If you are looking for low cost bankruptcy, you’ve come to the right place. In terms of saving money on your bankruptcy you need to be aware of two things: filing costs and lawyer fees.

When you are doing a Chapter 13 Bankruptcy you’ll have to pay $235 to start the case and $39 for the administrative expense. If you are going to go though a Chapter 7 Bankruptcy you’ll have to pay $245 to start the case, $39 for the administrative expense, and $15 for the trustee fee. These are fees, which you’ll have to pay regardless. You can’t save any money here. Regardless, you can try asking for a waiver, which will exempt you from paying any of these fees. The waiver, however, only applies if you’re financial situation is really dire.

What about lawyer fees? If you are doing a Chapter 7 or Chapter 13 Bankruptcy you can expect to pay your attorney in the neighborhood of $500 to $2,000. Most bankruptcy lawyers out there will offer a free initial consultation. If you want to save some money, you can try asking them not to attend the meeting you’ll have to have with your creditors. It also helps to know the ins and outs of your financial situation. The more you know about your finances, the less time (in the form of hourly lawyer fees) you have to spend with your lawyer.

You will have to get an attorney and pay the $1,000 or so that they will charge you. So, no matter what, there isn’t really a thing such as “low cost bankruptcy”. Bankruptcy laws are complex (even more complex since the Bankruptcy Reform occurred in 2005) and it makes sense to use the expertise of a lawyer, who will help you make decisions with very long-lasting consequences. Yes, I know, you don’t want more debt on top of the debt that you already have. Regardless, once your financial situation is resolved with a bankruptcy (with Chapter 7 your debts will be eliminated and with Chapter 13 you’ll have an organized consolidation plan), you can have a much easier time paying your lawyer.

Related hubs:

Cost of Bankruptcy: Immediate and Long-Term Costs
How to Legally Get Rid Of Credit Card Debt
Affordable Bankruptcy: Chapter 13
Who Pays Credit Card Debt After Death?
How to Deal With Los Angeles Credit Card Debt
Houston Credit Card Debt: Getting Out of Debt From Your Houston Credit Card