Information in this article does constitute legal advice, is for informational purposes only and may not constitute the most up-to-date information. Readers should contact their attorney for advice to any particular legal matter.
Did you know that you can pay for a bankruptcy attorney to represent a friend or family member in Chapter 7 or Chapter 13? It's true! There's no law that prevents you from doing so. However, it's important to note that repayment cannot happen until the bankruptcy case is closed.
If the payment is considered a loan, the friend or family member must be listed as a creditor in the bankruptcy case. This means that the debt would be discharged through the bankruptcy case, and the person would not be legally obligated to repay the debt. So, while family and friends can help pay for bankruptcy attorney fees, it's important to understand the potential consequences.
How Much Do Bankruptcy Attorneys Charge to File Bankruptcy?
Are you considering filing for bankruptcy but unsure about attorney fees? Our free bankruptcy attorney fee estimator can help you get an idea of how much bankruptcy lawyers near you charge to file Chapter 7 and Chapter 13 bankruptcy. Plus, it can help you locate a bankruptcy attorney near you who offers free consultations and case reviews.
Bankruptcy attorney fees are based on several factors, including the location where you live, the attorney's experience and skills, the chapter of bankruptcy you file, and the complexity of your case. The bankruptcy attorney fees for a Chapter 7 case are generally less than the attorneys' fees for a Chapter 13 bankruptcy because Chapter 13 cases are more complex. They involve drafting a repayment plan and take much more work than a typical no-asset Chapter 7 case.
Additionally, cases involving non-exempt assets, businesses, fraudulent transfers, preferential payments, and other issues that complicate a case could increase the fees charged by a bankruptcy attorney. So, it's important to consider all these factors when estimating the total cost of filing for bankruptcy.
With our free bankruptcy attorney fee estimator, you can get a better understanding of the costs involved and make an informed decision about hiring a bankruptcy attorney.
What Other Fees Will I Pay in Addition to Bankruptcy Attorney Fees?
When filing for bankruptcy, it's important to keep in mind that there are additional fees you'll need to pay in addition to the bankruptcy attorney's fees. These fees include:
- A filing fee to the bankruptcy court
- A fee for a credit counseling course
- A fee for the debtor education course
The filing fees for a Chapter 7 bankruptcy case is $338, while a Chapter 13 bankruptcy case is $313. The cost of the bankruptcy courses varies depending on the company you choose. Typically, companies charge between $10 to $50 for the courses. You can find a list of approved credit counseling and debtor education companies on the United States Trustee’s Office website.
In some cases, you may be eligible to waive the bankruptcy filing fee and/or the fees for the bankruptcy courses. However, you must file a motion with the bankruptcy court to request a waiver of the filing fee and meet the income requirements to qualify. Each company that provides bankruptcy courses has a process for requesting a waiver of fees based on income.
What Happens if I Cannot Pay to File Bankruptcy?
If you are considering filing for bankruptcy, you may be wondering if you can do it without hiring an attorney. The answer is yes, but only if your case is simple and you are filing for a no-asset Chapter 7 bankruptcy. However, it's essential to understand that filing for bankruptcy without a lawyer can have serious consequences, such as losing your property.
Before proceeding with a bankruptcy filing, it's highly recommended to consult with a bankruptcy lawyer. Many bankruptcy attorneys offer free consultations, and this can be an opportunity to discuss your case and any potential issues that could arise.
It's crucial to understand the advantages and disadvantages of filing for bankruptcy before taking any further steps. A bankruptcy lawyer can explain the pros and cons and help you make an informed decision.
Moreover, hiring a bankruptcy lawyer can work in your favor. Many bankruptcy attorneys offer payment plans, making it easier for you to afford their fees. If you need to file for Chapter 13 bankruptcy, your attorney may include most of the fees in the bankruptcy plan, reducing the upfront cost of filing.
If you're considering filing for bankruptcy, it's essential to seek professional legal advice to ensure that you understand the process and make informed decisions about your financial situation. Contact us to discuss your options and find out how they can help you.
Alternatives to Filing Bankruptcy to Get Rid of Debt
Are you struggling with debt but don't want to file for bankruptcy? You have options! There are several non-bankruptcy methods to eliminate debt problems. Here are a few to consider:
- Debt settlement: Negotiate with creditors to pay less than the full amount owed.
- Consolidation of debt: Combine multiple debts into one monthly payment.
- Debt management: Work with a credit counselor to create a repayment plan.
- Debt payoff planning: Create a personalized plan to pay off your debt as quickly as possible.
Our goal is to help you become debt-free. We offer free services to help you compare debt relief options and provide tools and resources to guide you on your journey. Contact us to speak with a member of our team. Let's work together to eliminate your debt for good!