Find Bankruptcy Lawyers Near You in Portland, OR

Typical costs for a bankruptcy lawyer in Portland, Oregon vary by case complexity and chapter. For a straightforward Chapter 7 case, attorney fees generally fall between $1,500 and $3,500, with the $338 court filing fee added on top. Some attorneys offer flat-fee arrangements that include all preparation and court appearances. For Chapter 13 cases, fees range from $3,500 to $6,000, and these are often paid through the court-approved repayment plan over three to five years, meaning you may not need to pay the full amount upfront. Many Portland firms provide free initial consultations and flexible payment plans for Chapter 7 fees. Low-income residents may access reduced-cost or pro bono services through Legal Aid Services of Oregon or the Oregon State Bar's Modest Means Program.

This information is general and does not constitute legal advice. Bankruptcy laws and fees are subject to change, and individual circumstances vary. You should consult with a qualified bankruptcy attorney in Oregon to discuss your specific situation and obtain accurate cost estimates.

Bankruptcy law in Portland, Oregon provides individuals and businesses a legal pathway to address overwhelming debt. The most common forms are Chapter 7 and Chapter 13, with Chapter 11 reserved for businesses or high-income individuals. Chapter 7, often called liquidation bankruptcy, requires the debtor to surrender non-exempt assets to a trustee, who sells them to pay creditors. In exchange, most unsecured debts are discharged within three to six months. This option suits those with limited income and few assets, such as renters or homeowners with minimal equity. Chapter 13, or reorganization bankruptcy, allows debtors with regular income to propose a three-to-five-year repayment plan to catch up on missed mortgage payments, car loans, or other secured debts. It is ideal for individuals who want to keep their home or car but cannot afford lump-sum payments. Chapter 11, while primarily for businesses, is available to individuals with debt exceeding the Chapter 13 limits (currently $2.75 million in secured and unsecured debt combined). It offers more flexibility but involves higher costs and complexity. Choosing the right chapter depends on your income, asset value, debt type, and long-term financial goals.

Oregon bankruptcy law incorporates specific state exemptions that can protect your property. Oregon has opted out of the federal exemption system, meaning you must use Oregon state exemptions unless you have lived in another state for the two years before filing. The Oregon homestead exemption protects up to $60,000 of equity in your primary residence, or $90,000 if you are 62 or older, disabled, or supporting a dependent. This amount is doubled for married couples filing jointly. For vehicles, Oregon allows a $3,000 exemption per person for one motor vehicle. The state also offers a generous wildcard exemption of up to $400 in any property, plus up to $10,000 of unused homestead exemption for any property. Other important exemptions include $2,000 for household goods and furnishings, $1,800 for clothing and jewelry, and unlimited exemptions for retirement accounts (such as 401(k)s and IRAs) and public benefits. Oregon Revised Statutes Chapter 18 governs these exemptions, and they are adjusted periodically for inflation. Understanding these exemptions is critical because they determine what property you can keep during bankruptcy.

The means test is a mandatory calculation that determines eligibility for Chapter 7 bankruptcy. It compares your current monthly income over the six months before filing to Oregon's median income for a household of your size. As of 2025, the median income thresholds for Oregon are approximately $60,000 for a single person, $75,000 for a two-person household, $85,000 for a three-person household, and $100,000 for a four-person household. If your income is below the median, you automatically qualify for Chapter 7. If your income exceeds the median, you must complete a more detailed calculation that subtracts allowed living expenses (based on IRS standards) from your disposable income. If your disposable income over five years is less than $8,175, you still qualify for Chapter 7. If it is between $8,175 and $13,650, you may qualify depending on the specific numbers. If it exceeds $13,650, you will be presumed to have enough income to repay creditors and must file under Chapter 13 instead. The means test is complex and requires careful documentation of income, expenses, and household size. An experienced Portland attorney can help you navigate this calculation accurately.

When you file for bankruptcy, an automatic stay goes into effect immediately. This court order stops all collection activities, including phone calls from creditors, wage garnishments, foreclosure proceedings, repossession efforts, and lawsuits. The stay remains in place until the bankruptcy is discharged or dismissed. For Chapter 7, the timeline from filing to discharge is typically three to six months. You must attend a meeting of creditors (called a 341 meeting) about 30 days after filing, where the trustee reviews your paperwork and asks questions about your finances. You must also complete two mandatory courses: a pre-filing credit counseling course (taken within 180 days before filing) and a post-filing debtor education course (taken after filing but before discharge). Both courses are offered by approved agencies and cost between $10 and $50 each. Failure to complete either course can result in your case being dismissed. After discharge, the court issues an order permanently eliminating most dischargeable debts, such as credit card balances, medical bills, personal loans, and utility arrears.

The costs of filing bankruptcy in Oregon include court filing fees and attorney fees. As of 2025, the federal filing fee for Chapter 7 is $338, and for Chapter 13 it is $313. These fees are set by statute and cannot be waived for most filers, though you may request to pay in installments. Attorney fees in Portland vary widely. For a straightforward Chapter 7 case, fees typically range from $1,500 to $3,500, depending on the complexity of your assets and debts. Chapter 13 cases are more expensive because they involve creating a repayment plan and ongoing court oversight; fees usually range from $3,500 to $6,000, and are often paid through the plan itself over three to five years. Some attorneys offer free initial consultations to evaluate your situation. If you cannot afford an attorney, Oregon has resources such as Legal Aid Services of Oregon and the Oregon State Bar's Modest Means Program, which provide low-cost or pro bono assistance for qualifying individuals. Additionally, the U.S. Bankruptcy Court for the District of Oregon maintains a list of approved credit counseling agencies and pro bono clinics.

Life after bankruptcy requires a strategic approach to rebuilding credit and financial stability. A Chapter 7 discharge stays on your credit report for 10 years from the filing date, while a Chapter 13 discharge remains for 7 years. During this time, you can begin rebuilding credit by obtaining a secured credit card, making small purchases, and paying the balance in full each month. You should also monitor your credit reports for errors and ensure all discharged debts are marked as such. Some debts survive bankruptcy and cannot be discharged: most student loans (unless you can prove undue hardship in an adversary proceeding), recent income taxes (less than three years old), child support and alimony, debts for personal injury caused by drunk driving, and fines or penalties owed to government agencies. Secured debts, such as mortgages and car loans, are not automatically discharged unless you surrender the collateral or reaffirm the debt. Reaffirmation agreements allow you to keep the property and continue making payments, but they also reinstate your personal liability. Careful planning with your attorney can help you decide which debts to reaffirm and which to surrender. With discipline and time, bankruptcy can provide a fresh start and a path toward long-term financial health.