Tag: U.S. Courts

Bankruptcy Filings, Bankruptcy Trends

Bankruptcy Filings Increase by 16 Percent

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Bankruptcy filings rose 16 percent during the 12-month period ending March 31, 2024.

Factors contributing to the increase include higher interest rates, a reduction in consumer discretionary spending, higher housing costs, and a continued drawdown of excess savings.  The trend is expected to continue through 2024.

According to statistics released by the Administrative Office of the U.S. Courts, total filings rose to 467,774 new cases, compared with 403,273 cases reported during the year ending March 31, 2023.

Business filings increased 40.4 percent, from 14,467 in March 2023 to 20,316 in the newest report. Non-business filings rose 15.1 percent, from 388,806 in March 2023 to 447,458 in March 2024.

This year’s 12-month filing total for the quarter ending March 31 is nearly three-fifths of the total reported in March 2020, when the pandemic disrupted the U.S. economy. That year’s 12-month total was 764,282.

If you have questions on this topic or are in financial crisis and considering filing for bankruptcy, contact an experienced Miami bankruptcy attorney who can advise you of all of your options. As an experienced CPA as well as a proven bankruptcy lawyer, Timothy Kingcade knows how to help clients take full advantage of the bankruptcy laws to protect their assets and get successful results. Since 1996 Kingcade Garcia McMaken has been helping people from all walks of life build a better tomorrow. Our attorneys help thousands of people every year take advantage of their rights under bankruptcy protection to restart, rebuild and recover. The day you hire our firm, we will contact your creditors to stop the harassment. You can also find useful consumer information on the Kingcade Garcia McMaken website at www.miamibankruptcy.com.

SOURCE:

Bankruptcies Rise 16 Percent Over Previous Year | United States Courts (uscourts.gov)

Bankruptcy Filings, Bankruptcy Trends

U.S. Corporate Bankruptcy Filings Hit 13-Year Peak

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Total bankruptcy filings rose 13 percent, and business bankruptcies rose nearly 30 percent, in the twelve-month period ending Sept. 30, 2023, according to the U.S. Courts. This continues a moderate rebound after more than a decade of sharp decline. Corporate bankruptcy filings in the U.S. rose again in December 2023, ending the year with the most filings since 2010.

S&P Global Market Intelligence recorded 50 bankruptcy filings in the month. The total was an increase from the 33 recorded in November.

There were 642 total filings in 2023, significantly above the previous two years and marginally more than in 2020, which saw an influx of Covid-19 related filings.

Seven industrial companies and seven consumer discretionary companies filed for bankruptcy over the month, followed by six filings among information technology companies and six from the healthcare sector.

Consumer discretionary companies recorded the most bankruptcies in 2023 with 82 filings. Many of the companies attributed their filings to rising interest rates and inflation, which impacted their post-pandemic operations.

There were bankruptcy filings in 19 states and the District of Columbia in December, with the greatest number originating from California, Texas, and Florida.

During the year, 95 California companies sought bankruptcy protection, followed by 75 from Texas and 68 from Florida. New York added 58 filings in 2023, while New Jersey registered 31.

Additional states with 15 or more filings in 2023 included Massachusetts, Georgia, Nevada, Illinois, North Carolina, and Pennsylvania.

Source: U.S. Bankruptcies hit 13-year peak in 2023; 50 new filings in December. (January 9, 2024)

Bankruptcy Trends, Business Bankruptcy, Consumer Bankruptcy

Bankruptcy Filings on the Rise

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Local courts are seeing a 10 percent increase in bankruptcy filings, according to a recent United States Courts report.

According to the report issued on July 31, the number of personal and business bankruptcy filings increased by this percentage in the 12-month period ending on June 30, 2023. The Administrative Office of the U.S. Courts reported that a total of 418,724 bankruptcy filings were made in the year ending June 2023, as compared to the 380,634 filed in the year ending June 2022.