If you're thinking about filing bankruptcy, the last thing you probably want to think about is how much it will cost. However, this is an important question and having a clear answer will help you move through the entire process easier. Here are the basic costs associated with a bankruptcy filing in Nevada.
Depending on your income, you will file either Chapter 7 or Chapter 13 bankruptcy. If your income level allows you to file Chapter 7, you are allowed to eliminate most of your debt but keep your assets. Las Vegas, NV bankruptcy attorney fees typically fall between $1,000 and $1,500 for Chapter 7 filing.
Chapter 13, on the other hand, is used for higher-level incomes, managing debt that cannot be forgiven, or non-exempt asset protection. In this case, you would be required to pay a portion of your disposable income for a set period of time. The cost you are most concerned about is the amount due before filing, which can vary a great deal. A Las Vegas, NV bankruptcy attorney may be willing to take as little as $750 upfront, while others may demand more. The balance of the fees can be paid through your payment plan after discharge, which basically means the money goes to your attorneys instead of your creditors.
Filing fees are paid to the court after filing either Chapter 7 or Chapter 13 bankruptcy. Although they can be waived, it is rare and more difficult. However, you can set up payment plans if needed.
When you file bankruptcy, you are required to take two classes. One is a court-required credit counseling and can be taken by phone or online. The course is designed to help you change your spending behaviors by directing you the inexpensive stores and explaining the real cost of credit. It generally costs about $50. A debt management class is also court required and available by phone or online. This cost also costs about $50 and must be taken between filing and debt discharge.
Emergency Filing Fees
If you're in the position of trying to halt a foreclosure or repossession, you may choose to declare an emergency bankruptcy, which can be done in a matter of minutes. However, the follow-up documentation is much more complex, and as a result, an emergency filing charge may run about $500.
In the end, bankruptcy fees can be managed fairly easily with payment plans over time. If you're in a position where you need to declare bankruptcy, be sure to get professional help to make the process go as smoothly and as affordable as possible.