It’s the first question almost everyone asks, and it makes sense. If you’re buried in debt, the idea of paying for a lawyer and a court filing can feel impossible. Here’s the honest breakdown of what bankruptcy actually costs in Pennsylvania, and the options that exist if money is tight.
The court filing fee
The filing fee is set by the federal court, and it’s the same no matter which lawyer you hire:
- Chapter 7: $338
- Chapter 13: $313
That’s the court’s fee, paid when your case is filed. If you can’t pay it all at once, the court allows Chapter 7 and Chapter 13 filers to apply to pay the filing fee in up to four installments, with the balance generally due within 120 days of filing. And if your household income is below 150% of the federal poverty guidelines, you can ask the court to waive the Chapter 7 filing fee entirely.
The two required courses
Before and after filing, you have to complete two short courses: a credit counseling course before your case is filed, and a financial management course afterward. They’re done online or by phone, they don’t take long, and they’re inexpensive — typically under $30 apiece, with fee waivers available for people who qualify.
The attorney fee
This is the part that varies, because every case is different. A straightforward case costs less than one involving a business, multiple properties, or a fight with a creditor.
One thing people are surprised by: in a Chapter 7, the attorney fee generally has to be paid before the case is filed, because anything you still owe your lawyer afterward would just be wiped out in the bankruptcy along with your other debts. Most bankruptcy attorneys, our office included, will work with you on getting there — and once you’ve decided to file, the money you were throwing at minimum payments on cards you’re going to discharge can usually be redirected toward the fee.
In a Chapter 13, it works differently. A large part of the attorney fee can be paid through your Chapter 13 repayment plan, spread out over the three to five years of the case. That’s one reason Chapter 13 is often the practical option for people who need to file quickly — to stop a foreclosure sale or a bank levy — but don’t have the full cost saved up.
What does it cost NOT to file?
When you’re deciding whether you can afford bankruptcy, run the comparison honestly. Interest and late fees on $30,000 of credit card debt can run hundreds of dollars a month — money that never touches the principal. Add a judgment, a bank account levy, or a foreclosure, and the cost of waiting usually passes the cost of filing pretty quickly.
Frequently asked questions
Can I file bankruptcy if I have no money at all?
In many cases, yes. Between filing-fee installments, the Chapter 7 fee waiver for low-income filers, and Chapter 13’s ability to roll attorney fees into the plan, there is usually a workable path. Talk to an attorney before assuming you’re too broke to file — that’s exactly the situation bankruptcy exists for.
Do I have to pay the whole Chapter 7 fee up front?
The attorney fee generally must be paid before filing, but the court’s $338 filing fee can be paid in installments afterward with court permission.
Are consultations really free?
At our office, yes. Your consultation costs nothing, and you’ll leave knowing exactly what a case would cost in your situation — no guessing.
Find out what it would cost in your case
Every situation is different, and the only way to get a real number is to look at your actual debts and income. Call the Law Offices of Jason P. Provinzano, LLC at 570-822-5771 for a free consultation, or visit us at 16 W. Northampton Street in Wilkes-Barre.
This article is general information about bankruptcy law, not legal advice about your specific situation.
