Author Box
Articles Categories
All Categories
Articles Resources

How Much Does Filing Bankruptcy Cost?

April 13, 2012 | Comments: 0 | Views: 109

How much does filing bankruptcy cost? To answer this question, you first have to define what kind of bankruptcy you are filing. Personal bankruptcy is filed as Chapter 7 bankruptcy. If you do not qualify for Chapter 7 bankruptcy, you may need to file Chapter 13 bankruptcy.

Here's a look at what you can expect a personal bankruptcy program to cost.

Filing Fee

First, there are the bankruptcy filing fees run about $299 for Chapter 7 bankruptcy. This is a flat fee that is established by the federal government so it is the same no matter where you live. Typically, payment arrangements can be made on this fee.

Attorney Fees

Attorney fees will range anywhere from $700-$2,000. Obviously, you are filing for bankruptcy because you in debt, so many attorneys offer a payment program to make these fees manageable.

Now let's talk about the other "costs" besides money. According to consumer affairs, here are a few other costs you should consider.

  • You will lose all your credit cards (unless you pay them off before filing.)
  • You may also have to sell some possessions.
  • Any time you apply for a job, an apartment, or credit you may be asked if you ever filed for bankruptcy.
  • A recent bankruptcy makes it nearly impossible to get a mortgage (although you may be able to do so within approximately five years).
  • A bankruptcy stays on your credit report for up to 10 years, which can make it difficult to acquire credit, buy a home or car, get life insurance, or sometimes get a job.
  • Not all debts may be "discharged" in a bankruptcy. Student loans and back taxes (within 3 years) are prime examples of debts that will not be discharged.
  • If you declare bankruptcy, your name will be in court records and may appear in the newspaper.
  • You will have to explain to a judge or trustee how you got into a financial mess and this can be an embarrassing moment for you.
  • It may be a long time before you are able to get credit cards again.

So, you definitely want to look at all of you options before filing bankruptcy. For some people it may be the only choice but for most people, there are other debt reduction programs available that will have less effect on your credit and allow you to keep your assets and start over again.

Source: EzineArticles
Was this Helpful ?

Rate this Article

Article Tags:

Filing Bankruptcy


Filing Bankruptcy Cost


Debt Help


Chapter 7 Bankruptcy

The 3 Month Payday Loans is most suitable options for the people who do not possess assets. There are a variety of loan options for the people who are willing to pledge assets against the cash

By: Cameron white l Finance > Personal Finance l July 09, 2013 lViews: 561

For many people, bankruptcy can make their world fall apart. The apparent loss of reputation coupled with the inability to take financial decisions can deter anyone from thinking clearly. But all is

By: noragwilt l Finance > Bankruptcy Lawyers l November 18, 2012 lViews: 304

If you are availing payday loans with monthly payments, it is easy for you to obtain quick money from online lending companies.By getting the best deals of loan, you can save money in terms of

By: Malen Cheks l Finance > Loans l November 16, 2012 lViews: 289

Loans online have become the popular source of income and people can make smart decision of taking it.Now, don’t go anywhere and sit in your home silently. Such deals would bring you money without

By: Marsh Jone l Finance > Loans l November 13, 2012 lViews: 288

Loans for the unemployed would let you feel comfortable with your unstable conditions due to jobless period.If you compare the rates of a few lenders, you would definitely get the suitable lender to

By: kelse roy l Finance > Loans l November 13, 2012 lViews: 467

By taking cash advance for bad credit, it is easy for you to improve your credit status. This loan is useful to relieve financial stress. This loan is totally free from credit verification and

By: Honard Nork l Finance > Loans l November 09, 2012 lViews: 301

As experienced bankruptcy attorneys, we know that people are forced to file for bankruptcy for many reasons. Though sometimes circumstances are outside of your control (sudden unemployment, high

By: Christopher Ml Finance > Bankruptcyl June 15, 2012 lViews: 219

With the innovations caused by the development of the internet years ago, a lot has changed, specifically in the world of customer service. You can now get product information online, contact

By: Anthony Clinel Finance > Bankruptcyl June 13, 2012 lViews: 183

If your business is struggling and you decide to file bankruptcy there are several options available for your consideration. You don't necessarily need to close your business down. Understanding the

By: David Changl Finance > Bankruptcyl June 12, 2012 lViews: 203

If you are not able to fill the bankruptcy forms on your own, then you should take help from the many financial helpers in the market. However, let me tell you one thing straight. It is a good sign

By: Muhammad Azam Goharl Finance > Bankruptcyl June 12, 2012 lViews: 146

When it comes to bankruptcy, there's a lot of information you need to know. Finding all of this in one source can be difficult and frustrating for many people. You probably have a lot of questions at

By: Christopher Ml Finance > Bankruptcyl June 12, 2012 lViews: 312

According to Dave Ramsey, bankruptcy is in the top five worse things that can happen to you in a life time. It stands near divorce, illness, disability and loss of a loved one. After all bankruptcy

By: Krzysztof Wasilakl Finance > Bankruptcyl June 11, 2012 lViews: 174

Discuss this Article

comments powered by Disqus