Consumer Bankruptcy Filings Up Nearly 40 Percent in 2007

U.S. consumer bankruptcy filings increased nearly 40 percent nationwide in 2007, according to the American Bankruptcy Institute. Data used by the Institute found 801,840 filings last year, compared to the 573,203 filings recorded during the similar period in 2006. “The roughly 40 percent spike in consumer bankruptcies during 2007 presages even higher filings this year, as the heavy consumer debt load is made worse by the home mortgage crisis,� predicted ABI executive director Samuel J. Gerdano. However, the data also showed that the 66,389 consumer filings recorded in December represented a 7.5 percent decrease from the 71,799 filings recorded in November. Chapter 13 filings constituted 38.32 percent of all consumer cases in December, a slight decrease from November. For more information, visit http://www.abiworld.org.