Find Bankruptcy Lawyers Near You in Corpus Christi, TX

The cost of hiring a bankruptcy lawyer in Texas for a Chapter 7 case typically ranges from $1,200 to $3,500, depending on the complexity of your assets and debts. For a Chapter 13 case, fees are higher, often between $3,000 and $6,000, because the lawyer must draft a repayment plan and attend multiple hearings over several years. Court filing fees are fixed at $338 for Chapter 7 and $313 for Chapter 13, and you must also budget for two mandatory courses costing $10 to $50 each. Many lawyers in Corpus Christi offer payment plans, allowing you to pay attorney fees in installments before the case is filed, and some provide reduced rates for veterans or low-income clients. This information is general and does not constitute legal advice; you should consult a qualified attorney for guidance specific to your situation.

Bankruptcy law in Corpus Christi, Texas, provides individuals and businesses a legal pathway to address overwhelming debt. The two most common chapters for individuals are Chapter 7, known as liquidation bankruptcy, and Chapter 13, a reorganization plan for those with regular income. Chapter 7 allows you to discharge most unsecured debts, such as credit cards and medical bills, by selling non-exempt assets through a court-appointed trustee. Chapter 13, by contrast, requires you to propose a three-to-five-year repayment plan to catch up on secured debts like mortgages or car loans while keeping your property. Chapter 11 is primarily for businesses or individuals with debt exceeding Chapter 13 limits, offering a more complex restructuring process. Choosing the right chapter depends on your income, asset value, and whether you want to discharge debts or reorganize them.

Texas law offers distinct advantages for bankruptcy filers because the state has opted out of the federal exemption system. This means you must use Texas-specific exemptions when protecting your property in bankruptcy. The Texas homestead exemption is among the most generous in the nation, with no dollar cap on equity for urban or rural homesteads, provided the property is one acre or less in a city or up to 100 acres in the country. For vehicles, Texas allows an exemption of up to $15,000 in equity per person, or $30,000 for a family filing jointly. The state also provides a wildcard exemption of $60,000 for a single adult or $120,000 for a family, which can be applied to any personal property, including cash, jewelry, or household goods. These exemptions are codified in the Texas Property Code, Sections 41.001 and 42.001, and they can significantly reduce what you must surrender to creditors.

The means test is a critical step in determining eligibility for Chapter 7 bankruptcy. This test compares your average monthly income over the six months before filing to the median income for a household of your size in Texas. As of 2025, the median annual income for a single-person household in Texas is approximately $60,000, with higher thresholds for larger families. If your income falls below the median, you automatically qualify for Chapter 7. If it exceeds the median, you must calculate your disposable income after deducting allowed expenses, such as housing, food, and medical costs. If your disposable income is high enough to repay a significant portion of your unsecured debts over five years, you may be required to file Chapter 13 instead. This calculation uses IRS standard expense guidelines, which can be adjusted for local costs in Corpus Christi, such as higher housing expenses in coastal areas.

When you file for bankruptcy, an automatic stay immediately goes into effect, stopping most collection actions, including phone calls from creditors, wage garnishments, foreclosure proceedings, and lawsuits. This protection gives you breathing room to work with your lawyer and the court. The timeline from filing to discharge varies by chapter. For Chapter 7, the process typically takes four to six months, with a meeting of creditors, called a 341 meeting, occurring about 30 days after filing. For Chapter 13, the repayment plan lasts three to five years, and the discharge is granted only after you complete all payments. Before you can receive a discharge, you must complete two mandatory courses: a credit counseling course within 180 days before filing, and a debtor education course after filing. These courses are available online or by phone and cost between $10 and $50 each.

The costs of bankruptcy in Corpus Christi include court filing fees and attorney fees. The filing fee for Chapter 7 is $338, and for Chapter 13 it is $313, as set by the U.S. Bankruptcy Court. Attorney fees for Chapter 7 typically range from $1,200 to $3,500, depending on the complexity of your case, while Chapter 13 fees are higher, often between $3,000 and $6,000, because of the longer duration and more detailed plan requirements. Many lawyers offer payment plans, allowing you to pay fees in installments before filing. For those with very low income, pro bono resources are available through organizations like Texas RioGrande Legal Aid, which serves the Corpus Christi area, though eligibility is limited to those at or below 125% of the federal poverty level. Some lawyers also offer reduced-fee services for veterans or seniors.

Life after bankruptcy involves rebuilding your financial standing. 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. However, this does not mean you cannot access credit during that time. Many people receive offers for secured credit cards or small loans within months of discharge, though interest rates will be higher. Strategies for rebuilding include making all payments on time, keeping credit utilization low, and gradually adding installment loans like car loans. Certain debts survive bankruptcy, including most student loans, recent income taxes (less than three years old), child support, alimony, and debts from fraud or intentional harm. Tax debts can be discharged if they are older than three years and you filed the returns on time, but this requires a separate analysis. Bankruptcy does not eliminate liens on property, so if a creditor has a valid lien, you must still pay that debt to keep the asset.