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Tuesday, March 02, 2010

ABI: Personal Bankruptcy Filings Up 14% from February 2009

by Calculated Risk on 3/02/2010 06:10:00 PM

From the American Bankruptcy Institute: February Consumer Bankruptcy Filings up 14 Percent over Last Year

The 111,693 consumer bankruptcies filed in February represented a 14 percent increase nationwide over the 98,344 filings recorded in February 2009, according to the American Bankruptcy Institute (ABI), relying on data from the National Bankruptcy Research Center (NBKRC). NBKRC’s data also showed that the February 2010 consumer filings represented a 9 percent increase over the 102,254 consumer filings recorded in January 2010. ...

“While Congress and the Obama administration continue to consider measures to reduce high unemployment and mortgage burdens, families with increasing debt loads have little choice but to continue to turn to bankruptcy for financial relief,” said ABI Executive Director Samuel J. Gerdano. “Consumer filings this year will likely surpass 1.5 million filings, or the same number of annual filings averaged in the years leading up to the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005.”
emphasis added
non-business bankruptcy filings Click on graph for larger image in new window.

This graph shows the non-business bankruptcy filings by quarter (Q1 2010 is estimated based on January and February data).

The ABI's forecast for over 1.5 million filings is at about the same level as prior to when the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 (BAPCPA) took effect.