Korea Personal Bankruptcy Cost and Discharge Eligibility Calculator

Estimate Korean personal bankruptcy filing costs, service fees, trustee deposits, representative fees, insolvency screening, legal-aid income status, and discharge risk flags.

Filing cost inputs

Filing method

Case type

Discharge and legal-aid inputs

Estimated total cost

₩3,169,800

Court cost plus selected representation fee.

Representative range

₩2,419,800 - ₩3,919,800

Insolvency test

Insolvency likely

5-year repayable amount: ₩0

Discharge outlook

Discharge likely

0 risk flag(s) selected.

Cost breakdown

Stamp duty
₩1,800
Service fee
₩418,000
Deposit
₩0
Court cost subtotal
₩419,800
Representation fee
₩2,750,000
Estimated total
₩3,169,800

Method comparison

Self filing
₩419,800
Judicial scrivener
₩1,719,800
Lawyer
₩3,169,800

Eligibility snapshot

2026 living expense used
₩3,215,422
Monthly disposable income
₩0
Legal Aid income screen
Likely eligible by income
Severe discharge flag
Not selected

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What Is the Korea Personal Bankruptcy Cost and Discharge Calculator?

This calculator estimates the cost of filing for personal bankruptcy and discharge in Korea. It breaks down court stamp duty, service fees, trustee deposit, and representation fees, then screens insolvency and discharge risk flags under the Debtor Rehabilitation and Bankruptcy Act. The fee model reflects 2026 assumptions used by the Korean calculator.

Personal bankruptcy is a liquidation procedure for a debtor who cannot repay. After non-exempt assets are distributed, the debtor seeks a discharge order to release remaining dischargeable debts. This page helps answer two early questions: how much the case may cost, and whether any common non-discharge risk needs professional review.

Who Uses This Calculator?

  • Debtors with little or no repayment capacity who are comparing bankruptcy with personal rehabilitation.
  • People comparing self filing, judicial scrivener support, lawyer representation, and Korea Legal Aid.
  • Applicants checking whether a simultaneous closure or trustee case may affect total cost.
  • Debtors worried about gambling, excessive spending, false statements, or a recent prior discharge.
  • Advisers who need an English explanation of Korean bankruptcy filing cost components.

How Korean Personal Bankruptcy Costs Are Built

1. Stamp Duty

Bankruptcy and discharge petitions each carry KRW 1,000, for a paper filing total of KRW 2,000. E-litigation applies a 10% discount, so the calculator uses KRW 1,800 when electronic filing is selected.

2. Service Fee

Service fees cover registered mail sent by the court. The Korean model uses KRW 5,500 per service unit. Personal bankruptcy prepays 20 base units plus 7 units for each creditor. For 10 creditors, the formula is KRW 5,500 x (20 + 70), or about KRW 495,000. Unused service fees can be refunded after the case.

3. Deposit for Trustee Compensation

Deposit is the most variable court cost. In a simultaneous closure case, where there are almost no assets to administer, the model treats the deposit as zero. If a trustee is appointed because assets or avoidance issues need investigation, the default deposit is KRW 500,000, with practical cases ranging roughly from KRW 400,000 to KRW 1 million or more depending on the court and complexity.

4. Representation Fee

Self filing has no representation fee, but the applicant must prepare filings and respond to correction orders. Judicial scrivener fees are modeled around KRW 1 million to KRW 2 million. Lawyer fees are modeled around KRW 2 million to KRW 3.5 million, with a premium multiplier for specialist or large-firm representation.

Korea Legal Aid Corporation

If household income satisfies the Legal Aid screen, some debtors may receive free representation through Korea Legal Aid Corporation (phone 132). Basic livelihood recipients, older adults, and disabled applicants may receive priority support.

