Contact: John Hartgen
703-739-0800
TOTAL U.S. BANKRUPTCIES IN FIRST HALF OF 2008 UP 29
PERCENT FROM A YEAR AGO
August 27, 2008, Alexandria, Va.- The total number of U.S.
bankruptcies filed during the first six months of 2008 increased 29.2
percent over the same period in 2007, according to data released today
by the Administrative Office of the U.S. Courts. Total filings reached
522,205 during the first half of the calendar year of 2008 (January
1-June 30), compared to 404,090 cases filed over the same period in
2007.
“The continued rise in bankruptcies to their highest levels
since Congress changed the law points to the growing strain on family
budgets,” said ABI Executive Director
face='Times New Roman' size='3'>Samuel J. Gerdano. “We
expect this trend to continue through the end of the year, with cases
surging past 1 million by year end.”
Filings by individuals or households with consumer debt increased
28.8 percent to 503,749 for the six-month period ending June 30, 2008,
from the 2007 first-half total of 391,105. The overall percentage of
consumers filing for chapter 13 protection fell slightly from 38.4
percent during the first half of 2007 (January 1-June 30) to 33.8
percent over the same period in 2008. Conversely, the first-half 2008
percentage of chapter 7 consumer filers increased to 66.1 percent from
the 61.6 percent recorded in the first half of 2007.
Business filings for the six-month period ending June 30, 2008,
totaled 18,456, representing a 42.1 percent increase over the first-half
2007 total of 12,985. Chapter 7 business liquidations increased to
13,002 in the first half of 2008, a 54.7 percent increase over the 8,404
business chapter 7 filings during the same period in 2007. Chapter 11
reorganizations also rose from 2,713 in the first half of 2007 to 3,470
in the same period of 2008, a 27.9 percent increase.
The 276,510 total filings for the second calendar quarter 2008 (April
1-June 30) represented a 12.5 percent increase from the first quarter
2008 (Jan. 1-March 31) filings of 245,695. Business filings in the
second quarter of 2008 increased 11.8 percent to 9,743 over the 8,713
business filings in the first quarter. Of note, however, is that chapter
11 business filings decreased 8.5 percent in the second calendar quarter
of 2008 to 1,658 from the 1,812 filings of the first quarter of 2008.
Consumer filings increased 12.6 percent from 236,982 recorded in the
first quarter of 2008 to 266,767 in the second quarter.
The 967,831 total filings for the 12-month period ending June 30,
2008, represented a 28.9 percent from the same period in 2007, which
totaled 751,056. The bankruptcy filing rate per thousand U.S. residents
totaled 3.15 for all chapters during the 12-month period ending June 30,
2008, as 2.0 Americans per thousand filed for chapter 7 while 1.12 per
thousand filed for chapter 13 bankruptcy. Tennessee was the state with
the highest per capita filing rate in the country with 6.92 residents
per thousand filing in all chapters, and also had the highest per capita
filing rate for chapter 13 filings at 4.08. The state with the highest
per capita filing rate for chapter 7 bankruptcy was Michigan at 3.82 per
thousand for the 12-month period ended June 30, 2008.
Nonbusiness filings for the 12-month period ending June 30, 2008,
were up to 934,009 filings, a 28.4 percent increase from the 727,167
total nonbusiness filings over the same period in 2007. Business filings
for the 12-month period ending June 30, 2008, totaled 33,822, up 41.6
percent from the 23,889 bankruptcy petitions filed in the 12-month
period ending June 30, 2007.
The 615,748 total chapter 7 filings for the 12-month period ending
June 30, 2008, represent a 36.7 percent increase from the 450,332
filings from the same period in 2007. Total chapter 13 filings increased
16.9 percent to 344,421 in the 12-month period ending June 30, 2008,
from 294,693 in the same period last year. Total chapter 11 filings also
increased, rising 30.6 percent to 7,293 in 2008 from 5,586 in 2007.
Contrasting the upward trend, however, were chapter 12 filings, which
decreased 18.7 percent from 386 in 2007 to 314 in 2008.
BUSINESS FILINGS for the 3-month period ending June 30, 2008,
totaled 9,743, up 45.3 percent from the 6,705 bankruptcy business cases
filed in the same period in 2007. NON-BUSINESS FILINGS for the 3-month
period ending June 30, 2008, increased 30.9 percent from 203,744 in 2007
to 266,767 in 2008.
The chapter* breakdown of BUSINESS filings for the 3-month period
ending June 30, 2008, is: 7,043 chapter 7s, 1,658 chapter 11s, 85
chapter 12s and 940 chapter 13s.
The chapter breakdown of NON-BUSINESS filings for the 3-month period
ending June 30, 2008, is: 180,353 chapter 7s, 230 chapter 11s and 86,184
chapter 13s.
###
ABI is the largest multi-disciplinary, nonpartisan organization
dedicated to research and education on matters related to insolvency.
