How To File Bankruptcy for Free in Minnesota (2025 Guide)

How To File Bankruptcy in Minnesota for Free

Debt weighing you down? You’re not alone. You don’t need a lawyer to get relief. Many Minnesotans file Chapter 7 bankruptcy on their own successfully. Chapter 7 can eliminate credit card debt, medical bills, and payday loans. You’ll get a fresh financial start.

This guide walks you through filing on your own. Step by step.

Step 1: Collect Your Minnesota Bankruptcy Documents

Gathering your financial documents comes first. These documents give you the information needed for your bankruptcy forms. They help the court understand your income, expenses, and debts.

The court or trustee requires some documents:

• Pay stubs from the past six months
• Tax returns from the last two years
• A bank statement that includes your filing date

Additional helpful documents include:

• Bank statements from the last 6-12 months
• Recent credit card or loan statements
• Bills or letters from debt collectors
• A recent credit report

Not sure about all your debts? Get a free credit report from each major credit bureau at AnnualCreditReport.com.

Step 2: Take Credit Counseling Course

You must complete a credit counseling course before filing. The course provides an overview of your financial options. It helps you decide if bankruptcy is the right path.

Key points to remember:

• Take the course within 180 days before filing your case
• You can take it online, over the phone, or sometimes in person
• Cost usually runs $10-$50, but fee waivers are available
• Use only court-approved providers for Minnesota

You’ll receive a completion certificate. File this certificate with your bankruptcy forms. Without it, the court can dismiss your case.

Step 3: Complete the Bankruptcy Forms

Everyone filing Chapter 7 completes the same set of forms. Your state doesn’t matter. Download them free as fillable PDFs from USCourts.gov.

Some courts require local forms. Minnesota’s bankruptcy court provides pro se filers with a complete list of filing requirements. No local forms are required with your petition.

A bankruptcy attorney can complete the forms for you if you prefer professional help. You’d fill out their questionnaire first. Then they file everything on your behalf.

Step 4: Get Your Filing Fee

Filing Chapter 7 costs $338. Many people don’t pay the full amount though. Income below 150% of the federal poverty line? You can ask the court to waive the fee completely.

Don’t qualify for a waiver? Ask the court for installment payments. This option helps when you need to file quickly without the full amount upfront. Filing triggers the automatic stay immediately. Most creditors must pause wage garnishment, repossession, and collection calls.

Warning: Missing a payment may result in case dismissal. You won’t get a refund.

Step 5: Print Your Bankruptcy Forms

Your bankruptcy forms are complete. Now print them for court filing.

Follow these printing requirements:

• Use black ink only
• Print on white, 8.5″ x 11″ letter-size paper
• Print single-sided pages (no double-sided)
• Don’t staple, hole-punch, or bind the pages

Sign every page that asks for a signature.

Step 6: File Your Forms With the Minnesota Bankruptcy Court

Your forms are ready. Now officially open your case by filing them. Minnesota allows people filing without lawyers to:

• Mail forms to the clerk’s office, or
• Bring them in person to their county courthouse

Minnesota doesn’t allow online filing for pro se filers. Choose between mailing or hand-delivering your forms.

Many filers prefer going in person when possible. It’s usually faster. The clerk can check your packet for missing items like signatures or required forms.

Can’t reach the court in person? Mail works fine. Use certified mail when possible. You can track your forms and ensure delivery.

Choose what feels easiest for you.

Step 7: Mail Documents to Your Trustee

After filing, the court assigns a Chapter 7 trustee. This person double-checks your paperwork. They ensure everything in your case is complete and accurate.

They also review your property. They check if anything could pay creditors. Most people don’t lose anything they own though.

Send your trustee these documents at least two weeks before your 341 meeting:

• Your two most recent federal tax returns
• A bank statement showing your filing date
• A copy of your photo ID (driver’s license, state ID, or passport)
• Proof of your Social Security number
• A recent pay stub or other proof of income

You’ll receive your trustee’s name and contact information from the court shortly after filing.

Trustees sometimes request extra documents. Examples include car titles, mortgage statements, or retirement account balances. Send requested documents quickly to keep your case moving forward.

Step 8: Take a Debtor Education Course

After filing, complete one more course before debt discharge. The debtor education course covers practical money skills. You’ll learn budgeting, saving, and managing credit after bankruptcy.

The court requires this step to issue your discharge. The discharge order officially erases your qualifying debts.

Important details:

• Complete the course within 60 days after your 341 meeting
• Use a court-approved provider in Minnesota
• You’ll receive a certificate at the end
• File this certificate with the court to ensure your discharge

You’ll gain practical tools for your fresh start.

Step 9: Attend Your 341 Meeting

About a month after filing, you’ll attend a 341 meeting. It’s also called the meeting of creditors. For most people, this is just a short conversation with the trustee. Creditors can attend but almost never do.

