How To File Bankruptcy for Free in Wisconsin

Filing Chapter 7 bankruptcy in Wisconsin can give you a fresh start. You can erase debts like credit cards, medical bills, and payday loans. You don’t need a lawyer to do it.

Many people file on their own and succeed. The process involves gathering documents, completing two financial courses, filing forms, and attending a meeting. Wisconsin law offers exemptions to protect your home, car, and belongings.

Here’s your complete guide to filing bankruptcy in Wisconsin.

Step-by-Step Guide To Filing Chapter 7 in Wisconsin

Collect Your Wisconsin Bankruptcy Documents

You’ll need to gather important financial documents first. These items give the court a picture of your income, expenses, and debts.

These documents are required:

• Pay stubs from the past six months
• Your last two years of federal tax returns
• A bank statement that covers the date you file

These are helpful to collect:

• Credit card and loan statements
• Letters or notices from debt collectors
• 6-12 months of bank statements
• A recent credit report listing your debts and creditors’ contact information

You can get a free credit report every week from AnnualCreditReport.com.

Take Credit Counseling

Before you can file Chapter 7, you must complete a credit counseling course. Choose an approved provider. The class reviews your income, expenses, and debt relief options.

Here’s what you need to know:

• The course takes 1-2 hours and can be done online or by phone
• It costs $10-$50, but you may qualify for a fee waiver
• You must take the course within 180 days before filing
• You’ll get a certificate of completion to submit with your forms

If you don’t include your certificate, your case could be dismissed.

Complete the Bankruptcy Forms

Most paperwork is made up of federal forms available for free at USCourts.gov. Some courts also require local forms, which we’ll cover later.

You’ll answer questions about your finances. Then you’ll compile everything into a complete petition.

Get Your Filing Fee

Filing for Chapter 7 costs $338. Many people qualify for a fee waiver.

If your income is below 150% of the federal poverty guideline, ask the court to waive the fee. If approved, you won’t pay anything.

If you don’t qualify, request permission to pay in up to four installments. Once you file, the automatic stay stops most collection efforts. Be careful: Missing a payment can get your case dismissed.

Print Your Bankruptcy Forms

After finishing your forms, you’ll need to print them. Even if your court allows online filing, you must sign and submit certain documents by mail or in person.

Print your forms the same week you plan to file. Bankruptcy paperwork is time-sensitive.

Here are some printing tips:

• Use regular white letter-sized paper (8.5 x 11 inches)
• Print in black ink
• Print single-sided only
• Don’t staple or hole-punch your forms

Go through each document to ensure everything is complete and signed.

File Your Forms With the Wisconsin Bankruptcy Court

Once your forms are printed, signed, and ready, file them with the bankruptcy court. In Wisconsin, you can file in person or by mail. Some courts offer online filing for self-filers.

Many people file in person. The clerk can quickly check that you’ve included everything needed. You’ll get your case number right away.

If you file by mail, use the correct court address. Include everything required.

Mail Documents to Your Trustee

After filing, the court assigns a bankruptcy trustee to manage your case. The trustee reviews your paperwork and leads your 341 meeting.

You’ll get an official court notice with your trustee’s name and contact information. You must send your trustee these documents at least 14 days before your meeting:

• Copy of your most recent federal tax return
• Bank statement covering the date you filed
• Clear copy of your government-issued photo ID
• Proof of your Social Security number
• Your most recent pay stub or proof of income

Your trustee may request additional items. Follow their instructions carefully.

Take a Debtor Education Course

After filing, you’ll complete a second financial course called debtor education. The course focuses on managing money, budgeting, and using credit wisely.

The course is required to get your bankruptcy discharge. That’s the court’s official order wiping out your eligible debts.

Here’s the rundown:

• Take the course from a court-approved provider
• Complete it online, in person, or by phone
• It takes about two hours
• Finish within 60 days after your 341 meeting

After finishing, you’ll get a certificate of completion. File this certificate with the court or you won’t get your debt discharged.

Attend Your 341 Meeting

About a month after filing, you’ll have a short video call with your trustee. It’s called the 341 meeting or meeting of creditors. It’s required in every case and usually lasts less than 10 minutes.

These meetings now happen online over Zoom. Your official court notice will list the date, time, and login instructions.

The trustee will verify your identity, place you under oath, and ask simple questions. Have these documents nearby:

• Copy of your bankruptcy paperwork
• Documents you sent to the trustee
• Official case notice from the court

Creditors are allowed to attend but rarely do. Most people feel nervous going in, but the meeting is usually over quickly. Just be honest and clear in your answers.

Deal With Your Car

Many people worry they’ll lose their vehicle. That’s often not the case. Most filers keep their vehicle. Your options depend on your situation.

