Filing for bankruptcy can cause a large amount of emotional stress, but there is also a financial element of stress that is involved. Many of my clients ask me how much it costs to file for bankruptcy. Keep reading for an estimated breakdown of the expenses.
Court Fees for Filing Bankruptcy in New Jersey
You will need to pay the court administrative fees just for filing for bankruptcy. It costs $335 to file for Chapter 7 bankruptcy and $310 for Chapter 13. These amounts do not change if it is one person filing or a couple.
Attorney Fees
I discuss all of the attorney fees associated with filing for bankruptcy during our first meeting. A standard Chapter 7 filing with one source of income and minimal assets is the least complex for an attorney to file. If you have many assets or own a business, your case would be more complicated and thus more costly. A Chapter 13 case usually includes a flat rate with a portion paid up front and the balance paid as part of the plan. These fees depend on the complexity of your situation.
Other Fees
Another fee associated with filing for bankruptcy is the cost associated with the required credit counseling certificate and debtor education course. These fees are nominal, but are well worth it because they can set you up for success after your bankruptcy has been discharged. The court requires completion of both courses. Other “due diligence” items include a credit report and judgement search.
Paying All These Fees
These fees can make people feel overwhelmed, but do not worry because there is light at the end of the tunnel. Many clients have extra money available because they are no longer paying off creditors included in the bankruptcy. Rest assured that I am here to help you find a solution to your financial stress.
I will discuss all of the costs that come with filing for bankruptcy before we proceed. It is important that you consult with an experienced New Jersey bankruptcy attorney before filing. Contact me today to schedule a consultation to learn more about the bankruptcy process.
