What are Typical Attorney Fees in Bankruptcy?

You would have to somehow arrange for the attorney fees in bankruptcy filing even though you are filing bankruptcy to overcome your financial tensions. Your debts may have piled to a massive amount or to a limit which you cannot settle or manage by consolidation. In such a pressurized situation, you are left with no option other than filing for bankruptcy. However, bankruptcy procedures are too time consuming and complicated that you may become frustrated without the help of an attorney. Though fees vary from case to case and state to state, this general information gives an overview of what to expect.

Determining Factors

Attorneys can charge you based on hourly rate, flat fee, contingent fee or retainers fee. Attorney Fee for bankruptcy filing changes depending on such type of fee arrangement. Usually an attorney will charge based on the factors like filing fee, states jurisdiction, complications and the chapter filed. If there is no issue of foreclosure or repossession the fee will be lower. It will be lower for the Chapter 7 bankruptcy cases as the procedure is simple in this chapter code.

Legal Complications

Attorneys charge higher fees for Chapter 13 bankruptcy cases and other cases with issues of foreclosures because the legal procedures are quite lengthy in these cases. They can charge anywhere between $1,000 and $1,200 for a Chapter 13 bankruptcy filing. However, it is not necessary to pay above $2,000 (including the filing fee) to an attorney for your Chapter 7 bankruptcy cases in the state of Orlando. It cannot go above $4,500 for Chapter 13 bankruptcies or business bankruptcies in that state.

Services you Receive from Attorney

Find out what are the services you are entitled to from an attorney, after paying his or her fee. Generally attorney fee includes the filing fee; however you should get it clarified with your attorney. After paying the fee, your attorney should not again charge for normal services like attending creditors meeting, review of the reaffirmation process, legal advice and so on. In the case of higher fees, attorney should start the case with an initial payment of $1,500 to $2,500. You can pay the rest of the fee across several months. (See also Bankruptcy Specialist versus Bankruptcy Attorney).

Getting Legal Help

Consultation with the attorney is the best way to find out the actual fees charged by the attorney for filing your case of bankruptcy. Though there might be a slight variation in the fee charged by one attorney to another you can get an estimate of the actual fee you have to be prepared with.