Four Ways You Can Afford Filing Chapter 7 Bankruptcy

St. louis traffic ticket lawyer

For many people struggling with overwhelming debt, filing a Chapter 7 bankruptcy is a way to be absolved of these debts and have a debt-free future. However, the current cost of filing a Chapter 7 bankruptcy is $306 — and that’s not counting local bankruptcy attorney fees. This makes filing for a bankruptcy seem inaccessible for people with low incomes.

However, despite what you may think, you can afford to file for bankruptcy, no matter what your financial situation looks like.

Here are the top four reasons why you can afford filing Chapter 7 bankruptcy:

1. You might be eligible for a fee waiver: Individuals whose income is less than 150% of the income poverty line can have the $306 bankruptcy filing fee waived. You can also ask the court to let you pay the filing fee in increments, rather than all at once.

2. Free legal help is available: It’s almost never advisable to file Chapter 7 bankruptcy without a Chapter 7 bankruptcy attorney. If you are unable to afford legal bankruptcy help, you can contact the legal aid society in your area, which can help you find low-cost or free legal help with filing bankruptcy. The American Bankruptcy Institute’s Pro Bono Locator is also a good source for locating free Chapter 7 bankruptcy attorneys.

3. You can hold on to most of your possessions: Some people are scared by the fact that Chapter 7 bankruptcy requires debtors to surrender almost all of their possessions to help repay their debt. However, federal law requires some property exemptions, such as your house, your money in the bank, household goods and clothing.

4. You can’t afford not to file Chapter 7 bankruptcy: Chapter 7 bankruptcy can give you an opportunity to get relief from creditor harassment and mountains of debt, which are huge stressors and a detriment to your health. By filing for bankruptcy, you can start over and rebuild your finances, which is priceless. Continue your research here.

Leave a Reply

Your email address will not be published. Required fields are marked *