Bankruptcy can feel like an overwhelming journey, but understanding the cost to file and the estimated bankruptcy attorney fees in Colorado is the first step.
by:
Dave Te
,
September 20, 2024
Reviewed By:
,
September 20, 2024
Information in this article does not constitute legal advice, it is for informational purposes only, and may not constitute the most up-to-date information. Readers should contact their attorney for advice on any particular legal matter.
The cost of filing bankruptcy in Colorado is not as straightforward as it may seem. While the filing fees for Chapter 7 and Chapter 13 bankruptcies are $338 and $313 respectively in 2024, there are other factors to consider. If you decide to hire a bankruptcy attorney or if you're looking to have the filing fees waived, the answer becomes more nuanced.
Curious about how much bankruptcy attorneys charge in Colorado, we delved into the public records database called PACER. By spending around $1,000, we were able to gather accurate estimates. As of 2024, we found that Chapter 7 attorney fees can range between $800 and $2,000. Keep in mind that this is still just an estimate. If you want a more precise estimate based on your location in Colorado, feel free to use the free Colorado bankruptcy cost calculator below.
You’re probably wondering how can you afford the cost of bankruptcy in Colorado, especially when you're struggling to pay your bills. It's a valid concern, especially considering the prevailing interest rates and inflation in 2024. While many bankruptcy costs, such as the filing fee and credit counseling courses, are relatively similar, the attorney fees can vary dramatically depending on where you are in Colorado, whether it's Denver or Colorado Springs.
So, in this article, we aim to provide you with estimated all-in costs, focusing on two key aspects:
Bankruptcy Attorney Fees
Bankruptcy Filing Costs
Estimate the All-In Bankruptcy Cost in Your Zip Code
We've been getting a ton of questions about the cost of bankruptcy in Colorado. So, we took matters into our own hands and built a database of attorney fees. To give you an estimate of how much bankruptcy might cost in your city in Colorado, all you need to do is enter your zip code below.
Table of Contents
1. Actual Lawyer Costs By District In Colorado
Although we have provided a range of bankruptcy attorneys' fees above, the exact price will depend on a few more factors. A few factors that affect the overall cost are the bankruptcy lawyer's location, the complexity of the case, the attorney-client relationship, and the expert's degree of knowledge. However, since the location is so important, let's examine the actual costs as indicated by the Pacer filing data.
Colorado District
Encompassing a significant expanse, the District of Colorado covers major urban centers such as Denver, Colorado Springs, and Aurora. Operating within the Mountain Time zone, this district spans 64 counties. It features a central courthouse in Denver and additional court facilities throughout the district, overseen by 7 active district judges and 3 magistrate judges. The diverse economic activities and dynamic communities in Colorado's District contribute to the overall richness of the region.
For residents in proximity to these major areas within Colorado's District, the expected bankruptcy filing cost can vary, often falling within a range from $500.00 to $2,500.00. It's crucial to bear in mind that this is an estimate, and actual expenses may fluctuate based on factors such as your financial situation and the choice of legal representation.
2. Chapter 13 Bankruptcy Attorney Fees Colorado
Chapter 13 bankruptcy attorneys in Colorado could set you back around $2,750. The fee can vary depending on the district you're in. Chapter 7 attorney fees can be everywhere, but Chapter 13 fees tend to be more consistent. They're based on "no-look fees," which are reasonable for the services provided. So you won't have to worry about any surprises. Some attorneys might charge hourly for any extra work after filing Chapter 13. So, it's always a good idea to ask about that.
3. Bankruptcy Filing Costs
Bankruptcy filing costs are the same throughout the United States, not just Colorado. So, if you're considering bankruptcy, you'll want to know the other costs involved.
If you're going for Chapter 7 bankruptcy, the filing fee is $338. That's broken down into a $245 filing fee, a $78 administrative fee, and a $15 trustee surcharge.
If Chapter 13 bankruptcy seems more like the way to go, the filing fee is lower at $313. That includes a $235 filing fee and a $78 administrative fee.
If you're strapped for cash and can't afford the filing fee. There might be some options for you. You could pay the fee in installments or waive it altogether.
Colorado Filing Fee Waiver Guidelines
If you're considering filing for Chapter 7 bankruptcy in Colorado, you might be eligible to have your filing fees waived if your income falls below 150% of the Colorado poverty guidelines. Be sure to check out Chapter 7 Bankruptcy Colorado Income Limit.
Mandatory Course Costs
You'll need to take a couple of courses along the way. Don't worry, they're not too complicated, and you can do them online. The first is a credit counseling course, and the second is a debtor education course.
