Bankruptcy Fees

Filing for bankruptcy can go a long way in helping you cancel your debts. However, this is not an easy process; you have to take time to consult and compare all your options so as to select the best way to discharge your bankruptcy.

One of the things that you need to keep in mind when filing for bankruptcy is that this is not going to be free; you will be required to pay some amount in bankruptcy fees.

Normally, when filing for bankruptcy, you will have to pay three bankruptcy fees. These include the court fee. However, if you can’t afford this fee, you may apply to have this amount waived by proving that you don’t have the fees.

Fee No. 1:
If you are on financial support or welfare, you can automatically be allowed to waive this fee. Consult with the court staff to see whether you are qualified for the waiver or not. This fee is approximately $120.

Fee No. 2:
Another fee that you will incur is a deposit of approximately $250 that you need to make when discharging a bankruptcy.

Fee No. 3:
You may also incur credit counseling fees depending on the type of bankruptcy that you file. For instance, if you file for Chapter 7 bankruptcy, you will need to pay for these fees.

Fee No. 4:
If you are filing for bankruptcy as business partners, each of you has to pay a separate fee. Even if you are a married couple and you are both filing for bankruptcy, you both have to pay separate bankruptcy fees.

Fee No. 5:
Additional bankruptcy fees include the attorney fees. This may be the highest fees that you may have to pay. Therefore, before you file for bankruptcy, you need to adequately prepare to meet this cost.

You can save up some money by not paying your bills before filing for bankruptcy. The bills can be considered as part of your debt and may be canceled upon your bankruptcy.

Family and friends may be able to help with the fees if asked, but normally, individuals considering bankruptcy don't want everyone to know their financial problems. If you feel that your attorney fees are unfairly high, you may get the court to intervene on your behalf. A court can get this amount reduced.

Financial Aid:
You may be eligible to get financial aid or other assistance to cover your bankruptcy fees. 

• If you are disabled or underprivileged, you may find an attorney to help you file for bankruptcy at no charge. You have to prove that you deserve the help and must go to a law firm that does pro bono work. Remember, not everyone qualifies for this and not all attorneys do pro bono work.
• Many people filing for bankruptcy may be in a position to prove that they can’t afford the fees. However, the lawyers use a special criterion at their own discretion to see who deserves the help and who can raise the bankruptcy fees on their own. 
• As stated above those on some type of financial support or welfare may receive help with the fees or have them waived.

The important thing to remember is "When in doubt, always ask" for a waiver of the fees. The absolutely worse thing that can happen is the bankruptcy fees will not be waived.  The best, obviously, is your request will be granted and that will be one less thing to worry about.