ABI was founded in 1982 to provide Congress and the public with unbiased
analysis of bankruptcy issues. The ABI membership includes more than
11,700 attorneys, accountants, bankers, judges, professors, lenders,
turnaround specialists and other bankruptcy professionals providing a
forum for the exchange of ideas and information. For additional
information on ABI, visit
face='Times New Roman'>www.abiworld.org. For additional
conference information, visit
href='http://www.abiworld.org/conferences.html'>
color='#0000ff'>http://www.abiworld.org/conferences.html.
*Definitions from Bankruptcy Overview: Issues, Law and Policy, by the
American Bankruptcy Institute
Chapter 7 of the Bankruptcy Code is available to both individual and
business debtors. Its purpose is to achieve a fair distribution to
creditors of the debtor's available non-exempt property. Unsecured
debts not reaffirmed are discharged, providing a fresh financial
start.
Chapter 11 of the Bankruptcy Code is available for both business and
consumer debtors. Its purpose is to rehabilitate a business as a going
concern or reorganize an individual's finances through a court-approved
reorganization plan.
Chapter 12 of the Bankruptcy Code is designed to give special debt
relief to a family farmer with regular income from farming.
Chapter 13 of the Bankruptcy Code is available for an individual with
regular income whose debts do not exceed specific amounts; it is
typically used to budget some of the debtor's future earnings under a
plan through which unsecured creditors are paid in whole or in part.
Contact: John Hartgen
703-739-0800
AUGUST CONSUMER BANKRUPTCY FILINGS UP 29 PERCENT
OVER PREVIOUS YEAR; SET POST-BAPCPA RECORD FOR SINGLE MONTH
September 3, 2008, Alexandria, Va.
face='Times New Roman' size='3'>— U.S. consumer
bankruptcy filings increased 29.2 percent nationwide in August from the
same period a year ago, according to the American Bankruptcy Institute
(ABI), relying on data from the National Bankruptcy Research Center
(NBKRC). The overall August consumer filing total of 96,413 also
set a single month high since the October 2005 effective date of the new
bankruptcy law. Chapter 13 filings constituted 33.2 percent of all
consumer cases in August, a slight increase from July.
“The latest data reflect the growing trend of U.S. consumers to
seek bankruptcy as a way out of financial problems,” said ABI
Executive Director
size='3'>Samuel J. Gerdano. “We expect
bankruptcies to exceed 1.1 million by year end.”
###
ABI is the largest multi-disciplinary, nonpartisan organization
dedicated to research and education on matters related to insolvency.
ABI was founded in 1982 to provide Congress and the public with unbiased
analysis of bankruptcy issues. The ABI membership includes more than
11,700 attorneys, accountants, bankers, judges, professors, lenders,
turnaround specialists and other bankruptcy professionals, providing a
forum for the exchange of ideas and information. For additional
information on ABI, visit
face='Times New Roman'>www.abiworld.org. For additional
conference information, visit
title='blocked::http://www.abiworld.org/conferences.html'
href='http://www.abiworld.org/conferences.html'>
color='#0000ff'>http://www.abiworld.org/conferences.html.
NBKRC is an online research center that offers subscribers access to
up-to-date research and statistics on bankruptcy filings. The database
contains complete information dating back to 1995. For more information
on NBKRC, please visit
href='http://www.nbkrc.com/'>
color='#0000ff'>http://www.nbkrc.com.
size='3'>*Definitions from Bankruptcy
Overview: Issues, Law and Policy
size='3'>, by the American Bankruptcy Institute.
Chapter
7 of the Bankruptcy Code is available to
both individual and business debtors. Its purpose is to achieve a fair
distribution to creditors of the debtor’s available non-exempt
property. Unsecured debts not reaffirmed are discharged, providing
a fresh financial start.
size='3'>Chapter 11 of the Bankruptcy
Code is available for both business and consumer debtors. Its purpose is
to rehabilitate a business as a going concern or reorganize an
individual’s finances through a court-approved reorganization
plan.
size='3'>Chapter 12 of the Bankruptcy
Code is designed to give special debt relief to a family farmer with
regular income from farming.
Chapter 13 of the Bankruptcy Code is available for an
individual with regular income whose debts do not exceed specific
amounts; it is typically used to budget some of the debtor’s
future earnings under a plan through which unsecured creditors are paid
in whole or in part.
Contact: John Hartgen
(703) 739-0800
color='#0000ff'>jhartgen@abiworld.org
SEPTEMBER
CONSUMER BANKRUPTCY FILINGS UP 28.6 PERCENT OVER PREVIOUS
YEAR
size='3'>October 3, 2008, Alexandria, Va
size='3'>.
size='3'>— U.S. consumer bankruptcy
filings increased 28.6 percent nationwide in September from the same
period a year ago, according to the American Bankruptcy Institute (ABI),
relying on data from the National Bankruptcy Research Center (NBKRC).
While representing an increase from the previous year, the overall
September consumer filing total of 88,663 represented an 8 percent
decline fromAugust. Chapter
13 filings constituted 33.5 percent of all consumer cases in September,
a slight increase from August.
