Understanding the U.S. List of Approved Credit Counseling Agencies
How the U.S. Trustee Program approves credit counseling agencies and how debtors can safely use the official list when preparing for bankruptcy.
The United States Trustee Program maintains a nationwide list of approved credit counseling agencies that are authorized to provide the counseling required before an individual can file for bankruptcy in federal court. This list is published pursuant to 11 U.S.C. § 111, the provision of the Bankruptcy Code that sets standards for nonprofit budget and credit counseling agencies and personal financial management course providers.
This article explains what the official list is, how it is created, why approval matters for debtors, and how you can use it to choose a reputable provider that meets legal requirements and protects your financial interests.
What Is the Federal List of Approved Credit Counseling Agencies?
Under federal bankruptcy law, the clerk of the bankruptcy court must keep a publicly available list of agencies currently approved by the United States Trustee to provide required credit counseling and debtor education. The Department of Justice makes this information accessible online through the U.S. Trustee Program.
At a high level, the official list:
- Identifies agencies that have been formally reviewed and approved under 11 U.S.C. § 111.
- Organizes providers by state, U.S. territory, or commonwealth and often by judicial district.
- Indicates which agencies offer services in specific languages, typically English plus other languages.
- Provides contact information or website details so debtors can reach agencies directly.
The list is not a recommendation or endorsement of any particular provider; instead, it is a compliance tool that confirms which agencies meet the statutory criteria to offer bankruptcy-related counseling.
Legal Foundation: 11 U.S.C. § 111 and Credit Counseling Requirements
Section 111 of the Bankruptcy Code outlines the approval process and standards for nonprofit budget and credit counseling agencies and personal financial management course providers. It interacts closely with other provisions, especially the requirement that individual debtors obtain credit counseling prior to filing.
Public List Requirement
11 U.S.C. § 111(a) requires the clerk of the court to maintain a list of:
- Nonprofit budget and credit counseling agencies approved to provide services described in the pre-filing counseling requirement.
- Personal financial management instructional courses approved as post-filing debtor education.
This list must be publicly available, which is why it is posted online and also accessible at bankruptcy clerks’ offices.
Standards for Approval
Section 111(c) sets detailed standards for approval of credit counseling agencies. The United States Trustee may only approve an agency that demonstrates it can:
- Provide qualified counselors with adequate experience.
- Maintain adequate safeguards for client funds.
- Offer thorough counseling for client credit problems.
- Deal responsibly with service quality, effectiveness, and financial security.
Additional statutory requirements include having an independent board of directors, charging reasonable fees, providing services regardless of ability to pay, fully disclosing funding sources and potential impacts on credit reports, and demonstrating experience and financial stability.
Why Credit Counseling Approval Matters for Bankruptcy Filers
Most individuals must complete a credit counseling session from an approved agency before filing for bankruptcy, with very limited exceptions. Failing to complete counseling from a provider on the official list can lead to dismissal of the case.
Pre-Filing Requirement
Federal law requires that the counseling be completed within a specific period (generally within 180 days before filing) and that it come from a government-approved provider. That provider must appear on the list maintained pursuant to § 111.
If a debtor obtains counseling from an unapproved agency, the certificate may not be accepted by the court, which can jeopardize the bankruptcy filing and cause delays or dismissal.
Post-Filing Debtor Education
In addition to pre-filing counseling, many debtors must complete a personal financial management course after filing to receive a discharge of debts. Approved providers for these courses are also listed under § 111.
Using an approved provider helps ensure that:
- The course content meets minimum standards for financial education.
- The completion certificate will be accepted by the court.
- Debtors receive practical guidance on budgeting, credit use, and long-term financial stability.
How the U.S. Trustee Program Evaluates Agencies
The United States Trustee Program is part of the Department of Justice and supervises the administration of bankruptcy cases in most federal districts. It is responsible for reviewing and approving credit counseling agencies and debtor education providers.span>
Initial Approval and Probationary Period
Agencies may be approved initially on a probationary basis if they show they can meet minimum standards such as providing trained personnel, effective instructional materials, and appropriate services. During this time, the Trustee Program can monitor performance and compliance.
| Evaluation Area | Examples of Requirements |
|---|---|
| Staff Qualifications | Trained counselors with experience in credit and budgeting; effective instructors for debtor education courses. |
| Financial Safeguards | Safekeeping of client payments; clear procedures for disbursement to creditors. |
| Organizational Governance | Independent board of directors; policies to prevent conflicts of interest. |
| Fee Practices | Reasonable fees; willingness to serve clients unable to pay. |
| Disclosure & Transparency | Clear information on funding sources, possible credit report impacts, and program costs. |
Ongoing Approval and Oversight
Approval is not indefinite. Section 111 allows agencies and course providers to be approved for specified periods (such as one year) once they demonstrate that their services are effective and maintain compliance with statutory standards.
Courts and the Trustee Program retain authority to:
- Investigate the qualifications of approved agencies.
- Revoke or suspend approval if standards are not met.
- Update the public list as agencies are added or removed.
Using the Official List to Select a Credit Counseling Agency
The federal list is a starting point for choosing an agency, but debtors should still evaluate specific providers carefully. Neither the court nor the U.S. Trustee recommends one agency over another.
Steps to Find an Approved Provider
To use the official list effectively:
- Select your state or territory on the U.S. Trustee Program website to see agencies approved for your judicial district.
