how much does it cost for a bankruptcy attorney

According to a recent study, the average cost of hiring a bankruptcy lawyer nationally, is $1,500 to $2,000. When this cost is broken down by state, the average fee can go as low as $800 in Idaho and $1,500 in Arizona. You should also note that legal fees in the Southwest are among the highest while those in the Midwest are among the lowest.

Full Answer

Where is the cheapest bankruptcy lawyer?

Sep 02, 2021 · The cost of a Chapter 7 bankruptcy attorney varies geographically but typically is between $800 and $2500. The fee is based on the estimated amount of time the bankruptcy attorney anticipates spending on the case. Payment plans vary, but many firms allow you to retain their services for as little as $100.

What is the average cost of a bankruptcy attorney?

Bankruptcy lawyers who charge by the hour usually break the hour into 15-minute or 6-minute increments. That may seem like little difference, but it does add up. Say, for example, you talk to your bankruptcy attorney for 5 minutes by phone. If the attorney charges $200 an hour in 15-minute increments, that conversation just cost you $50. If the attorney charges $200 an hour in …

How much do lawyers charge to file bankruptcy?

Apr 29, 2021 · Your first charge is for the bankruptcy filing fee. For a Chapter 7 filing in California, you’ll provide $338. For a Chapter 13 case, the fee is $313. Bankruptcy Trustees can also charge a small fee when you file. The court also requires you to receive credit counseling before filing. This online course can cost anywhere from $25 to $50.

How do I find an affordable bankruptcy attorney?

Dec 19, 2020 · The cost of a bankruptcy attorney, while it can vary, tend to fall in a fairly tight range. The average fee in California is around $1,560 for a Chapter 7 case (see this article on Lawyers.com). Chapter 13 cases, however, depend on how complex your specific case is, so there’s a wider range, with the average fees falling in the range of $3,300–$5,000 (see this …

How Much Does A Bankruptcy Attorney Cost

The role of an attorney in a Chapter 13 bankruptcy is significantly more involved than his role played in a Chapter 7 bankruptcy.

Cost of a Chapter 13 Bankruptcy Attorney – How Much Does a Bankruptcy Attorney Cost?

The cost of a Chapter 13 bankruptcy attorney varies geographically, but the typical fee is between $2200 and $3200 for the 3-5 years that the attorney will be representing you.

Hiring a Bankruptcy Attorney by the Hour

If you decide to hire a bankruptcy attorney who charges by the hour, you will probably be asked to pay a retainer fee, which is similar to a down payment. You'll then receive monthly bills that must be paid promptly.

Hiring a Bankruptcy Lawyer for a Flat Fee

Lawyers who handle fairly routine matters, such as writing a will or filing bankruptcies, may offer their services for a flat fee. The flat fee may not be all-inclusive, meaning you may still have to pay court fees and other related costs.

The Cost of Hiring a Bankruptcy Attorney

There are several questions you may have to ask to determine exactly how much it will cost to hire the bankruptcy attorney. Here are some questions that should help:

Do bankruptcy attorneys charge a flat fee?

The majority of attorneys accept a flat fee for their services in Chapter 7 and Chapter 13 bankruptcy filing. This price is agreed upon by the lawyer and the client and it should be in writing on a signed document. It should also spell out what’s not covered by a flat fee.

How much does it cost to file for bankruptcy in California?

Your first charge is for the bankruptcy filing fee. For a Chapter 7 filing in California, you’ll provide $338. For a Chapter 13 case, the fee is $313. Bankruptcy Trustees can also charge a small fee when you file.

What is the least expensive bankruptcy option?

The least expensive of all options is to file “pro se” which is to go without legal representation. This is almost always a poor choice when dealing with something as complex as bankruptcy law. You can mess up a tiny detail in your filing, have it tossed out, lose your filing fees, and have to wait years for another chance at filing.

Who is Elena Steers?

Elena Steers is a highly experienced bankruptcy attorney, the founder of Law Offices of Steers & Associates, and previously worked as a Bankruptcy Trustee Assistant at the Office of the Chapter 13 Trustee in Los Angeles. Her current affiliations include the State Bar of California, National Association of Consumer Bankruptcy Attorneys, and Central District Consumer Bankruptcy Attorneys Association.

How can I get a car loan after filing bankruptcy?

One of the worst myths out there about bankruptcy is the assumption there’s no way you can get a car loan if you need one after filing bankruptcy. People end up paying what little cash they can scrape together for a horrible car that ends up being more trouble than it’s worth.

Will I lose everything if I file for bankruptcy?

Most people understand very little about bankruptcy, which is why some resist filing bankruptcy even when it would be the best thing for them to do. One of the biggest myths out there is that people just assume filing bankruptcy means they’re going to lose everything. Not true!