'The continued rise in
personal bankruptcies reflects high consumer debt, made worse by energy
costs and the weak housing market, trapping many households in homes
they can neither afford or sell,” said ABI
Executive Director
size='3'>Samuel J. Gerdano.
“We expect consumer bankruptcies to exceed
1.1 million new cases by year end.”
###
ABI is the largest
multi-disciplinary, nonpartisan organization dedicated to research and
education on matters related to insolvency. ABI was founded in 1982 to
provide Congress and the public with unbiased analysis of bankruptcy
issues. The ABI membership includes more than 11,700 attorneys,
accountants, bankers, judges, professors, lenders, turnaround
specialists and other bankruptcy professionals, providing a forum for
the exchange of ideas and information. For additional information on
ABI, visit www.abiworld.org. For additional conference information,
visit
title='blocked::http://www.abiworld.org/conferences.html'
href='http://www.abiworld.org/conferences.html'>
size='3'>http://www.abiworld.org/conferences.html
face='Times New Roman' size='3'>.
NBKRC is an online research
center that offers subscribers access to up-to-date research and
statistics on bankruptcy filings. The database contains complete
information dating back to 1995. For more information on NBKRC, please
visit
href='http://www.nbkrc.com/'>
color='#0000ff' size='3'>http://www.nbkrc.com
face='Times New Roman' size='3'>.
size='3'>*Definitions from Bankruptcy
Overview: Issues, Law and Policy, by the American
Bankruptcy Institute.
Chapter
7 of the Bankruptcy Code is available to
both individual and business debtors. Its purpose is to achieve a fair
distribution to creditors of the debtor’s available non-exempt
property. Unsecured debts not reaffirmed are discharged, providing
a fresh financial start.
size='3'>Chapter 11 of the Bankruptcy
Code is available for both business and consumer debtors. Its purpose is
to rehabilitate a business as a going concern or reorganize an
individual’s finances through a court-approved reorganization
plan.
size='3'>Chapter 12 of the Bankruptcy
Code is designed to give special debt relief to a family farmer with
regular income from farming.
size='3'>Chapter 13 of the Bankruptcy
Code is available for an individual with regular income whose debts do
not exceed specific amounts; it is typically used to budget some of the
debtor’s future earnings under a plan through which unsecured
creditors are paid in whole or in part.
Contact: John Hartgen
703-739-0800
OCTOBER CONSUMER BANKRUPTCY FILINGS TOP 100,000 FOR
FIRST TIME SINCE LAW CHANGE IN 2005
November 4, 2008, Alexandria, Va.- U.S. consumer bankruptcy
filings increased 40 percent nationwide in October from the same period
a year ago, according to the American Bankruptcy Institute (ABI),
relying on data from the National Bankruptcy Research Center (NBKRC).
The overall October consumer filing total of 106,266 also represented a
20 percent increase from September. Chapter 13 filings constituted 32.6
percent of all consumer cases in October, a slight decrease from
September.
The October consumer filing total also represents the first time that
bankruptcies have topped 100,000 since the Bankruptcy Abuse Prevention
and Consumer Protection Act went into effect in October 2005. The
880,076 consumer filings through the first 10 months of 2008 (Jan. 1 -
Oct. 31) have already eclipsed the filing total of 822,590 for all of
last year.
“October's sharp spike in new consumer bankruptcies confirms
the severe financial stress on household budgets caused by high debts,
flat incomes, and declining home values,” said ABI Executive
Director Samuel
J. Gerdano. “We expect the 2008 numbers to be the
highest since the new bankruptcy law went into effect in
2005.”
###
ABI is the largest multi-disciplinary, nonpartisan organization
dedicated to research and education on matters related to insolvency.
ABI was founded in 1982 to provide Congress and the public with unbiased
analysis of bankruptcy issues. The ABI membership includes more than
11,700 attorneys, accountants, bankers, judges, professors, lenders,
turnaround specialists and other bankruptcy professionals, providing a
forum for the exchange of ideas and information. For additional
information on ABI, visit
face='Times New Roman' color='#0000ff'>www.abiworld.org. For
additional conference information, visit
href='http://www.abiworld.org/conferences.html'>
color='#0000ff'>http://www.abiworld.org/conferences.html.
NBKRC is an online research center that offers subscribers access to
up-to-date research and statistics on bankruptcy filings. The database
contains complete information dating back to 1995. For more information
on NBKRC, please visit
color='#0000ff'>http://www.nbkrc.com.
*Definitions from Bankruptcy Overview: Issues, Law and Policy, by the
American Bankruptcy Institute.
Chapter 7 of the Bankruptcy Code is available to both individual and
business debtors. Its purpose is to achieve a fair distribution to
creditors of the debtor's available non-exempt property. Unsecured
debts not reaffirmed are discharged, providing a fresh financial
start.
Chapter 11 of the Bankruptcy Code is available for both business and
consumer debtors. Its purpose is to rehabilitate a business as a going
concern or reorganize an individual's finances through a court-approved
reorganization plan.
Chapter 12 of the Bankruptcy Code is designed to give special debt
relief to a family farmer with regular income from farming.
