Filing bankruptcy may not be an ideal option for most people, but it may be the ultimate option you need to get out of a financial hole. Despite what most people think, filing for bankruptcy is not free. However, there may be other costs associated with the filing. You may also be eligible for your filing fees to be waived.
Bankruptcy Filing Costs
The United States Courthouse has devised a fee schedule and a bankruptcy form that breaks down the filing fees. The Chapter 7 filing fee is $338 ($245 filing fee, $78 administrative fee, + $15 trustee surcharge. If you cannot afford the filing fee, you may be able to pay the filing fee in installments or it could be waived altogether.
California Filing Fee Waiver Guideline
California bankruptcy laws allow for your Chapter 7 bankruptcy fees to be waived if you are below 150% of California poverty guidelines. The 2022 poverty guidelines went into effect as of January 2022.
|# of People||150% Poverty Guideline|
|* Add $4,720 for each individual in excess of 9.|
Other Mandatory Costs
In addition to the filing fee, there are other mandatory costs associated with a bankruptcy filing. California requires that anyone filing for bankruptcy to take an approved credit counseling course and a debtor education course. Both courses are offered online. The average cost is around $10 to $50 per course. A list of approved course can be found online.
Other miscellaneous costs include costs associated for transportation to the meeting of creditors at the courthouse and fees for credit reports for your Central Valley bankruptcy attorney.
Call an Experienced Central Valley Bankruptcy Attorney
If you are considering Chapter 7 bankruptcy, it is in your best interest to consult with an experienced bankruptcy attorney to help you learn your legal rights and options, especially with respect to Chapter 7 bankruptcy.