Bankruptcy Filing Rates for Consumers Reach High Point

According to Emmeline Zhao of The Wall Street Journal, “Consumer bankruptcy filings reached their highest point since 2005 in the first half of this year.” In the first sixth months of 2010, there was a 14 percent increase in filings compared to the same time period in the previous year (2009).

Zhao writes that, “This marks the largest number of filings since the Bankruptcy Abuse Prevention and Consumer Protection Act was enacted to curb the increase in filings five years ago.” The American Bankruptcy Institute is also predicting that there will be yet another 1.6 million filings before the year is over.

The state of Nevada has the highest unemployment rate in the country. Not surprisingly, their bankruptcy filing rates were double the national average, 6,800, at 15,000.

Filing rate changes vary between the states. The Wall Street Journal does report that, “While most states are seeing increased filings, some southern states like Tennessee and Alabama have lower filing rates.”

If you or someone you know faces bankruptcy, contact a Birmingham bankruptcy lawyer at GREENWAY BANKRUPTCY LAW, LLC, by dialing (205) 324-4000.

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