As a Colorado Springs Bankruptcy Attorney I regularly meet with people who lack the necessary funds to even pay the $306.00 filing fee required to get their Chapter 7 bankruptcy case filed.

In such cases, we’ll file an application “in forma pauperis” requesting a waiver of the filing fee. There are specific rules regarding when such requests will be granted:  your income must be less than 150% of the official poverty line applicable to your family size and you must be unable to pay the filing fee in installments.

We will need to fill out and submit Official Form 3B, Application for Waiver of the Chapter 7 Filing Fee.  If you take a look at the form, you’ll see that requires you to provide information about:

• your current income;

• your current monthly expenses;

• the number of people in your family;

• the amount of your “cash on hand”;

• the amount of any bank deposits you have;

• any real estate you own;

• any motor vehicles you own;

• whether anyone owes you any money;

• whether you or anyone on your behalf has paid or are planning on paying an attorney or anyone else, like a BPP, to help you with your case; and

• whether you have previously filed for bankruptcy.

Usually within a week after we file the Application, the Court will enter an Order either:

Granting the Application, in which case no filing fee needs to be paid, or

Denying the Application, but giving you the opportunity to pay the filing fee in four monthly installments.

The Court could also set the Application for a Hearing, but in my experience, that is unlikely.

If you are considering filing for bankruptcy but lack the funds to pay the filing fee, you have essentially nothing to lose by proceeding in forma pauperis and requesting a waiver of the filing fee.

Other non-Colorado Springs Bankruptcy Attorneys have written about bankruptcy concepts beginning with the letter “I”:

Income          Income          Involuntary Petition          IRS