Photo by Thomas Lefebvre
If you’re having difficulty making your debt payments from month to month, it might be time to consider seeking effective methods of debt relief. While there are many other unreliable forms of debt relief available, bankruptcy is the most efficient and reliable for long-term stability and actual, long-term debt relief. Bankruptcy is also a system that is based in law, so you can rest easy with the knowledge that you won’t be exposing yourself to predatory debt relief agencies.
If you’re having financial difficulties, you may have already looked into what the process of bankruptcy looks like and what fees are involved. To file a successful case, you can find the bankruptcy assistance in Worthington, MN, you need with the expert attorneys at Behm Law Group, Ltd.
Filing for bankruptcy without the guidance of a lawyer is possible, but is not recommended. Bankruptcy is a highly nuanced process, and bankruptcy assistance is often key in filing a strong and effective case. This is especially true for those filing a reorganization type of bankruptcy, like Chapter 13. Looking at the numbers for the fees involved bankruptcy and the costs of an attorney may be daunting, but breaking down that information to understand it a little better can help you make the decision on whether to file or not.
There are a few fees that cover different aspects of your petition and other parties involved. These fees are often lumped together, but taken apart they look like this:
- Chapter 7 filing fee: $335
- Chapter 13 filing fee: $310
- Credit counseling fees: Prior to filing your petition, you must complete credit counseling within 180 days of when you will submit your paperwork. This will typically be around $50 depending on what organization you work with. This is also a fee that can be waived with proof that you’re unable to pay.
- Debtor education course fees: After filing for bankruptcy relief, you must complete a debtor education course in order to receive a discharge. Again, this varies depending on the organization you choose. The cost can vary quite a bit, ranging from $10 to $50 according to Federal Trade Commission data. This is another fee that may be waived with proof of inability to pay.
- Miscellaneous fees: Certain cases may have other fees to pay, depending on miscellaneous circumstances. All miscellaneous fees are listed in the Bankruptcy Court database.
After adding up all these fees, bankruptcy cases will have fees ranging broadly from $1,000 to as high as $6,000 or more. It all depends on your situation and how complicated your case is. Generally speaking, it’s more expensive to file for Chapter 13 bankruptcy ($2,500 to $6,000) than Chapter 7 bankruptcy ($1,000 to $3,500).
Attorney costs vary from law firm to law firm, and there are some lawyers that reserve time to work pro-bono with clients that can’t afford bankruptcy assistance. We’ll cover more information about hiring bankruptcy assistance in Worthington, MN, in part two of this blog.
Contact Behm Law Group, Ltd. at (507) 387-7200 or [email protected] for more information today.