Chapter 13 of the Bankruptcy Code is available for an individual with
regular income whose debts do not exceed specific amounts; it is
typically used to budget some of the debtor's future earnings under a
plan through which unsecured creditors are paid in whole or in part.
Contact: John Hartgen
703-442-0133
NOVEMBER CONSUMER BANKRUPTCY FILINGS INCREASE 39
PERCENT OVER LAST YEAR
December 3, 2008, Alexandria, Va.
face='Times New Roman' size='3'>— U.S. consumer
bankruptcy filings increased 39.2 percent nationwide in November from
the same period a year ago, according to the American Bankruptcy
Institute (ABI), relying on data from the National Bankruptcy Research
Center (NBKRC). The overall November consumer filing total of 99,925
represented a slight decrease from the October total of 106,266.
Chapter 13 filings constituted 32.7 percent of all consumer cases in
November, a slight increase from October.
“While new bankruptcies dipped slightly in November from the
yearly high reached last month, we are still on track for nearly 1.1
million new cases this year, the highest figure since Congress changed
the bankruptcy laws in 2005,” said ABI Executive Director
size='3'>Samuel J.
Gerdano. “We expect the alarming rate of personal
bankruptcies to continue well into 2009.”
###
ABI is the largest multi-disciplinary, nonpartisan organization
dedicated to research and education on matters related to insolvency.
ABI was founded in 1982 to provide Congress and the public with unbiased
analysis of bankruptcy issues. The ABI membership includes more than
11,700 attorneys, accountants, bankers, judges, professors, lenders,
turnaround specialists and other bankruptcy professionals, providing a
forum for the exchange of ideas and information. For additional
information on ABI, visit
face='Times New Roman'>www.abiworld.org. For additional
conference information, visit
title='blocked::http://www.abiworld.org/conferences.html'
href='http://www.abiworld.org/conferences.html'>
color='#0000ff'>http://www.abiworld.org/conferences.html.
NBKRC is an online research center that offers subscribers access to
up-to-date research and statistics on bankruptcy filings. The database
contains complete information dating back to 1995. For more information
on NBKRC, please visit
href='http://www.nbkrc.com/'>
color='#0000ff'>http://www.nbkrc.com.
size='3'>*Definitions from Bankruptcy
Overview: Issues, Law and Policy
size='3'>, by the American Bankruptcy Institute.
Chapter
7 of the Bankruptcy Code is available to
both individual and business debtors. Its purpose is to achieve a fair
distribution to creditors of the debtor’s available non-exempt
property. Unsecured debts not reaffirmed are discharged, providing
a fresh financial start.
size='3'>Chapter 11 of the Bankruptcy
Code is available for both business and consumer debtors. Its purpose is
to rehabilitate a business as a going concern or reorganize an
individual’s finances through a court-approved reorganization
plan.
size='3'>Chapter 12 of the Bankruptcy
Code is designed to give special debt relief to a family farmer with
regular income from farming.
Chapter 13 of the Bankruptcy Code is available for an
individual with regular income whose debts do not exceed specific
amounts; it is typically used to budget some of the debtor’s
future earnings under a plan through which unsecured creditors are paid
in whole or in part.
Contact: John
Hartgen
703-739-0800
href='mailto:jhartgen@abiworld.org'>jhartgen@abiworld.org
TOTAL
BANKRUPTCY FILINGS UP 34 PERCENT, BUSINESS FILINGS UP 61 PERCENT IN
THIRD QUARTER
size='3'>December 15, 2008 Alexandria, Va.—
size='3'>The 292,291 total U.S. bankruptcies filed during the third
quarter of 2008 (July 1 – Sept. 30) represented a 34 percent
increase over the 218,909 cases filed over the same period in 2007,
according to data released today by the Administrative Office of the
U.S. Courts. Total filings for the first nine months of 2008 (Jan. 1
– Sept. 30) were up 35 percent to 841,496, compared to the 622,999
filings during the same period in 2007.
“The dramatic spike
in both personal and business bankruptcies reflects an economy in
distress, with worried consumers over-extended and unable to supply the
spending typically needed to keep the national economy going,”
said ABI Executive Director
size='3'>Samuel J. Gerdano.
The 29,960 business
bankruptcies recorded during the first three quarters of 2008 (Jan. 1
– Sept. 30) have eclipsed the full year 2007 (Jan. 1- Dec. 31)
business filing total of 28,137. Business filings represented the
sharpest increase during the three-month period ending Sept. 30, 2008,
with 11,504 filings, up 61 percent over the 7,167 business filings in
2007. Chapter 11 business filings spiked to 2,485 during the third
quarter of 2008, an increase of 76 percent over the 1,410 filings during
the similar period in 2007. Chapter 7 business filings also increased to
7,927 during the three-month period ending Sept. 30, 2008, representing
a 65 percent increase over the 4,816 filings during the similar period
in 2007.
