What Bankruptcy Will Cost You

The Bankruptcy Code changed significantly in 2005, and the amount of work involved in preparing even the simplest cases is nearly twice as much today as it was before the change. In Rochester, the Bankruptcy Court, the trustees, the Department of Justice and other parties in the bankruptcy system are thorough and expect even simple bankruptcy cases to be prepared carefully and accurately.

Lawyers who do not take the time to get from you all the information required for a case and who do not draft your bankruptcy paperwork carefully put you at risk of having your bankruptcy case dismissed — or worse! Bankruptcy documents are complicated, and you sign these documents under penalty of perjury. The bankruptcy system will be very unhappy, to say the least, if you sign incomplete or inaccurate documents or if you do not provide all the information you are required to.

There Are A Few General Guidelines When It Comes To Cost

  • Even for the simplest cases, expect attorney fees and court costs to be at least $1,200.
  • The more creditors you owe money to, the longer the preparation process may become. The names and addresses of all creditors must be accurately listed on your paperwork, even if you have not had any contact with the creditor for years. If you do not accurately list a creditor, that debt may survive the bankruptcy.
  • Each secured debt, such as mortgages, home equity loans, car loans, boat loans, furniture loans, judgment creditors, tax liens, etc., must be analyzed carefully before a bankruptcy case is filed. The more secured creditors you have, the longer it will take to prepare your case.
  • Stopping foreclosure on your house in Chapter 13 is complex and must be done carefully to be successful. This will affect the length and cost of your bankruptcy.
  • Assets held jointly with outside parties (parents, ex-spouses, etc.) are another complication that will affect the length of time it takes to clear up financial issues.

Explore Your Bankruptcy Options. Call 585-800-9616 To Learn More.

I am attorney Peter R. Scribner of Rochester, New York. When I talk to clients about bankruptcy options, questions about cost are generally near the top of their list of concerns. Just as multiple factors affect the cost of a divorce or a criminal defense case, the final cost of your bankruptcy will be affected by its complexity. Any discussion of cost must be painted in broad brush strokes. Contact me to learn more at 585-800-9616.

My law firm is a debt relief agency. I help people file for bankruptcy relief under the Bankruptcy Code.