Most of the bankruptcies I file don't require any up-front legal fees. The client only has to pay the Court fees, the credit bureaus for a credit report and for the on-line class. ($326 total for an individual, $346 for a couple)
*Don't get me wrong, I get paid and paid well, but it is through the bankruptcy process, not directly from my clients and pursuant to a Bankruptcy Court Order. I'm a firm believer in you get what you pay for and you will pay our office well over time. Here is my philosophy: If our office files you in a Chapter 13 bankruptcy and saves you enormous amounts of money, wipes out all or most of your unsecured debt and gives you a repayment plan that really works, then we get paid. If we don't and you don't succeed, we don't get paid. The payment is tied directly to the client's success. You win, we win. Here are some other reasons for not taking any money up front:
There are occasions where it makes more sense to pay all or most of the attorney fees up front. Bottom line -- and all money stuff is about the bottom line -- make sure you talk to the attorney and compare the cost to savings and don't worry as much about what the attorney fees are. This is the most important formula:
Amount of Debt Owed > Attorney Fees
Click on the "Read More" Button and I'll give some concrete examples.