If you own your car outright: You may keep it if the car’s value is covered by a bankruptcy exemption. Wisconsin’s motor vehicle exemption protects up to $4,000 of equity. The federal system protects up to $5,025.

If you’re still paying off a car loan: Your options depend on how much equity you have. Equity is the car’s current market value minus what you still owe.

If your equity is protected, you can usually keep your car by reaffirming the loan. You agree to keep the loan and keep making payments. People often choose reaffirmation when they’re current on payments and find the loan terms reasonable.

If you owe more than the car is worth, try redeeming it. Redemption means paying the lender a lump sum equal to the car’s current value. Then the remaining debt is forgiven.

If you don’t want to keep your car, you can surrender it. You return the car and the loan is wiped out. Many filers choose this when they owe much more than the car is worth.

If you lease your car: You can usually keep the lease if you’re current on payments. If you don’t want to keep the car, return it without owing anything else.

Wisconsin Bankruptcy Means Test

To qualify for Chapter 7, you must pass the means test. The test looks at your income and expenses. It makes sure you truly can’t afford to pay back your debts.

The means test compares your current household income to Wisconsin’s median household income.

If your household income is below the state’s median income, you automatically pass. You can file Chapter 7. Many people pass at this stage.

If your income is above the state median, you can include allowable expenses. This can get legally complex. Speak with a bankruptcy attorney for free if you find yourself at this step.

Wisconsin Districts & Filing Requirements

Wisconsin has two bankruptcy districts. The rules are mostly the same in both. Each district has its own local forms and instructions.

Eastern District of Wisconsin Requirements

In the Eastern District of Wisconsin, file your forms in person or by mail:

U.S. Bankruptcy Court
Eastern District of Wisconsin
517 East Wisconsin Avenue, Room 126
Milwaukee, WI 53202

The court uses standard federal bankruptcy forms. There are a few extra local steps:

• Pay Advice Cover Sheet: Use this cover sheet when turning in your recent pay stubs
• Creditor Matrix: A list of everyone you owe money to with their mailing addresses

Pay Your Filing Fee in the Eastern District

If paying in person, the court accepts cashier’s checks or money orders made out to Clerk, U.S. Bankruptcy Court, or cash in exact change.

If you want to mail your payment, call the Clerk’s Office first.

The court doesn’t accept personal checks, debit cards, or credit cards.

Western District of Wisconsin Requirements

The Western District covers the western half of the state. It has offices in Madison and Eau Claire. You can file in person, by mail, or using the court’s online tool.

In-person filing: File at either courthouse.

Mail filing: Send your documents to the Madison courthouse.

Online filing: The court offers an Electronic Self-Representation (eSR) tool. Complete your bankruptcy forms online without a lawyer. You have 45 days to finish and submit your forms.

Your case isn’t officially filed until you print, sign, and deliver the required documents to the Madison courthouse within 14 days:

• Bankruptcy forms requiring your original signature
• Credit counseling certificate
• Statement About Your Social Security Numbers
• Declaration Regarding Electronic Filing

No matter how you file, include these local forms:

• Creditor Matrix: A list of everyone you owe money to with their mailing addresses
• Payment Advices Cover Sheet: Use this when turning in your recent pay stubs

Pay Your Filing Fee in the Western District

You must pay your filing fee in person or by mail to the Madison courthouse. The court accepts:

• Exact cash (in person only)
• Money orders or cashier’s checks made out to Clerk, U.S. Bankruptcy Court

The court doesn’t accept personal checks, debit cards, or credit cards.

Wisconsin Bankruptcy Exemptions

Exemptions protect most of what you need to live and work. If you file Chapter 7 in Wisconsin, choose either the state’s exemption laws or the federal ones. You can’t use both.

Here’s how some key exemptions compare:

• Homestead: Wisconsin allows you to protect up to $75,000 of equity in your home if you file alone. Protect $150,000 if you file jointly. The federal homestead exemption protects up to $31,575.
• Motor vehicle: Wisconsin protects up to $4,000 of equity in one car. If that’s not enough, apply any unused portion of the $12,000 personal property exemption. The federal exemption protects up to $5,025.
• Wildcard (federal only): Available only with federal exemptions. Protects $1,675, plus up to $15,800 of any unused homestead exemption. Use it to protect any kind of property.
• Personal property (Wisconsin only): Wisconsin protects up to $12,000 in total value for everyday personal items. Includes furniture, appliances, clothing, jewelry, keepsakes, books, musical instruments, firearms, sporting goods, and pets. Federal exemption is $16,850 (max of $800 per item) for household goods.

Both systems fully protect child support, spousal support, veterans’ benefits, and workers’ comp.

Need help deciding which exemptions work best? Speak with a bankruptcy attorney for free to understand your options.