Find Bankruptcy Lawyers Near You in Great Falls, MT

The cost of hiring a bankruptcy lawyer in Great Falls, Montana, depends on the chapter you file and the complexity of your financial situation. For a standard Chapter 7 case, attorney fees generally range from $1,200 to $2,500, with many lawyers offering flat-fee arrangements that cover all pre-filing work, document preparation, and court representation. Chapter 13 cases are more expensive, typically costing between $3,000 and $5,000, because they require ongoing plan administration and multiple court appearances over three to five years. Most attorneys in Great Falls offer payment plans, allowing you to pay fees in installments before filing, often with a down payment of $500 to $1,000. The court filing fee is $338 for Chapter 7 and $313 for Chapter 13, which can sometimes be paid in installments or waived if your income is below 150% of the federal poverty guidelines. Pro bono resources through Montana Legal Services Association may be available for those who qualify based on low income.

This information is general and not legal advice. Bankruptcy laws and fees can change, and your specific circumstances may affect costs and eligibility. You should consult with a qualified bankruptcy attorney in Great Falls to discuss your situation.

Bankruptcy law in Great Falls, Montana, provides individuals and businesses a legal pathway to address overwhelming debt. The most common forms are Chapter 7, which involves liquidation of non-exempt assets to discharge most unsecured debts, and Chapter 13, which allows debtors with regular income to reorganize their finances through a court-approved repayment plan lasting three to five years. Chapter 11 is typically reserved for businesses or individuals with debt exceeding Chapter 13 limits, offering more complex restructuring options. For a single person with modest income and few assets, Chapter 7 often provides a clean slate by eliminating credit card balances, medical bills, and personal loans. Chapter 13 suits those who want to keep non-exempt property, such as a second vehicle or valuable tools, while catching up on mortgage arrears or tax debts over time. Chapter 11 may be appropriate for a Great Falls business facing creditor pressure but needing to continue operations under court supervision.

Montana has opted out of the federal bankruptcy exemption system, meaning debtors filing in Great Falls must use state-specific exemptions to protect their property. Under Montana Code Annotated Title 31, a debtor can exempt up to $100,000 in equity in their primary residence, provided the property is used as a home and the debtor has lived there for at least 40 months before filing. For vehicles, Montana allows an exemption of up to $5,000 in equity for one motor vehicle, with an additional $2,500 for a vehicle modified for a disabled person. The state also offers a wildcard exemption of up to $600 for any personal property, plus up to $400 for each dependent, which can be applied to assets not covered by other exemptions. Other notable exemptions include $4,000 in household goods and furnishings, $1,000 in jewelry, and $2,000 in tools of the trade. These exemptions are adjusted periodically for inflation, so consulting current Montana statutes is essential.

The means test determines eligibility for Chapter 7 bankruptcy in Great Falls. This calculation compares your average monthly income over the six months before filing to the median income for a household of the same size in Montana. As of 2024, the median annual income for a single earner in Montana is approximately $60,000, for a two-person household around $75,000, for a three-person household near $85,000, and for a four-person household about $100,000. If your income falls below the median, you automatically qualify for Chapter 7. If it exceeds the median, you must complete a detailed expense analysis to see if you have enough disposable income to repay a portion of your unsecured debts over five years. Those with significant disposable income may be presumed to be abusing Chapter 7 and must file under Chapter 13 instead. The means test form is complex and requires careful documentation of all income sources and allowable expenses under IRS guidelines.

Filing for bankruptcy in Great Falls triggers an automatic stay, an immediate court order that stops most creditor collection actions. This includes halting wage garnishments, foreclosure proceedings, repossession attempts, harassing phone calls, and lawsuits. The automatic stay remains in effect until the case is closed or the court lifts it for specific reasons. From filing to discharge, a Chapter 7 case typically takes three to six months, while a Chapter 13 plan lasts three to five years. Before you can receive a discharge, you must complete two mandatory courses: a pre-filing credit counseling session from an approved agency within 180 days before filing, and a post-filing debtor education course before the discharge is entered. These courses can be completed online or by phone and usually cost between $10 and $50 each. Failure to complete either course can result in case dismissal.

The costs of bankruptcy in Great Falls include court filing fees and attorney fees. The federal filing fee for Chapter 7 is $338, and for Chapter 13 it is $313, both payable to the U.S. Bankruptcy Court for the District of Montana. Attorney fees vary by the complexity of the case and the chapter filed. For a straightforward Chapter 7, fees in Great Falls typically range from $1,200 to $2,500, while Chapter 13 cases often cost between $3,000 and $5,000 because they require more court appearances and plan administration. Many attorneys offer payment plans, allowing you to pay fees in installments before filing. For those with very low income, Montana Legal Services Association and other pro bono programs may provide free or reduced-cost representation, though eligibility is limited to those below 125% of the federal poverty level. You can also request to pay filing fees in installments or apply for a fee waiver if your income is below 150% of the poverty guidelines.

Life after bankruptcy in Great Falls involves both challenges and opportunities. A Chapter 7 discharge stays on your credit report for ten years from the filing date, while a Chapter 13 discharge remains for seven years. During this time, rebuilding credit is possible through secured credit cards, becoming an authorized user on a responsible persons account, and making timely payments on any debts that survived bankruptcy. Certain debts are not dischargeable in bankruptcy, including most student loans, recent income taxes (less than three years old), child support, alimony, and debts from fraud or willful injury. You can also reaffirm debts like a car loan or mortgage if you want to keep the property and continue payments. Many Great Falls residents find that within two to three years after discharge, they can qualify for a mortgage or car loan, though interest rates may be higher initially. The key is to create a budget, avoid taking on new high-interest debt, and focus on building an emergency fund.