The trustee confirms your identity and reviews your paperwork. They ask a few questions under oath. Questions are usually simple. They might ask if your forms are correct and whether you listed all property. Many people find the meeting quick and low-stress.

The meeting happens about 30 days after filing. Most meetings now occur online through Zoom.

Most Chapter 7 meetings last only 5-10 minutes. From there, most people receive their discharge order within 60 days.

Step 10: Deal With Your Car

For many Minnesotans, having a car is necessary. You need it for work, picking up kids, running errands, or caring for family. Worrying about losing your car in bankruptcy is normal. Good news: most people keep their car.

Whether you keep your car depends on its value. Other factors include whether you owe money on it and how Minnesota’s exemption laws apply. Exemptions are legal protections that help you keep certain property during bankruptcy.

Minnesota’s state exemptions protect up to $10,000 in vehicle equity. Equity equals the car’s value minus any loan balance.

If you own your car outright: Its value falls within the exemption limit? You’ll likely keep it.

If you have a car loan, you have options:

• Reaffirm the loan: Many current filers who want to keep their car sign a reaffirmation agreement. They agree to continue loan payments even after bankruptcy.
• Redeem the car: Keep your car by paying what it’s worth in one payment. Redemption helps when you owe more than the car’s worth. The downside: coming up with the lump-sum payment is tough.
• Surrender the car: Some people choose to return the car if the loan is too expensive or the car isn’t worth keeping. The remaining loan balance gets wiped out in bankruptcy.

Leasing works differently: Keep the lease and stay current on payments, or return the car and cancel the lease.

Minnesota Bankruptcy Means Test

You must pass a means test to qualify for Chapter 7. First, calculate your current monthly income. That’s the average of all income received in the six months before filing. Income below Minnesota’s median income level for your household size? You pass the test and qualify for Chapter 7.

Income higher? Take the second part of the test. It’s more involved and includes your expenses. It determines how much disposable income you have.

Don’t pass the Chapter 7 means test? You’re not ineligible for bankruptcy. You’re usually limited to filing Chapter 13 bankruptcy instead.

Minnesota Median Income Standards for 2025

Compare your household income to these thresholds to see if you qualify for Chapter 7:

• 1 person: Check current median income levels
• 2 people: Check current median income levels
• 3 people: Check current median income levels
• 4+ people: Check current median income levels

Minnesota Fee Waiver Eligibility for 2025

Eligible for fee waiver when under 150% the poverty level:

• 1 person: $1,882.50/month
• 2 people: $2,555.00/month
• 3 people: $3,227.50/month
• 4 people: $3,900.00/month
• 5 people: $4,572.50/month
• 6 people: $5,245.00/month
• 7 people: $5,917.50/month
• 8 people: $6,590.00/month

Minnesota Bankruptcy Forms

All main bankruptcy forms are federal. They’re the same nationwide. Some states require filers to submit local forms. You can only get these from the state bankruptcy court.

Minnesota’s bankruptcy court provides pro se filers with a complete list of filing requirements. Filing pro se? You’re not required to submit any local forms with your petition.

Download all federal forms free from the U.S. Courts website.

Minnesota Districts & Filing Requirements

The District of Minnesota divides into four separate divisions: Duluth, Minneapolis, Fergus Falls, and St. Paul.

You can file your bankruptcy papers in person or by mail. Filing pro se? Pay the filing fee by money order, cashier’s check, or debit card (not credit card). Paying the filing fee in installments? The maximum number of installments is two.

Minnesota Bankruptcy Exemptions

Bankruptcy exemptions allow you to keep your property up to a certain value. They cover, or protect, the equity in property. Minnesotans can choose between federal exemptions or Minnesota’s exemptions. Compare the two lists and see which best protects your personal property and real estate.

Many Minnesota homeowners opt for state exemptions. Minnesota’s homestead exemption protects $450,000 of your home’s equity if located in a city, town, or village. Your home is agricultural property? The exemption increases to $1,125,000. This is considerably higher than the federal homestead exemption, which protects up to $27,900 of equity.

Minnesota also protects up to $10,000 in vehicle equity. Other common exemptions include personal property, retirement accounts, and tools of trade.

Need professional guidance? You can speak with a bankruptcy attorney for free to understand which exemptions protect your assets best.

Minnesota Bankruptcy Lawyer Cost

Many people file bankruptcy successfully without a lawyer. Wanting some help is understandable though. It does come at a cost. Many bankruptcy lawyers charge a flat fee for Chapter 7 cases. The range runs from $1,265 to $1,800.

Your cost depends on case complexity. Consider more than cost when choosing a bankruptcy attorney. Look at the lawyer’s experience and online reviews. Evaluate how well you communicate with them. A free consultation can give you a sense of this.

Minnesota Legal Aid Organizations

Don’t want to file bankruptcy alone but can’t afford a lawyer? Minnesota has many legal aid organizations. These organizations provide free or low-cost legal assistance to low-income individuals, seniors, and people with disabilities.

Contact your local legal aid office to see if you qualify for assistance.