How Much Does a Bankruptcy cost?
Whether a potential client calls me from Chicago, Naperville, Joliet or Aurora, one question is always the same. How much does a bankruptcy cost?
It's a simple question. It's a fair question, but the answer is complicated.
The answer is divided into three parts.
One:
Filing Fees
Filing fees for a chapter 7 bankruptcy are $299.00. It does not matter whether the case is filed in Cook, Du Page or Will County. Filing Fees for a chapter 13 bankruptcy are $274.00. It doe not matter whether you live in Elmhurst, Downers Grove or Oak Park.
Two:
Classes
Prior to filing a consumer bankruptcy you need to take a credit counseling class. There are generally done over the internet and take about an hour. They cost between $35.00 and $50.00.
Before the bankruptcy is completed you must also take a debtor education class. This is also done over the internet and costs between $15.00 and $50.00.
Three:
Attorneys Fees
This is the part with the most variance. Each case is unique and presents different problems.
In a chapter 7 case in the Northern District of Illinois our base fee is $1800.00. From there we will add or subtract based on your specific needs.
Less than 6 creditors, subtract $200.00, No Real Estate, subtract $200.00, No need to keep a car, subtract $200, Income less than guidelines, subtract $100.
More than one mortgage add $100, Income over guidelines add $200.00.
Also, if there is litigation generated by your creditors or you have an emergency that has to be resolved there would be additional fees for the work involved.
The complete costs on most chapter 7 cases is less than $2000.00.
On a chapter 13 cases in the Northern District of Illinois the statutory attorneys fees are $3,500.00. These are automatically granted by the court and some or all of the fees are paid into the plan. The amount that you will be required to put down will depend on a number of factors.