Consumer filings totaled
280,787 during the third quarter of 2008 (July 1-Sept. 30), representing
a 33 percent increase over the 211,742 filed during the same period of
2007. Consumer chapter 7 filings during the 2008 third quarter totaled
187,227, an increase of 47 percent over the 2007 third quarter total of
127,192. Chapter 13 consumer filings also increased during the
three-month period ending Sept. 30, 2008, with the 93,333 filings,
representing an 11 percent increase over the 84,376 filings during the
same period in 2007.
The 1,042,993 total filings for
the 12-month period ending Sept. 30 were up more than 30 percent from
the same period in 2007, which totaled 801,269. The bankruptcy filing
rate per thousand U.S. residents totaled 3.38 for all chapters during
the 12-month period ending Sept. 30, 2008, as 2.21 Americans per
thousand filed for chapter 7 while 1.15 per thousand filed for chapter
13 bankruptcy, all increases from the similar period a year ago.
Tennessee was the state with the highest per capita filing rate in the
country, with 7.27 residents per thousand filing in all chapters, and
also had the highest per capita filing rate for chapter 13 filings at
4.16. The state with the highest per capita filing rate for chapter 7
bankruptcy was Nevada at 4.30 per thousand for the 12-month period ended
Sept. 30, 2008.
Nonbusiness filings for the
12-month period ending Sept. 30, 2008, totaled 1,004,342, an increase of
30 percent from the 775,344 total nonbusiness filings calculated over
the same period in 2007. Business filings for the 12-month period ending
Sept. 30, 2008, totaled 38,651, up 49 percent from the 25,925 bankruptcy
petitions filed in the 12-month period ending Sept. 30, 2007.
The 679,982 total chapter 7
filings for the 12-month period ending Sept. 30, 2008, represent a 40
percent increase from the 484,162 filings from the same period in 2007.
Chapter 11 filings also increased, rising 49 percent to 8,799 in 2008
from 5,888 in 2007. Total chapter 13 filings increased 14 percent to
353,828 in the 12-month period ending Sept. 30, 2008, from 310,802 in
the same period last year. Chapter 12 filings, however, decreased 8
percent from 361 in 2007 to 332.
size='3'>BUSINESS FILINGS for the 3-month
period ending Sept. 30, 2008, totaled 11,504, up 61 percent from the
7,167 bankruptcy business cases filed in the same period in 2007.
NON-BUSINESS FILINGS
for the 3-month period ending Sept. 30, 2008, increased
33 percent from 211,742 in 2007 to 280,787 in 2008.
The chapter* breakdown
of BUSINESS
filings for the 3-month period ending Sept. 30, 2008, is:
7,927 chapter 7s, 2,485 chapter 11s, 89 chapter 12s and 983 chapter
13s.
The chapter breakdown
of
size='3'>NON-BUSINESS filings for the 3-month
period ending Sept. 30, 2008, is: 187,227 chapter 7s, 227 chapter 11s
and 93,333 chapter 13s.
###
ABI is the largest
multi-disciplinary, nonpartisan organization dedicated to research and
education on matters related to insolvency. ABI was founded in 1982 to
provide Congress and the public with unbiased analysis of bankruptcy
issues. The ABI membership includes more than 11,500 attorneys,
accountants, bankers, judges, professors, lenders, turnaround
specialists and other bankruptcy professionals providing a forum for the
exchange of ideas and information. For additional information on ABI,
visit www.abiworld.org. For additional conference information,
visit
face='Times New Roman' color='#0000ff'
size='3'>http://www.abiworld.org/conferences.html
face='Times New Roman' size='3'>.
size='3'>*Definitions from Bankruptcy Overview: Issues, Law and Policy,
by the American Bankruptcy Institute
Chapter
7 of the Bankruptcy Code is available to
both individual and business debtors. Its purpose is to achieve a fair
distribution to creditors of the debtor’s available non-exempt
property. Unsecured debts not reaffirmed are discharged, providing
a fresh financial start.
size='3'>Chapter 11 of the Bankruptcy
Code is available for both business and consumer debtors. Its purpose is
to rehabilitate a business as a going concern or reorganize an
individual’s finances through a court-approved reorganization
plan.
size='3'>Chapter 12 of the Bankruptcy
Code is designed to give special debt relief to a family farmer with
regular income from farming.
size='3'>Chapter 13 of the Bankruptcy
Code is available for an individual with regular income whose debts do
not exceed specific amounts; it is typically used to budget some of the
debtor’s future earnings under a plan through which unsecured
creditors are paid in whole or in part.
Contact: John Hartgen
(703) 739-0800
color='#0000ff'>jhartgen@abiworld.org
CONSUMER
BANKRUPTCY FILINGS UP NEARLY 33 PERCENT IN 2008
size='3'>January 5, 2009, Alexandria, Va
size='3'>.
size='3'>— U.S. consumer bankruptcy
filings increased nearly 33 percent nationwide in 2008 from the previous
year, according to the American Bankruptcy Institute (ABI) relying on
data from the National Bankruptcy Research Center (NBKRC). The data
showed that the overall consumer filing total for the 2008 calendar year
(Jan. 1 – Dec. 31, 2008) reached
size='3'>1,064,927 compared to the 801,840 total
consumer filings recorded during 2007.