These courses usually range from around $10 to $50 each. Just keep in mind that the courses must be approved, so you'll want to ensure you're taking the right ones. Look at the list of approved Colorado credit counseling courses and approved debtor education courses. The list also includes the cost of each course, so you'll know exactly what you're getting into.
Miscellaneous Costs
If you've got a meeting of creditors at the courthouse, it's essential to know that you might have to shell out some cash for transportation to get there. On top of that, you might also have to cover the cost of a credit report for your attorney. Your attorney might be able to lend a hand with getting that credit report sorted. Let's talk numbers. You may wonder how much this transportation thing will set you back.
We’ve made it easier for you to figure that out by hovering over your district, using this interactive map below showing bankruptcy courthouses in Colorado by district, and looking up your nearest bankruptcy court.
Will Inflation Affect the Cost To File Bankruptcy in Colorado?
So, there's been some talk about inflation and its potential impact on attorney fees. Will inflation slow down enough for attorney fees to stay put? Let's investigate whether inflation could affect Colorado's filing fees and attorney costs. First things first, let's talk about the filing fee. The Chapter 7 bankruptcy filing fee recently increased from $335 to $338, while the Chapter 13 filing fee increased from $310 to $313. These changes are minor, so I wouldn't expect them to have a significant negative impact on you. But what about attorney fees? Well, here's the deal. Inflation could cause attorney fees to go up. Why, you ask? It's because inflation can push bankruptcy attorneys to shell out more money for their employees and deal with higher living costs. Especially in cities like Colorado Springs or Aurora or anywhere across Colorado. While the filing fee increase might not be a big deal, you might see some inflation-related effects on attorney fee costs. It's just something to keep in mind.
Would My Bankruptcy Cost Be Higher in Denver Than in Aurora?
Denver is the most populous city in Colorado, with a population of 719,238. So, you might think that bankruptcy attorney fees would be sky-high in Denver compared to Aurora.
While the cost may be higher in Denver, there's a twist. The competition among bankruptcy attorneys is fierce in the Mile High City, so they have to drop their prices to stay in the game. The total cost of filing bankruptcy, including attorney fees, might be much higher in your city than in Denver.
Most bankruptcy attorneys offer free consultations. You can get multiple perspectives without spending a dime. Our bankruptcy cost calculator below considers all these variables to give you an estimate of the all-in cost.
Why Do Some Attorneys Charge Higher Chapter 7 Bankruptcy Fees?
Before jumping into the bankruptcy process, you should know that attorney costs can vary.
Let's take a closer look at bankruptcy attorneys in Colorado Springs. You might be surprised to find that prices can differ between two attorneys. Here's the deal: Regarding Chapter 13 bankruptcy, attorneys in Aurora usually charge the same amount. They have a "no-look fee," a standard fee for the services they provide. So, you'll pay about the same regardless of which attorney you choose.
Things get a little more interesting regarding Chapter 7 bankruptcy. Attorney fees can vary greatly, so it's crucial to understand what you're getting for the extra cost.
So, what determines the cost of a bankruptcy lawyer? Well, there are a few factors at play:
The type of bankruptcy you're filing, whether it's Chapter 7 or Chapter 13.
The complexity of your case. Is it a no-asset case or an asset case?
Your location. Are you in Denver or Colorado Springs?
The level of connection you have with the attorney.
The attorney's expertise. How many years of experience do they have?
Let's break it down with an example. Say you're making $10,000 above the median income for Colorado and want to file for Chapter 7 bankruptcy. In that case, the attorney may need to spend extra time reviewing your expenses to determine if you qualify for Chapter 7, even though you're above the median income. And you know what that means? More attorney time equals a higher overall bankruptcy cost.
If you want to explore bankruptcy lawyer fees more, I recommend reading Understanding Bankruptcy Lawyer Fees. It will give you more insights and help you make an informed decision.
Conclusion
I hope this article has helped you understand the all-in costs of filing for bankruptcy with a lawyer. But hey, if you still have questions, don't hesitate to reach out. If you want a quick estimate of the costs specific to Colorado, check out the free Colorado bankruptcy cost calculator below.
Bankruptcy can be a great way to get a fresh start when your debt has become unaffordable due to financial hardship. Bankruptcy is for those who have a strong desire to pay their bills, but may not have the ability to pay those bills.
Trying to figure out if you can meet all the requirements for a bankruptcy discharge can be a challenge, especially if you don’t know where to start. The Bankruptcy Means Test form was created to help you navigate through to see if you qualify to file for bankruptcy discharge. The means test will look at your income to determine if you can qualify.
Yes, you can file bankruptcy while unemployed with no job, but please note that your unemployment income does count as income for the bankruptcy means test.
