How Much Does Chapter 7 Bankruptcy Cost in Michigan? (2026 Price Guide)

If you’re considering Chapter 7 bankruptcy in Michigan, the total cost typically runs $1,500 to $3,500 when you factor in the court filing fee, required counseling courses, and attorney fees — though the exact number depends heavily on how complicated your case is and whether you qualify to have any of those fees waived. Here’s the real breakdown, including the one step most cost guides skip entirely: the means test that determines whether you’re even eligible to file Chapter 7 in the first place.

The Court Filing Fee

Every Chapter 7 case starts with a $338 filing fee paid to the U.S. Bankruptcy Court. This fee is set federally and is the same regardless of which Michigan county you live in. Wayne and Monroe County residents file through the U.S. Bankruptcy Court for the Eastern District of Michigan — you can confirm the current fee schedule directly at the U.S. Courts’ bankruptcy fee schedule.

If you can’t afford the filing fee upfront, the court allows two options: paying in up to four installments over 120 days, or requesting a full fee waiver if your household income falls below 150% of the federal poverty guidelines. Not everyone qualifies for a waiver, but it’s worth asking your attorney to check before assuming you have to pay it all at once.

The Two Required Courses (Often Overlooked in Cost Estimates)

Chapter 7 requires two separate courses, and both have a fee attached:

Credit counseling — required before you file, typically $20–$50, completed online or by phone in about an hour.
Debtor education — required after filing but before your debts are discharged, also typically $20–$50.

Our required credit counseling guide walks through both courses in detail, including which providers are court-approved.

The Means Test: What Most Cost Guides Skip

Before you can file Chapter 7 at all, you have to pass the means test — a federal calculation comparing your household income to the Michigan median income for your household size. If your income is below the median, you generally qualify for Chapter 7 automatically. If it’s above, a second, more detailed calculation looks at your allowed expenses to determine whether you have enough disposable income to instead be steered toward Chapter 13.

This matters for cost because failing the means test doesn’t just cost you time — it can mean paying an attorney to prepare a Chapter 7 petition that has to be converted or refiled as Chapter 13, effectively doubling your legal fees. Current Michigan median income figures (updated periodically) are published by the U.S. Trustee Program at justice.gov/ust/means-testing. Our guide on understanding the Chapter 7 means test breaks down exactly how the calculation works, and our Chapter 7 income guidelines page covers current Michigan thresholds by household size.

What Drives Attorney Fees Up or Down

1. How much documentation you come in with. Attorneys bill largely for time. Arriving with organized pay stubs, tax returns, and a clear list of debts and assets reduces the hours needed to prepare your petition.

2. Whether you have complex or contested assets. A straightforward case with few assets to protect costs less than one involving a home, a business, or property a trustee might question. See our guide on what happens to co-signers during bankruptcy if you have joint debts, since those add a layer of complexity.

3. Whether a creditor objects. Most Chapter 7 cases proceed without any creditor pushback, but if a creditor objects to your bankruptcy, responding adds attorney time and cost.

4. Whether you’re filing to address a specific threat, like vehicle repossession or wage garnishment — these cases sometimes require faster, more urgent filing work, which can affect cost and timeline. See Chapter 7 bankruptcy and vehicle repossession for how timing affects your options there.

What You Get to Keep: Michigan Exemptions

Part of what an attorney’s fee covers is correctly applying Michigan’s bankruptcy exemptions — the rules determining what property you keep versus what a trustee could sell to pay creditors. Michigan allows filers to choose between state exemptions and, in some cases, federal exemptions, and choosing wrong can cost you property you didn’t need to give up. The current exemption amounts are set out in MCL 600.5451, and our federal and Michigan bankruptcy exemption rules guide breaks down which option typically makes sense.

Ways to Lower Your Bankruptcy Costs

• Confirm you actually qualify before paying for full representation. A quick means test review upfront avoids paying for work that has to be redone under Chapter 13.
• Ask about flat-fee arrangements. Many Michigan bankruptcy attorneys, including our firm, offer flat fees for straightforward Chapter 7 cases rather than open-ended hourly billing.
• Gather your documents before your first consultation — pay stubs, tax returns (typically the last 1-2 years), a list of debts, and a list of assets. This alone can meaningfully cut attorney prep time.
• Ask about fee waivers for the court filing fee if your income is limited — many filers don’t realize this option exists.

Is Chapter 7 Even the Right Fit? Check What Disqualifies You First

Before spending money on any part of this process, it’s worth confirming you’re not walking into a disqualifying issue — see what disqualifies you from filing bankruptcy and can anyone file Chapter 7 bankruptcy for the most common reasons people get stopped partway through.

Get a Real Cost Estimate for Your Situation

Every bankruptcy case is different, and the only way to get an accurate number is to talk through your specific debts, assets, and income with an attorney. Mitten Law Firm serves clients throughout Wayne and Monroe Counties, including Wyandotte, Southgate, Trenton, Riverview, Taylor, Allen Park, Grosse Ile, and the greater Downriver area. Set up a free consultation to find out exactly what your case would cost.

 
  
 
 
 
 
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