“Consumers are under
great financial stress, with no immediate end in sight,” said ABI
Executive Director Samuel J. Gerdano. “We expect
the upward spike in personal bankruptcies to continue in
2009.”
However, NBKRC’s data
also showed that the 84,926 consumer filings recorded in December
represented a 15 percent decrease from the 99,925 filings in November.
Chapter 13 filings constituted 32 percent of all consumer cases in
December, a slight decrease from November.
###
ABI is the largest
multi-disciplinary, nonpartisan organization dedicated to research and
education on matters related to insolvency. ABI was founded in 1982 to
provide Congress and the public with unbiased analysis of bankruptcy
issues. The ABI membership includes more than 11,700 attorneys,
accountants, bankers, judges, professors, lenders, turnaround
specialists and other bankruptcy professionals, providing a forum for
the exchange of ideas and information. For additional information on
ABI, visit www.abiworld.org. For additional conference information,
visit
face='Times New Roman' color='#0000ff'
size='3'>http://www.abiworld.org/conferences.html
face='Times New Roman' size='3'>.
NBKRC is an online research
center that offers subscribers access to up-to-date research and
statistics on bankruptcy filings. The database contains complete
information dating back to 1995. For more information on NBKRC, please
visit http://www.nbkrc.com
face='Times New Roman' size='3'>.
*Definitions from
Bankruptcy Overview: Issues, Law
and Policy, by the
American Bankruptcy Institute.
size='3'>Chapter 7 of the Bankruptcy Code
is available to both individual and business debtors. Its purpose is to
achieve a fair distribution to creditors of the debtor’s available
non-exempt property. Unsecured debts not reaffirmed are
discharged, providing a fresh financial
start.
size='3'>Chapter 11 of the Bankruptcy
Code is available for both business and consumer debtors. Its purpose is
to rehabilitate a business as a going concern or reorganize an
individual’s finances through a court-approved reorganization
plan.
size='3'>Chapter 12 of the Bankruptcy
Code is designed to give special debt relief to a family farmer with
regular income from farming.
Chapter 13 of the Bankruptcy Code is available for an
individual with regular income whose debts do not exceed specific
amounts; it is typically used to budget some of the debtor’s
future earnings under a plan through which unsecured creditors are paid
in whole or in part.
Contact: John Hartgen
size='3'>
(703) 739-0800
size='3'>
href='mailto:jhartgen@abiworld.org'>
color='#0000ff' size='3'>jhartgen@abiworld.org
BANKRUPTCIES
TO INCREASE MORE THAN 35 PERCENT IN 2009, ACCORDING TO LATEST ABI QUICK
POLL
size='3'>January 26, 2009, Alexandria, Va.
size='3'>— A majority of respondents (65 percent) in a recent ABI
Quick Poll predicted that bankruptcies in 2009 would increase by at
least 35 percent over the nearly 1.1 million cases filed in
2008. Fifty-three percent of
respondents predicted that filings would increase by 35 percent or more
while 12 percent thought that filings would increase by about 35
percent.
Thirty-three percent predicted
that the 2009 filing total would represent an increase of 30 percent or
less from the 2008 figure. Seventeen percent of respondents thought that
bankruptcies would increase 30 percent, while 16 percent thought that
the 2009 filings would increase 25 percent or less over the 2008
total.
Bankruptcies totaled nearly 1.1
million in 2008, with more than 97 percent of the cases filed by
consumers, representing an increase of more than 30 percent over the
2007 filing total. Bankruptcies have increased nearly 35 percent each
year since 2006, when filings reached their lowest levels since the
1980s following the implementation of the Bankruptcy Abuse Prevention
and Consumer Protection Act of 2005.
ABI members and members of the
public were welcome to submit their response to the statement:
“Bankruptcies rose more than 30 percent in 2008 to nearly 1.1
million new cases, with more than 97 percent of cases filed by
consumers. Filings will rise by what percentage in
2009?”
ABI’s Quick Poll is
posted on ABI’s home page,
href='http://www.abiworld.org/'>
size='3'>www.abiworld.org
size='3'>. ABI members and the public are invited to respond to a
question on a timely bankruptcy or insolvency issue. Visit
href='http://www.abiworld.net/quickpoll/'>
color='#0000ff' size='3'>http://www.abiworld.net/quickpoll/
to access the results of previous
ABI Quick Polls.
###
ABI is the largest
multi-disciplinary, nonpartisan organization dedicated to research and
education on matters related to insolvency. ABI was founded in 1982 to
provide Congress and the public with unbiased analysis of bankruptcy
issues. The ABI membership includes nearly 11,700 attorneys,
accountants, bankers, judges, professors, lenders, turnaround
specialists and other bankruptcy professionals, providing a forum for
the exchange of ideas and information. For additional information on
ABI, visit www.abiworld.org. For additional conference information,
visit
face='Times New Roman' color='#0000ff'
size='3'>http://www.abiworld.org/conferences.html
face='Times New Roman' size='3'>.
