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.
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 all over the place, but Chapter 13 fees tend to be more consistent. They're based on something called "no-look fees," which are a reasonable cost for the services provided. So, you won't have to worry about any unexpected surprises. Some attorneys might charge an hourly rate for any extra work they do after filing Chapter 13. So, it's always a good idea to ask about that.
3. Bankruptcy Filing Costs
Bankruptcy filing costs are pretty much the same throughout the United States, not just in Colorado. So, if you're thinking about filing for bankruptcy, you'll want to know about the other costs involved.
Bankruptcy Filing Fees
The US Courthouse has a fee schedule and bankruptcy forms that lays it all out for you.
Now, 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 a bit 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 it could be waived altogether.
Colorado Filing Fee Waiver Guidelines
If you're thinking about 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
There are a couple of courses you'll need to take along the way. Don't worry, they're not too complicated, and you can even do them online. The first one 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 have to be approved, so you'll want to make sure you're taking the right ones. Be sure to 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 coming up at the courthouse, it's important 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're probably wondering how much this whole transportation thing is gonna set you back.
We’ve made it easier for you to figure that out by hovering over to 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 dive into whether inflation could affect the filing fee and attorney costs in Colorado. First things first, let's talk about the filing fee. The Chapter 7 bankruptcy filing fee recently went up from $335 to $338, while the Chapter 13 filing fee increased from $310 to $313. Now, these changes are pretty minor, so I wouldn't expect them to have a major negative impact on you. But what about attorney fees? Well, here's the deal. Inflation might cause attorney fees to go up a bit. Why, you ask? Well, it's because inflation can push bankruptcy attorneys to shell out more money for their employees and deal with higher costs of living themselves. Especially in cities like Colorado Springs or Aurora, or anywhere across Colorado. So, 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, with its population of 719,238, is the most populous city in Colorado. So, naturally, you might think that bankruptcy attorney fees would be sky-high in Denver compared to a place like Aurora.
While the cost may indeed be higher in Denver, there's a twist. The competition among bankruptcy attorneys is fierce in the Mile High City, which means they have to drop their prices to stay in the game. So, believe it or not, 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 takes all these variables into account to give you an estimate of the all-in cost.
Why Do Some Attorneys Charge Higher Chapter 7 Bankruptcy Fees?
Before you jump into the bankruptcy process, there's something you should know: 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: when it comes to Chapter 13 bankruptcy, attorneys in Aurora usually charge the same amount. They have something called a "no-look fee," which is a standard fee for the services they provide. So, no matter which attorney you choose, you'll be paying about the same.
When it comes to Chapter 7 bankruptcy, things get a little more interesting. The attorney fees can vary greatly. That's why 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 you want to file for Chapter 7 bankruptcy. Well, 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 dive deeper into the topic and explore bankruptcy lawyer fees, I recommend checking out this article: Understanding Bankruptcy Lawyer Fees. It will provide you with more insights and help you make an informed decision.
Conclusion
I hope this article has given you some helpful info to 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. And if you wanna get a quick estimate of the costs specific to Colorado, check out the free Colorado bankruptcy cost calculator below.