Bankruptcy in Alabama

Alabama ( AL)

Average: $2,000

Last Updated: Mar 2026

Low Estimate

$800

Simple / Uncontested Cases

Average Cost

                        $2,000                    
Typical
                        Bankruptcy Case
                    

High Estimate

$4,500

Complex / Contested Cases

Cost Component	Low	Average	High
Attorney Hourly Rate	$175/hr	$250/hr	$425/hr
Total Cost Estimate	$800	$2,000	$4,500
Court Filing Fee	$338

What to Know About Bankruptcy Costs in Alabama

Alabama has three bankruptcy districts. Chapter 7 fees range $800-$1,500, Chapter 13 costs $2,000-$4,500 — among the lowest nationally. Alabama exemptions include a $15,500 homestead exemption, $2,000 motor vehicle (or $10,000 if not using homestead), and personal property exemptions. Alabama requires state exemptions only. The Northern District (Birmingham) handles the most filings. Alabama has above-average per capita bankruptcy filing rates.

Sources: United States Courts (uscourts.gov) - Ch.7: $338, Ch.13: $313