How do bankruptcy lawyers make any money if their clients are 'bankrupt'?
Jan Meriss Alfonso Assistant at Ascent Law LLC How Do Bankruptcy Lawyers Make Money? Bankruptcy attorneys make their money by charging their clients for a bankruptcy consultation. These clients often stop paying even the smallest bills to pay the attorney in advance. Some may even ask for a third party to guarantee their payment. However, there is a catch to these fees: these are not dischargeable. Costs of a bankruptcy consultation The fees charged by bankruptcy lawyers are generally not the same no matter where you live. Some charge no fee at all, while others charge a consultation fee that will be credited toward the attorney's total fees. Regardless of the fee, you should be able to get a fair idea of what to expect during the consultation. The Martindale-Nolo study said that the average attorney fee for a Chapter 13 case is around $3,500. There are many factors that can affect the fee, such as the complexity of the case. For example, business owners may need more...