Cost to File Bankruptcy in Texas (2024)

1. Actual Attorney Costs by Area

We provided a range of what a bankruptcy lawyer charges above, but the final cost depends on a few factors. Complexity, location, level of attorney connection, and the bankruptcy lawyer's expertise all play a role in determining the final bill. Where you live is a big factor though, so let's look at the bankruptcy district map in Texas and actual fees from Pacer filing data.

Find which district you live in from the map below then look at actual attorney fees below.

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Now, let's dive into some numbers. Here are the estimated costs you can expect in major cities across Texas.

Texas Northern District

So, you find yourself in a tough financial spot, huh? Don't worry, you're not alone. Many folks out there have faced financial struggles at some point in their lives. And when things get really tough, some people turn to bankruptcy as a way to get a fresh start.Now, if you're considering bankruptcy in Dallas, you might be wondering about the cost. Well, let me tell you, hiring a bankruptcy attorney ain't exactly cheap. On average, you're looking at shelling out $1700 - $2200 for their services. The sources of this information is all from PACER.

Texas Southern District

Alright folks, let's talk about the bustling city of Houston, Texas. This place is jam-packed with people, making it the most populated city in the whole state! Can you believe it? We're talking about a whopping 2,325,502 folks calling Houston their home sweet home.Now, here's the deal. If you ever find yourself in a tough financial spot in Houston, you might need the help of a bankruptcy attorney. But hold on to your hats, because these legal eagles can cost you a pretty penny.

Brace yourselves, folks, because the estimated price tag for a bankruptcy attorney in Houston is around $1800 -$2600.

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Texas Western District

If you find yourself facing bankruptcy in San Antonio, there are some legal professionals who can lend a helping hand in the Western District. But, as with most things in life, their services come at a price. Brace yourself, my friend, because hiring a bankruptcy attorney in Western District can set you back around $800-1200.

Texas Eastern District

Texas Eastern district have courts in Plano, Beaumont and Tyler Texas. We found 3 cases where the attorneys there charged between $1600 - $2642 for a Chapter 7 bankruptcy.

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2. Chapter 13 Bankruptcy Attorney Fees Texas

Chapter 13 bankruptcy attorneys in Texas can charge anywhere between $2500 and $3825 for their services. The actual fee may vary depending on the district you're in.

Now, when it comes to Chapter 7 attorney fees, there's more variability. However, Chapter 13 fees tend to be relatively similar. This is because of something called "no-look fees," which are considered a reasonable cost for the services provided.

But here's something to keep in mind. Even if you're going for a Chapter 13 bankruptcy, it's worth checking if the attorney charges an hourly rate for any additional work that may be required after filing. It's always good to have all the information upfront, so you know exactly what to expect.

3. How To Reduce Bankruptcy Costs

Did you know that bankruptcy filing costs are pretty similar all across the United States? Yep, it's not just Texas. So, if you're thinking about filing for bankruptcy, there are a few other costs you should consider. Let's dive in and take a look.

A. Hiring A Remote Attorney

When filing Chapter 7 bankruptcy, you used to have to appear in court for a 341 meeting of creditors. Now, many things are going online from COVID. There are actual telephonic instructions for the 341 meeting of creditors now.

So, if you're comfortable doing most things over Zoom, you may save quite a bit if:

1. You don't have to take off work to go to a physical consultation and paperwork signing.
2. You do not have to use your vehicle and gas to go to the consultation.
3. Reducing attorney costs of having a physical office may reduce his/her fees

B. Getting Bankruptcy Filing Fees Waived

So if you're thinking about filing for bankruptcy, let's talk about the filing fees. Nobody likes fees, but unfortunately, they're a necessary evil in the world of bankruptcy.

If you're filing for Chapter 7 bankruptcy in the U.S., you'll need to spend $338. This fee includes a $245 filing fee, a $78 administrative fee, and a $15 trustee surcharge.

Now, if you're considering Chapter 13 bankruptcy, the filing fee is a little lower at $313. This 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 a way out. You could potentially pay the fee in installments or, get this, have it waived altogether. That's right, you heard me. The fee could be waved like a magic wand. For more information on this tantalizing possibility, check out the Texas filing fee information and more details below.

Texas Filing Fee Waiver Guidelines

If you're thinking about filing for Chapter 7 bankruptcy and you're worried about the fees, there's a chance you might be able to get those fees waived if your income falls below 150% of the Texas poverty guidelines. Let me break it down for you.

In the table below, you can find the poverty guidelines for different household sizes in Texas for the year 2024. These guidelines determine the maximum income you can have to be eligible for the fee waiver.

Number of People | 150% Poverty Guideline
-----------------|-----------------------
1 | $15,060
2 | $20,440
3 | $25,820
4 | $31,200
5 | $36,580
6 | $41,960
7 | $47,340
8 | $52,720
* Add $5380 for each additional person

So, if your household size is 1 and your income is below $15,060, or if you have a larger household and your income is below the corresponding guideline, you could be eligible for the fee waiver. It's important to note that if you have more than 9 people in your household, you'll need to add $5380 for each additional person.

This fee waiver can be a huge help for those who are struggling financially and need a fresh start. However, keep in mind that there may be other requirements and paperwork involved in the bankruptcy process. It's always a good idea to consult with a bankruptcy attorney who can guide you through the process and help you determine if you qualify for the fee waiver.

