How much should BK atty cost?

I think it depends on the chapter you are filing. We paid about $500 for a 7 4 years ago and he did a good job.

Kim

 

I think it would depend also how complicated your filing could be, such as if you have mortgages or you plan on reaffirming items. I filed in 94 and paid about 300 bucks, dh filed in 96 and paid about 500. (plus filing fees) Both atty's were wonderful.

 

Our office charge anywhere from $495 to $700 plus the filing fees of $200.00 for a Chapter 7. The thing about Ch. 13 is you usually include the fees in the payments to the Trustee so you don't have to come up with that much cash.


L

 

It depends on where you live. I've heard of $1,700 being the average in some places. Mine cost $600 for the attorney and $200 for the BK7 in Pennsylvania. I think this is probably closer to the average.

I personally believe you should get a attorney and not just the cheapest one you can find. It does make a difference. A bad attorney can do more damage than you might do filing yourself. However, I also believe that you still need to do as much work as if you were filing yourself to know for sure that the attorney is doing his/her job correctly. Its your life not theirs that will be screwed up if it isn't done correctly. Protect yourself and do the work in conjunction with the attorney. Do you really understand the difference between a BK7 and a BK13? Don't just do what the attorney suggests. Check his/her papers before they are filed. Are all of the creditors listed etc? Its for your own protection. I agree that you shouldn't have to do this but believe it or not, we do not live in a perfect world.

Find one that primarily does BKs. A good BK attorney knows the law and what the trustee is looking for etc. You will never have that knowledge unless you have filed in that BK Court before. There are nuances between BK Courts that only an attorney that has done many BKs in that court will know. This doesn't mean that I think you cannot do it yourself. You can but I think going to any court is safer with a "good" attorney.

The BIG question is where do you find a "good" attorney? I found mine through another attorney that I had dealt with on other issues. I think this is probably the best way.

Assuming you don't know an attorney for a recommendation, most initial consultations are free with BK attorneys. Set up an appointment with 3 and take with you everything that you might need to answer any of his/her questions. Have in mind your assets and liabilities.

How much unsecured debt do you have?

How much secured debt?

What are your intentions with the secured debt? Let go or keep?

Do you have any equity in you secured debts? Houses? Cars? How much its worth minus how much its owe.

How much money do you have coming in each month? What are your expenses each month?

Do you have any retirement savings? 401(k) (not too important, always exempt I think?) IRA? (Important, it depends on the type of IRA and how it was funded.)

How much is in your checking? Savings?

Any stocks, bonds etc?

Have you made any substantial purchases or transfer of assets in the near past? (last year I think)If so how much and to who. You should know everything that you did in the last year.

That's about it but I still want to say yada yada yada.

Interview the attorney. Ask how many BKS he/she has done. Ask if he/she does primarily BKs etc. Ask him/her about whether you should be making payments. yada yada yada

After you've met with all 3 then you should have a good feel for which is the best one for you.

I've never heard of any that will file your petition until you pay. Some will begin the work but nobody will file until you have paid the full amount. Usually, you can use money that you would have otherwise paid to a creditor to save until you have enough to file.


mike,
I am NOT an attorney. I am just a BK7 filer that has read much. I'll be glad when its over. Then comes the repairing of my credit report which the BK filing has already caused errors. I don't know of an attorney I trust to help me with that but I keep reading and thinking and looking and waiting.

 

Mike just gave some GREAT advice. The cost of an attorney can vary, but getting a good one can not be stressed enough. I paid $800 total for my filing.

I agree with Mike, that even though you'll retain an attorney, make sure you've done your homework. The better prepared you are and the more familiar you are with the BK laws the better off you'll be. There is a TON of information on the internet regarding BK and the ramifications of it. Make sure you spend some quality hours with it.

I was discharged a couple of weeks ago. Working on the credit repair phase now.

 

Update:
My BK7 went as well as can be expecxted. No surprises. Now beginning the process of rebuilding.
Mike5000

 

We paid 250.00 + court costs (can't remember the exact amt) but ours was done thru a legal clinic. They typed up the paperwork and we filed and did it ourselves. This was in 1991 and it was a chp 7.

 

I paid $900 + $200 filing fees. If you're in MA, I would recommend my attorney, he's very, very thorough.