Contact: John Hartgen
(703) 739-0800
color='#0000ff'>jhartgen@abiworld.org
JANUARY
CONSUMER BANKRUPTCY FILINGS INCREASE 34 PERCENT OVER LAST
YEAR
size='3'>February 3, 2009, Alexandria, Va
size='3'>.
size='3'>— U.S. consumer bankruptcy
filings increased 34.4 percent nationwide in January from the same
period a year ago, according to the American Bankruptcy Institute (ABI),
relying on data from the National Bankruptcy Research Center (NBKRC).
The overall January consumer filing total of 88,773 represented a slight
increase from the December total of 84,926.
Chapter 13 filings constituted 32.8 percent of all
consumer cases in January, a slight increase from
December.
“U.S. households
are under great financial stress today; for many, bankruptcy seems to be
their best option,” said ABI Executive Director
face='Times New Roman' size='3'>Samuel J. Gerdano
size='3'>. “We expect more than 1.4 million new cases filed
in 2009.”
###
ABI is the largest
multi-disciplinary, nonpartisan organization dedicated to research and
education on matters related to insolvency. ABI was founded in 1982 to
provide Congress and the public with unbiased analysis of bankruptcy
issues. The ABI membership includes more than 11,700 attorneys,
accountants, bankers, judges, professors, lenders, turnaround
specialists and other bankruptcy professionals, providing a forum for
the exchange of ideas and information. For additional information on
ABI, visit www.abiworld.org. For additional conference information,
visit
title='blocked::http://www.abiworld.org/conferences.html'
href='http://www.abiworld.org/conferences.html'>
size='3'>http://www.abiworld.org/conferences.html
face='Times New Roman' size='3'>.
NBKRC is an online research
center that offers subscribers access to up-to-date research and
statistics on bankruptcy filings. The database contains complete
information dating back to 1995. For more information on NBKRC, please
visit
href='http://www.nbkrc.com/'>
color='#0000ff' size='3'>http://www.nbkrc.com
face='Times New Roman' size='3'>.
size='3'>*Definitions from Bankruptcy
Overview: Issues, Law and Policy, by the American
Bankruptcy Institute.
Chapter
7 of the Bankruptcy Code is available to
both individual and business debtors. Its purpose is to achieve a fair
distribution to creditors of the debtor’s available non-exempt
property. Unsecured debts not reaffirmed are discharged, providing
a fresh financial start.
size='3'>Chapter 11 of the Bankruptcy
Code is available for both business and consumer debtors. Its purpose is
to rehabilitate a business as a going concern or reorganize an
individual’s finances through a court-approved reorganization
plan.
size='3'>Chapter 12 of the Bankruptcy
Code is designed to give special debt relief to a family farmer with
regular income from farming.
Chapter 13 of the Bankruptcy Code is available for an
individual with regular income whose debts do not exceed specific
amounts; it is typically used to budget some of the debtor’s
future earnings under a plan through which unsecured creditors are paid
in whole or in part.
Contact:
Hartgen
(703) 739-0800
color='#0000ff'>jhartgen@abiworld.org
TOTAL
BANKRUPTCY FILINGS INCREASE 31 PERCENT, BUSINESS FILINGS SURGE 54
PERCENT IN 2008
size='3'>March 5, 2009 Alexandria,
Va.
size='3'>— Total bankruptcy filings in the United States increased
31 percent in 2008 over calendar year 2007, according to data
released today from the Administrative Office of the U.S. Courts
(AOUSC). Bankruptcy filings totaled 1,117,771 for the 12-month period
ending Dec. 31, 2008, a significant increase over the previous
year’s total of 850,912. The 2008 filing total marks the first
year since the implementation of the Bankruptcy Abuse Prevention and
Consumer Protection Act of 2005 (BAPCPA) that bankruptcies have
surpassed 1 million.
'Today's numbers confirm what we have reported previously, that
bankruptcies are on the rise, and will continue to spike upward in
2009,' said
Director Samuel
J. Gerdano. 'We expect filings to reach 1.4 million or even
more this year, especially if Congress changes the law to permit
homeowners to modify home mortgages via chapter 13.'
Business bankruptcies recorded
the sharpest percentage increase as the 43,546 business filings during
calendar year 2008 represented a 54 percent increase in filings from the
28,322 filings made during the 12-month period ending Dec. 31, 2007. The
12-month business filing total for 2008 was the highest since the
44,367 filings recorded for the 1998 calendar year.
size='3'>
The 1,074,225 consumer
filings during the 2008 calendar year represented a 31 percent increase
over the 822,590 recorded during the same period in 2007.
size='3'>The 714,389 consumer chapter 7 filings during the 12-month
period ending Dec. 31, 2008, comprised 67 percent of the total consumer
filings for the 2008 calendar year, up from 61 percent the previous
year. The consumer chapter 7 total for 2008 represented a 43 percent
increase over the 500,613 consumer chapter 7 filings during
2007.
