Bankruptcy in Illinois

Illinois bankruptcy filings are concentrated in the Northern District (Chicago area), which consistently ranks among the top federal districts for consumer bankruptcies. Chapter 7 attorney fees range from $1,500-$3,000 in Chicago and $1,000-$2,000 downstate. Chapter 13 fees run $3,200-$8,000 depending on case complexity. Illinois exemptions include a $15,000 homestead exemption (relatively low compared to neighboring states), $2,400 for a motor vehicle, and a wildcard exemption of $4,000. The Northern District of Illinois has specific local rules regarding fee structures and payment timing. Illinois residents cannot use federal bankruptcy exemptions — they must use state exemptions. Means test income thresholds for Chapter 7 eligibility are approximately $62,000 for a single filer. The state's property tax rates, among the highest in the nation, contribute to financial distress that often triggers bankruptcy filings.