Will filing bankruptcy ruin my credit forever?

People filing for bankruptcy often ask this question: Will bankruptcy ruin my credit forever? The short answer is no, but it is a little more complicated than that. Here’s what you need to know.

Where are all bankruptcy cases heard?

All bankruptcies in the United States are heard in the U.S. Bankruptcy Court. The good news about that is the filing fees for a bankruptcy case are uniform across the country.

What happens to the debtor in Chapter 7 bankruptcy?

In a Chapter 7 bankruptcy case, the court sells the debtor’s non-exempt assets. The proceeds of the sale of those assets are used to pay creditors. Their interests are prioritized under the U.S. Bankruptcy Code. Many creditors walk away with little or nothing, and the debtor is discharged in bankruptcy.

How long can you make installments in Chapter 13?

If that plan is accepted by the bankruptcy court, the debtor will be allowed to make installment payments to the court over a period of three to five years.

Can you represent yourself in bankruptcy?

It’s never recommended that you represent yourself pro se in any legal action. Any bankruptcy case can get complicated very quickly. Without a quality bankruptcy attorney, your case could get stalled or even dismissed.

How much does a lawyer charge for bankruptcy?

In general, attorney fees for a Chapter 7 bankruptcy range from $1,000 to $3,500 depending on the complexity of the case. Larger firms with more advertising and overhead costs sometimes charge more than a solo practitioner, but not always. Some larger operations offer low fees and count on a higher volume of cases.

Do bankruptcy lawyers charge hourly?

Other attorneys will charge you an hourly rate, although it's uncommon in consumer bankruptcy cases. The more likely scenario is for the attorney to charge a flat fee for the bulk of the matter. The lawyer will charge an hourly fee for any extra work required for services like defending against an objection to discharge.

Do bankruptcy attorneys charge flat fees?

Many attorneys, especially bankruptcy attorneys, will charge a "flat rate" to represent you in a bankruptcy case. You'll pay a fixed amount for the attorney to represent you, regardless of the amount of time the attorney spends on your case. Other attorneys will charge you an hourly rate, although it's uncommon in consumer bankruptcy cases.

How much does a chapter 13 case cost?

Chapter 13 guideline fees are different for each judicial district. However, they are typically between $2,500 and $6,000 depending on the complexity of the case. For instance, if you own a business, the case will likely require more work and justify a higher fee.

Do you have to pay a bankruptcy attorney upfront?

Fortunately, most attorneys don't require you to pay the entire Chapter 13 bankruptcy fee upfront. In most cases, attorneys will ask for a portion of their fees before filing your matter, and the remainder will get paid through your Chapter 13 repayment plan. How much a bankruptcy lawyer will require before filing will depend on each attorney ...

What happens if you file Chapter 7?

Chapter 7 wipes out most unsecured debt in a Chapter 7 case, including attorneys' fees. So if you had a balance due when filing the matter, it would get discharged. Chapter 7 attorneys know this, of course, and require full payment. Learn how to find a bankruptcy attorney.

Does bankruptcy make sense?

Bankruptcy may make sense if you are unable to repay debts as you cover obligations such as retirement, food and shelter. Free Credit Score. by NerdWallet. A better score can help unlock the things you want — like a great travel credit card, better interest rates, lower insurance premiums and more.

How to find a pro bono lawyer?

There are a few ways to find a pro bono attorney. First, ask your local bankruptcy court for information about free legal clinics and local free legal aid resources. If you meet their guidelines, these organizations might be able to offer some help or connect you with pro bono bankruptcy attorneys.

How to file Chapter 7?

But if you’re in enough financial distress that you need to file Chapter 7, you’ll likely need to pay your attorney before he or she files your case. If you can’t afford these costs, you can: 1 Raise the money 2 Work out a payment plan before filing 3 Go pro bono, which means finding an attorney who will take your case free of charge

What happens if you file Chapter 13 bankruptcy?

If you’re filing for Chapter 13 bankruptcy, your court will review your attorney fees unless they fall below the so-called “no-look” level that’s recognized as reasonable . This level varies from one district to another, so check with your local court before hiring an attorney.

Is legal aid underfunded?

But be prepared: Legal aid organizations are often underfunded and overworked. Still, it's wise to get on the waiting list with one while you continue to pursue other options. The National Association of Consumer Bankruptcy Attorneys has a search tool to help you find attorneys in your area.

What does Chapter 13 mean?

Filing Chapter 13 means you have the financial footing to structure a repayment plan for your debts — including attorney fees — after you’ve filed. But if you’re in enough financial distress that you need to file Chapter 7, you’ll likely need to pay your attorney before he or she files your case.