Chapter 7 Bankruptcy Fees, doing it without a lawyer

Letter to “Ask Leon”

When filing for bankruptcy, do you have to pay the full amount before your attorney mails a letter out to your creditors stating that you are filing for bankruptcy? I live in Washington, DC and I only have credit card debt. I do not own any property. Do you know what it would cost me to file a chapter 7? I need to file a chapter 7 as soon as possible. Right now I’m living from pay check to pay check do to a huge decrease in my income. The bill collectors call my job and residence at least 7 times everyday. I’m tired and just stress out over all of the harassment at home and work with the phone calls. I need to get this file as soon as possible but barely have the money to file. Is it anyway that I could do this on my own do to lack of money to file?

Leon Says…

Financial arrangements are between you and your attorney. Fees vary according to what a client needs the lawyer to do. Some cases are simple, and should have a lower fee than what the same lawyer would charge someone with a complicated, more time consuming matter. Most lawyers will start preparing the paperwork with a partial payment and allow you to refer bill collectors right away, but won’t file the case in court until all of your fees are paid.

I recommend that you do not try this on your own. The new law is so complicated that many good lawyers who previously did bankruptcy cases will no longer touch it. That should tell you something.