The 358,947 consumers who filed
for chapter 13 during the 12-month period ending Dec. 31, 2008,
comprised 33 percent of the overall consumer filing total. The consumer
chapter 13 total for 2008 represents a 12 percent increase over the
321,359 consumer chapter 13 filings during 2007.
The 301,317 total bankruptcies
recorded during the fourth calendar quarter of 2008 (Oct.1-Dec. 31,
2008) represent a 31 percent increase from the 226,413 filings during
the same period in 2007. The 2008 fourth calendar quarter filing total
was the first time since the implementation of BAPCPA that quarterly
filings have eclipsed 300,000. The fourth quarter 2008 filing total also
represented a 3 percent increase over the third quarter (July 1 –
Sept. 30, 2008) total of 292,291.
The 288,416 consumer filings in
the fourth quarter of 2008 represent a 32 percent increase in comparison
to the 218,428 consumer filings for the same quarter of 2007. The
consumer filing total for the fourth calendar quarter also represented a
nearly 3 percent increase from the third quarter 2008 total of 280,787
consumer filings.
Business filings, which totaled
12,901 for the fourth calendar quarter of 2008, represented a 62 percent
increase from the 7,985 filed in the same 3-month period in 2007 (Oct.
1-Dec. 31). Business filings also rose over the previous quarter as the
fourth calendar quarter represented a 12 percent increase over the
11,504 business filings reported during the third quarter of 2008 (July
1- Sept. 30).
The chapter* breakdown
of BUSINESS
filings for the 3-month period ending Dec. 31, 2008, is
8,872 chapter 7s, 2,941 chapter 11s, 90 chapter 12s and 970 chapter
13s.
The chapter breakdown
of
size='3'>NONBUSINESS filings for the 3-month
period ending Dec. 31, 2008, is 193,246 chapter 7s, 234 chapter 11s and
94,935 chapter 13s.
States with the HIGHEST PER CAPITA
FILING RATE (Total Filings) for the 12-month period ending Dec. 31,
2008:
size='3'>Tennessee- Nevada
- Georgia
size='3'>Alabama- Indiana
- Michigan
- Ohio
- Kentucky
size='3'>Arkansas- 10. Illinois
Districts with the HIGHEST PERCENTAGE
INCREASE in Total Filings for the 12-month period ending Dec. 31, 2008
(compared to the identical period in 2007):
- Central District
of California: 93.5% - District of Arizona:
78.9% - Eastern District
of California: 78.1% - Southern District
of California: 76.6% - District of Delaware:
73.9%
Districts with the HIGHEST PERCENTAGE
DECREASEin Total Filings for the 12-month period ending Dec. 31, 2008
(compared to the identical period in 2007):
- District of the Northern
Mariana Islands: -29.4% - District of the Virgin
Islands: -21.7% - Southern District of the
Texas: -6.1% - Middle District of Louisiana:
-3.1% - Northern District of New York:
-2.2%
More information will be
available at
href='http://www.abiworld.org/Content/NavigationMenu/Online_Resources/Bankruptcy_Statistics/ABI_-_Bankruptcy_Statistics.htm'>
face='Times New Roman' color='#0000ff' size='3'>ABI’s Statistics
Page,
href='http://www.abiworld.org/statistics'>
color='#0000ff'
size='3'>http://www.abiworld.org/statistics
face='Times New Roman' size='3'>.
###
face='Times New Roman' size='3'>ABI
size='3'>is the largest multi-disciplinary, nonpartisan organization
dedicated to research and education on matters related to
insolvency.
was founded in 1982 to provide Congress and the public
with unbiased analysis of bankruptcy issues. The
w:st='on'>
size='3'>ABI
more than 12,000 attorneys, accountants, bankers, judges, professors,
lenders, turnaround specialists and other bankruptcy professionals
providing a forum for the exchange of ideas and information. For
additional information on
face='Times New Roman' size='3'>ABI
size='3'>, visit www.abiworld.org. For additional conference
information, visit
href='http://www.abiworld.org/conferences.html'>
size='3'>http://www.abiworld.org/conferences.html
face='Times New Roman' size='3'>.
size='3'>*Definitions from Bankruptcy Overview: Issues, Law and Policy,
by the American Bankruptcy Institute
Chapter
7 of the Bankruptcy Code is available to
both individual and business debtors. Its purpose is to achieve a fair
distribution to creditors of the debtor’s available non-exempt
property. Unsecured debts not reaffirmed are discharged, providing
a fresh financial start.
size='3'>Chapter 11 of the Bankruptcy
Code is available for both business and consumer debtors. Its purpose is
to rehabilitate a business as a going concern or reorganize an
individual’s finances through a court-approved reorganization
plan.
size='3'>Chapter 12 of the Bankruptcy
Code is designed to give special debt relief to a family farmer with
regular income from farming.
Chapter 13 of the Bankruptcy Code is available for an
individual with regular income whose debts do not exceed specific
amounts; it is typically used to budget some of the debtor’s
future earnings under a plan through which unsecured creditors are paid
in whole or in part.