NYC Chapter 7 Bankruptcy Attorney Fees
The issue of Chapter 7 Bankruptcy attorney fees is one of the top search queries on the Internet. First, there is a $306 filing fee and then attorney’s fees. Those attorney’s fees can be paid in installments. Legal fees start at $500 and go up from there. I can only speak for my office but here are some of the factors that increase the legal fees:
1. Does the client know general things about his/her financial picture? Such factors include: Generally, how much debt is owed to whom; how much money the client(s) make per MONTH (Gross income); if married, how much the client’s spouse makes per month; how much taxes the client pays per month; how much rent the client pays per month; if the client is on the deed to any property and if there are others on the deed. –When a client has a good idea of their financial picture, less work and investigation is required on my part to prepare the case.
2. Does the client own any real property?
3. Does the client have other substantial assets that need to be protected?
4. Does the client’s household make above the New York State Median? This calculation is based on the last 6 months prior to filing. A higher income household makes it a more aggressive Chapter 7.
5. Has the client transferred any assets, property or other valuables over the last 6 years?
6. Does the client have a rent-stabilized lease in NYC?
Preparing the petition is only a small part of the work that goes into a Chapter 7 Bankruptcy Case. If the client’s case has indicators that there may be objections to the case or assets to be distributed/protected, there can still be a tremendous amount of work in preparing documentation for the trustee, litigating with creditors or defending the client against objections to the case. Some attorneys just looking for a quick buck will file any case for a nominal fee and let the client’s case get dismissed if there are issues. Most of my business is from referrals and if I had poor results that would jeopardize future business.
As of December 28, 2013 my office has a perfect Chapter 7 discharge rate. For this reason, our clients are happy with their results and refer their family members. We intend to keep things this way. By staying a referral business and avoiding costly advertising we are able to keep our costs low and pass along the savings to our clients. If you are interested in learning more about Chapter 7 Bankruptcy Fees in NYC contact my office at 212.244.2882.