Debtors suffer paying $2,000 more in 'no money down' bankruptcies
The article discusses how many Americans facing bankruptcy choose between chapter 7 and chapter 13, often based on attorney fees. People who can't afford upfront fees for chapter 13 end up paying more and having their cases dismissed more often. Factors like where someone lives and their race can influence whether they file a "no money down" bankruptcy. This can lead to a distortion in legal help delivery. The researchers suggest changes in how attorneys collect fees to address this issue.