US Bankruptcy Filings Increase in the First Quarter of 2024

In 2023 total bankruptcy filings increased from the previous year and it appears that trend is not stopping. There were 120,094 total bankruptcy filings in the first quarter of 2024 (January 1 through March 31). This is a 14% increase from the 105,497 filings in the same quarter of 2023. Further, consumer filings are up a total of 13% from last year – up 17% for chapter 7 bankruptcies and up 9% for chapter 13 bankruptcies. This unfortunately marks 20 consecutive months that all bankruptcy categories have seen a monthly year-over-year increase. So why are more and more Americans turning to bankruptcy?

Why Is there an Increase in Filings?

A survey done by the Federal Reserve found that there has been an increase in consumer worries about job security, debt, and inflation. The survey notes that rising cost of essential goods and anticipated rise in gas prices, food costs, and rent is causing financial strain on American households. Further, Americans are expressing fears that they might not be able to meet minimum debt payments.

How Bankruptcy Can Help

Bankruptcy might seem like a last resort, but it can be a great option if you are concerned about being able to pay off your debts and expenses. Bankruptcy can help erase many types of debt, including medical debt, credit card debt, and auto loans. It can also help you in the case of a foreclosure on your home or if your vehicle is being repossessed.

Let Bankruptcy Help You!

If you are having trouble making ends meet or are drowning in debt, bankruptcy may be what you need. Call us today at the Bankruptcy Law Offices of Dax J. Miller for a free phone consultation. We can help you decide what is right for you.