit Counseling Course the Same as the Debtor Education Course?

No. These are two separate requirements.

The credit counseling course must be completed before you file your bankruptcy petition. It helps you evaluate whether bankruptcy is the right option.

The debtor education course (also called the financial management course) must be completed after you file but before your debts are discharged. This course teaches budgeting and money management skills to help you stay financially stable post-bankruptcy.

Both courses are required for Chapter 7 and Chapter 13 bankruptcy. Both have fee waiver options based on income. If you qualified for a waiver on the credit counseling course, you'll likely qualify for the debtor education waiver as well.

Ready To Start Your Chapter 7 Filing?

If you're preparing to file Chapter 7, Talk About Debt's free filing tool walks you through every step, including connecting you with approved credit counseling providers when it's time to complete your course. Zero, our AI-powered assistant, guides you through the forms, imports your credit report automatically, and helps you apply state-specific exemptions to protect your property.

Check your eligibility in about two minutes. If you qualify, you can start preparing your petition immediately at no cost. Once your forms are complete, you'll review them with a licensed attorney before filing.

This article is for educational purposes only and does not constitute financial or legal advice. Bankruptcy law varies by jurisdiction, and individual circumstances differ. Consult a licensed bankruptcy attorney for guidance on your specific situation.