The Cost To File Bankruptcy

2007-05-15 06:10:46

( Financial )



Are you planning to file bankruptcy? Bankruptcy filing is the last resort for people who are in a serious financial problem. Unfortunately, even though you are financially challenged for the time being, you have to prepare some expenses to legally declare your bankruptcy. The actual cost to file bankruptcy depends on your specific situation but there are general expenses regardless of your situation.

FORMS

You will expect to pay at least a few hundreds of dollars to prepare the forms which you will submit later on in court. You can save more money if you download the forms via the internet because they are free. Have someone help you fill out the forms because it takes time to complete them.

COUNSELING

After completing the forms, you need to undergo counseling. This will increase the cost to file bankruptcy but not too much. Bear in mind that you have to contact an authorized counselor.

A counseling session takes at least 40 minutes or at most 2 hours. After the session, you will receive a certificate which you need to file together with the forms you have filled up to the court. Be sure to submit these requirements within 6 months before petitioning for bankruptcy.

BANKRUPTCY PETITION

Third on the list which will greatly increase your cost to file bankruptcy is petitioning. It is important that a lawyer is there to guide you through the process but you have to pay for the service fee. Try to scout for free services because some lawyers do pro bono.

Alternatively, instead of hiring a lawyer, you can ask for a paralegal service to help you accomplish all the needed documents. Though it will decrease the cost to file bankruptcy, there is also a drawback if you do not hire a lawyer because there will be no one to represent you in court.

There are also other people who will be working on your petition which is usually termed as debt relief agency. They will tell you how much their service cost is so you will be informed.

Finally, you can now file the forms and other attachments to the court. This is the last stage that you have to do which will require you to pay other fees including the certificate that you will get after filing the documents.


All rights Reserved © Tradenet Services srl
Do not duplicate or redistribute in any form.