How Much Does It Cost To File Bankruptcy?

how to file for bankruptcy

by Scott Mitchell • January 25, 2008

It costs money to declare bankruptcy. Seems backwards, doesn’t it?

You have no money, which is why you’re filing for bankruptcy, yet it costs money to file bankruptcy. There really is not such thing as a free lunch! (and Bankruptcy is no free lunch, let me tell you)

Bankruptcy Costs

The us bankruptcy courts have filing fees. The cost of bankruptcy chapter 7 is a filing fee of $299, Chapter 13′s filing fee is $274. On top of that you have…

Attorney Fees

That’s not so bad, right? Well, hold your horses, that doesn’t include a lawyer!

Look, I had enough trouble just filling out the paperwork that my lawyer gave me. I can’t imagine trying to fill out and gather all the necessary paperwork and deal with the trustee all by myself.

When you’re thinking about Bankruptcy, it’s likely you’re very stressed (I know I was…heck, I still am). Most lawyers will have an option to pay their fee in installments. If they don’t….move on.

That said, I wouldn’t recommend the cheapest lawyer in your area either. I’d look for perhaps newly on

their own bankruptcy attorney. Often new lawyers will work at a large firm out of Law School for a few years, then strike out on their own practice.

My experience with my lawyer was that although she was younger, she was very experienced (had worked at a large firm for a few years), but not outrageously expensive because her own practice was fairly new. Obviously this is just my two cents, most Bankruptcy attorneys will give you a free initial meeting. Setup 3-4 in a day, and see who you feel most comfortable working with and who is willing to work with your financial situation.

You’re going to end up paying anywhere from $700-$2000 to file Chapter 7. depending on what area of the country you are in. In my opinion having a lawyer severely lowered my stress during this whole process.

Setup a free evaluation. Best thing I did

A local bankruptcy attorney can help you understand the differences between Chapter 7 bankruptcy and Chapter 13 bankruptcy, so that you can make an educated decision about the best next step for you. Fill out the form below for a free bankruptcy case evaluation.


Category: Bank

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