cash calculator notepad pen

When considering whether or not you want to file for bankruptcy, one factor that may sway your decision is the cost to file. Though it may seem strange to make someone struggling with debt pay a fee, this is a small price to help wipe away your debt. If you’re looking to file for bankruptcy, understanding the costs associated with filing is essential. Keep reading to learn more about how this process works and discover how a Shelby County, TN bankruptcy lawyer can help you navigate this process.

What Is the Average Cost to File for Bankruptcy?

The fees you incur will vary depending on the type of bankruptcy you file. In Tennessee, the filing price is generally $338. In the Eastern District, filers can pay this fee over a four-month period after they file if they do not have the means to pay upfront. Chapter 13 costs $313 to file.

If the filer is experiencing extreme hardship, they may be able to apply for a fee waiver for Chapter 7 bankruptcy. Generally, if a filer is 1.5x below the average poverty line for their area, they will receive this waiver. This only applies to Chapter 7 filers because those with higher means must file for Chapter 13.

Do the Credit Counseling Classes Cost Money?

Aside from the fees associated with filing for bankruptcy, it’s vital to consider the cost of court-mandated credit counseling courses. These courses must be completed with an approved provider in your district, and the certificate you receive must be submitted with the bankruptcy petition to proceed with the case. The same can be said for the financial management classes required before a discharge can be approved.

Generally, these courses range anywhere from $10 to $50. Some providers allow you to bundle credit counseling and financial management courses for a low price. It’s essential to ensure the class you take falls within your district, otherwise, it may not qualify. In some cases, these can be completed online or over the phone, so you don’t have to worry about paying to get to the course.

Are There Any Additional Costs I Should Consider?

Aside from the fees to file and the cost of credit counseling courses, there may also be expenses associated with transportation to appear in the courthouse, as well as any additional copies of credit reports which may cost money if you have exceeded the free copy limit.

Filing bankruptcy is a complex and overwhelming process. As such, it’s in your best interest to contact an experienced bankruptcy attorney as soon as possible. At the Arnold Law Firm, our dedicated legal team will do everything in our power to help you through this process. Contact us today to learn more about how we can assist you through filing for bankruptcy.