Bankruptcy costs vary throughout the country. In Virginia, the cost of your bankruptcy could depend on various factors, such as which attorney you select to handle your case, the complexity of your situation and the type of bankruptcy you need. Chapter 7 is usually cheaper, whereas Chapter 13 is often more expensive. Per Debt.org, average filings cost between $1,500 and $4,000.
However, making your debt relief decisions based on short-term concerns, such as court fees, is rarely a good strategy. Bankruptcy should provide a way for you to put your life back together after unmanageable debt makes things unbearable. You will probably feel the consequences of and reap the benefits of this process for years to come.
Because your bankruptcy is an investment in your future, it makes sense to do things correctly. Part of that means selecting the type of bankruptcy that is the best for your situation. Even if Chapter 13 is more expensive, it could be a better choice for you, for example.
Another way that you can make sure you make the best decision for your future is by considering the cost relative to the entire length of your economic recovery. For example, your Chapter 13 repayment plan could last five years. As a mental exercise, you could divide the cost of your case over those five years. In that perspective, the value of bankruptcy often becomes more obvious.
Bankruptcy is not the only debt relief option. However, when you compare it realistically to your other alternatives, it will probably be at least competitive — if not preferable.
It will probably benefit you to think about more than a simple price tag when you think about bankruptcy. Of course, you should act according to your own material situation. This is not legal advice for any case. It is only general information.