4. Miscellaneous Costs and FAQs

Let's cover other costs and FAQs.

Mandatory Course Costs

When you're in a tight spot and decide to file for bankruptcy, there are a couple of courses you'll need to take. In Texas, you'll have to complete an approved credit counseling course and a debtor education course. The good news is that you can often take these courses online, making it more convenient for you.

Now, let's talk about the cost. On average, these courses will set you back around $10 to $50 per course. It's important to note that the courses must be approved, so you'll want to make sure you're taking the right ones. Lucky for you, we've got a list of approved Texas credit counseling courses and Texas debtor education courses. You can find all the details, including the cost, by checking out the links provided.

Remember, bankruptcy can be a tough road to travel, but these courses can help you navigate through it.

Miscellaneous Costs

So, if you're planning on attending a meeting of creditors at the courthouse, there might be some expenses involved. One thing you might have to shell out for is transportation. Yep, you might have to cover the cost of getting yourself to the courthouse.

Another possible expense is a credit report. Now, here's the deal - your attorney might need a credit report to help you out with your case. But guess what? You might have to foot the bill for that too. Although, your attorney might be able to assist you in obtaining the credit report.

Now, let's talk numbers. If you're wondering how much transportation to the bankruptcy court might set you back, don't worry, I've got you covered. You can estimate the cost by checking out the bankruptcy courts listed below.

Will Inflation Affect the Cost To File Bankruptcy in Texas?

So, here's the deal: inflation in 2024 is expected to calm down. But what does that mean for attorney fees? Will they still go up? Let's dive into it and see how inflation might affect the filing fee and attorney costs in Texas.

Now, when it comes to the filing fee for Chapter 7 bankruptcy, it recently went up from $335 to $338. And for Chapter 13 bankruptcy, it increased from $310 to $313. These changes came into effect on December 1st, 2020. On the bright side, the increase is so slight that it's unlikely to put a dent in your wallet.

However, when it comes to attorney fees, things might get a bit trickier. You see, inflation can push bankruptcy attorneys to pay their employees more and deal with higher living costs themselves, especially in cities like San Antonio, Dallas, and across the great state of Texas. So, there's a chance you might see some inflation creeping into those attorney fee costs.

Would My Bankruptcy Cost Be Higher Houston Than Dallas?

You know, living in a suburb in Texas can make you wonder about some things. Like, should you hire a local attorney or go for someone in a bigger city, say San Antonio, to save on bankruptcy costs? It's a tough call, I get it.

Now, Houston, that's a bustling place with a whopping population of 2,325,502. With so many people, you might think that the cost of bankruptcy attorney fees would be sky-high over there, right? Well, not necessarily.

See, while the cost may be higher in Houston, there's also a silver lining. There's more bankruptcy attorneys in the mix, which means more competition and, you guessed it, lower prices. So, hold your horses before you assume that filing for bankruptcy in your own city is cheaper than in Houston.

But here's the deal, most bankruptcy attorneys offer free consultations. Yep, you heard that right. Free. So, why not take advantage of that? You can get multiple perspectives and make an informed decision. And hey, we've got something to help you out too. Check out our bankruptcy cost calculator below. It takes all those variables into account and gives you an estimate of the total cost.

Why Do Some Attorneys Charge Higher Chapter 7 Bankruptcy Fees?

So, you're in a bit of a financial pickle and considering filing for bankruptcy. It's a tough decision, but sometimes it's the best way to get a fresh start. Now, when it comes to hiring a bankruptcy attorney in San Antonio, you might be surprised to find that their costs can vary quite a bit. It's like comparing apples and oranges!

When it comes to Chapter 13 bankruptcy attorneys in Dallas, though, things are a bit different. They usually charge a fixed fee, known as the "no-look fee," which is pretty standard for the services they provide. So, you can expect similar costs across the board. But hold on, because Chapter 7 bankruptcy attorney fees can be all over the place. It's like a roller coaster ride!

Now, let's break down what factors can influence the cost of a bankruptcy lawyer. First off, it depends on which chapter you're filing under - Chapter 7 or Chapter 13. Then, the complexity of your case comes into play. Are you dealing with assets or no assets? Location matters too. Are you in Houston or San Antonio? And let's not forget about the level of connection you have with your attorney and their expertise. How many years of experience do they have? It's like putting together a puzzle!

Here's an example to help you understand. Let's say you're making $10,000 more than the median income for Texas, and you want to file for Chapter 7 bankruptcy. Well, in this case, your attorney might need to spend extra time reviewing your expenses to see if you still qualify. After all, being above the median income can complicate things. And as you can imagine, more attorney time means a higher overall cost. It's like adding fuel to the fire!

If you want to dive deeper into the world of bankruptcy lawyer fees, we've got just the article for you. Check out "Understanding Bankruptcy Lawyer Fees" for more juicy details. It's like a treasure trove of information!

Conclusion

Now, the biggest factor that affects the overall cost is the attorney fee. For a Chapter 7 bankruptcy, you're looking at shelling out anywhere between $800 and $2000. If you're going for a Chapter 13 bankruptcy, the attorney fee can range from $2500 to $3825.

Now, I know all these numbers can be a bit overwhelming, but don't worry! I've got you covered. If you want a more accurate estimate of the costs, you can try out the free Texas bankruptcy cost calculator below. It'll help you get a clearer picture of what you're dealing with.