- Confirm which agencies offer online, telephone, or in-person counseling based on your needs.
- Verify the language options available; if your preferred language is not listed, the site directs you to contact the Credit Counseling Unit for assistance.
- Note any limitations or special conditions associated with particular agencies (such as serving only certain districts).
Once you have a shortlist of approved providers, you can contact them directly to gather more information before making a choice.
Questions to Ask a Potential Agency
Consumer protection authorities and legal practitioners suggest asking targeted questions to evaluate an agency’s transparency and suitability. Examples include:
- What specific services do you offer (counseling only, debt management plans, education courses)?
- What are your fees, and are fee waivers or reductions available?
- What qualifications and training do your counselors have?
- How will you protect my privacy and the security of my financial information?
- How are your counselors compensated, and do they receive incentives to recommend particular services?
If an agency is unresponsive, vague, or unwilling to answer these questions, that is a warning sign that you may want to look for another provider.
Consumer Protection: Warning Signs When Choosing an Agency
While the official list helps identify agencies that meet minimum legal standards, individual experiences may still vary. External guidance highlights red flags that may indicate poor quality or problematic practices.
Common Red Flags
Be cautious if you encounter any of the following:
- The agency refuses to provide basic information about its legal name, address, history, or non-profit status before taking your personal data.
- You are asked to submit sensitive information such as your Social Security number before receiving any explanation of services.
- The agency does not appear in the official list for your district, even though it claims to provide bankruptcy-required counseling.
- No educational materials or workshops are offered, or you are charged excessive fees for basic information.
- Counselors receive commissions or bonuses based on the products or plans you choose.
It can also be helpful to check for complaints with your state attorney general or local consumer protection agency, and to review any public ratings or enforcement actions.span>
Language Access and Special Assistance
The federal list indicates which agencies provide counseling and courses in languages other than English. This helps ensure that debtors who are more comfortable in another language can still meet legal requirements and fully understand the counseling provided.
If your preferred language is not listed for any agency in your area, the U.S. Trustee Program directs you to contact its Credit Counseling Unit for guidance and possible alternatives. This may include referral to agencies in other districts offering remote services or clarification of available accommodations.
Contacting the U.S. Trustee Program About Agency Concerns
Debtors or attorneys who encounter problems with an approved agency or course provider can submit complaints to the U.S. Trustee Program. Official guidance encourages providing detailed information on the agency, dates of contact, and individuals involved so that concerns can be investigated.
Typical issues that may warrant a complaint include:
- Misrepresentation of fees or services.
- Failure to provide the required counseling or educational content.
- Improper handling of client funds or confidentiality breaches.
- Refusal to issue completion certificates despite fulfillment of requirements.
Such complaints can influence future approvals, renewals, and enforcement actions, and they help maintain integrity in the system of bankruptcy-related counseling.
Frequently Asked Questions (FAQs)
Do I have to use an agency from the official list?
Yes. To satisfy the legal requirement for pre-filing credit counseling and post-filing debtor education in bankruptcy, you must use an agency or provider that appears on the list maintained pursuant to 11 U.S.C. § 111.
Is the government endorsing these agencies?
No. The U.S. Trustee Program makes clear that listing an agency indicates it meets statutory criteria, but it does not endorse or recommend one provider over another.
Can I complete counseling online or by phone?
Many approved agencies offer online and telephone counseling, and the official list includes providers who serve debtors remotely. You must still ensure the agency is approved for your judicial district and that the mode of delivery is accepted by the court.
What happens if my agency is removed from the list?
If an agency loses approval, it may no longer provide valid certificates for bankruptcy purposes. Debtors should check the list at the time of enrollment and again before filing to make sure their provider remains approved.
How often is the list updated?
The list is updated as agencies are approved, renewed, or removed. Because approval is granted for specific time periods and can be revoked, the online version maintained by the U.S. Trustee Program and the court clerk is the most current reference.
References
- List of Credit Counseling Agencies Approved Pursuant to 11 U.S.C. § 111 — United States Trustee Program, U.S. Department of Justice. 2024-05-01. https://www.justice.gov/ust/list-credit-counseling-agencies-approved-pursuant-11-usc-111
- 11 U.S.C. § 111: Nonprofit Budget and Credit Counseling Agencies — Office of the Law Revision Counsel, U.S. House of Representatives. 2023-01-03. https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title11-section111
- Credit Counseling & Debtor Education Information — United States Trustee Program, U.S. Department of Justice. 2022-11-10. https://www.justice.gov/ust/credit-counseling-debtor-education-information
- Credit Counseling Requirements for Consumer Bankruptcy — Congressional Research Service. 2010-01-05. https://www.everycrsreport.com/reports/RL33737.html
- Filing for Bankruptcy: What to Know — Anthem Employee Assistance Program / Southern California Laborers. 2021-08-15. https://www.anthemeap.com/soca-laborers/plan-finances/resources/bankruptcy/articles/filing-for-bankruptcy-what-to-know
- How to Select a Credit Counseling Agency for Your Bankruptcy — Mass Bankruptcy Protection. 2022-04-20. https://massbankruptcyprotection.com/how-to-select-a-credit-counseling-agency-for-your-bankruptcy/
- Title 11—Bankruptcy § 111 (PDF) — GovInfo, U.S. Government Publishing Office. 2019-07-01. https://www.govinfo.gov/link/uscode/11/111
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