Reader’s Question: How much do you charge to file chapter 13 bankruptcy? And can I make pay arrangements if its too much?
Ohio Bankruptcy Attorney Russ Cope’s Answer
Filing for Chapter 13 bankruptcy generally costs less up front than filing for Chapter 7. Here’s why:
Chapter 7 fees are all due up front before the case can be filed with the court. In other words, you cannot get Chapter 7 bankruptcy relief without first paying all attorney fees, filing fees, and any fees for obtaining the Credit Counseling Certificate that is required before commencement of all consumer bankruptcy cases.
However, Chapter 13 fees are generally broken up into two categories: (1) fees paid prior to filing the case, and (2) fees paid through the Chapter 13 plan. Here in Dayton, Ohio, there is really no such thing as price shopping for a Chapter 13 attorney. Nearly every attorney files for the same amount of money. The difference between the offices is how much the attorney requires in up front fees versus what the attorney will take out of your future plan payments.
Here, we base our up-front fees on the amount of up-front work that the case will require. For instance, in terrifically simple Chapter 13 cases, we charge no up front attorney fees. We also charge less for dire situations such as a newly repossessed vehicle or an active garnishment. In the event that it is a $0 up-front Chapter 13 fee, the client would only have to pay the $281 filing fee that the court requires along with the $23 fee to take the Credit Counseling course on the internet. If you want to see what we would charge up front to help you obtain Chapter 13 relief, then feel free to contact us to set up a free consultation where I can learn more about your situation.