Six Common Non-Discharge Risk Flags

A bankruptcy declaration does not automatically erase debt. The debtor must obtain a discharge order. Article 564(1) of the Debtor Rehabilitation and Bankruptcy Act lists reasons a court may deny discharge. The calculator lets you mark six representative flags:

  • 1. Hidden property, false documents, or false statements: concealing assets or filing a false creditor list.
  • 2. Credit transaction by deception within 1 year: obtaining credit after an insolvency cause already existed.
  • 3. Gambling, speculation, or excessive waste: conduct that sharply reduced assets or created excessive debt.
  • 4. Bankruptcy crime: criminal conduct under the Act, treated as a severe risk.
  • 5. Prior discharge too recent: less than 7 years from bankruptcy discharge or 5 years from rehabilitation discharge.
  • 6. Duty violation: breach of explanation, cooperation, or other statutory duties.

Discretionary Discharge

Even if a flag exists, the court may grant discretionary discharge after considering the reason for bankruptcy, rehabilitation efforts, family circumstances, and other case facts. The flag should be disclosed and explained, not hidden.

Bankruptcy or Personal Rehabilitation?

The main question is whether there is meaningful disposable income. If the debtor can make a monthly payment after protected living expenses, court rehabilitation may be considered first. If disposable income is absent and insolvency is clear, bankruptcy may be more realistic.

TopicPersonal BankruptcyPersonal Rehabilitation
Main targetInsolvent debtorDebtor with regular income
RepaymentAsset distribution then discharge3 to 5 years of plan payments
Debt limitNo fixed ceilingUnsecured KRW 1B, secured KRW 1.5B
Credit impactPublic information after dischargePublic information after completion

How to Use the Calculator

1. Select Filing Method and Case Type

Choose self filing, judicial scrivener, lawyer, or Legal Aid. Then choose simultaneous closure or trustee case.

2. Enter Creditor Count

The service fee is calculated from the creditor count using 20 base units plus 7 units per creditor.

3. Enter Debt, Income, Household, and Assets

The insolvency screen compares monthly disposable income and 5-year repayable amount with total debt.

4. Mark Discharge Risk Flags

The result shows whether the discharge outlook is favorable, cautionary, or difficult under the selected flags.

Simultaneous Closure and Trustee Cases

Simultaneous Closure

If assets are too small even to cover procedure costs, the court may declare bankruptcy and close the procedure at the same time. Many individual bankruptcy cases follow this route, and there is generally no trustee deposit in the model. A typical timeline is about 4 to 6 months from filing to discharge.

Trustee Case

If there are assets to liquidate or transactions to investigate, a bankruptcy trustee may be appointed. The trustee investigates and distributes assets, so the deposit and timeline increase. A typical timeline is about 6 to 12 months, though complex cases may take longer.

FAQ

Does bankruptcy erase every debt?

No. Taxes, criminal fines, certain intentional tort damages, child support, employee wages, and claims knowingly omitted from the creditor list can remain as non-dischargeable debts.

How much can self filing save?

Self filing can reduce representation fees to zero, leaving mainly court costs. It is more realistic when the case is simple and the applicant can prepare asset lists, creditor lists, and correction responses.

Can gambling debt be discharged?

Gambling or excessive waste is a non-discharge risk flag. However, discretionary discharge can still be possible depending on case history, disclosure, repentance, support obligations, and court discretion.

Will this calculator match the final court amount?

No. It is a 2026 planning estimate. Actual cost varies by court, trustee order, representative quote, creditor count, and whether the court requires additional investigation.

Practical Notes

  • List every creditor: intentionally omitted claims may not be discharged.
  • Do not transfer property before filing: suspicious transfers can create denial or criminal risk.
  • Avoid new borrowing: new loans or card use before bankruptcy can be treated as credit fraud.
  • Use free support where eligible: Korea Legal Aid Corporation, Seoul Bankruptcy Court, and CCRS consultation channels can help.
  • Compare rehabilitation: if income exists, personal rehabilitation may preserve more assets and provide a different credit path.