Bankruptcy in Massachusetts

Massachusetts has a single federal bankruptcy district. Chapter 7 fees range $1,800-$3,500, Chapter 13 costs $4,000-$9,000 — among the highest nationally due to Boston's high legal market. Massachusetts exemptions include a $500,000 homestead exemption (with automatic $125,000 and declared $500,000 levels), $7,500 motor vehicle, and $850 wildcard. The generous homestead exemption protects many homeowners. Massachusetts does not allow federal exemptions. The Boston area's extremely high cost of living drives significant consumer bankruptcy filings. Student loan debt from the state's numerous universities contributes to financial distress.