Contact: John Hartgen
CONSUMER BANKRUPTCY FILINGS DOWN 10 PERCENT
THROUGH NINE MONTHS OF 2011
October 4, 2011, Alexandria, Va. — U.S.
consumer bankruptcy filings totaled 1,044,722 nationwide during the
first nine months of 2011 (Jan. 1-Sept. 30), a 10 percent decrease from
the 1,165,172 total consumer filings during the same period a year ago,
according to the American Bankruptcy Institute (ABI), relying on data
from the National Bankruptcy Research Center (NBKRC). September consumer
bankruptcies decreased 17 percent nationwide from September 2010 as the
data showed that the overall consumer filing total for September reached
108,517 down from the 130,329 consumer filings recorded in September
“The trend of declining filings has been consistent with consumers
continuing to reign in their spending, household debt, and an overall
pull back in consumer credit,” said ABI Executive Director
Samuel J. Gerdano. “Total consumer filings for
2011 will be less than 2010.”
The September 2011 filings also represented a 4 percent decrease from
the August 2011 consumer bankruptcy total of 113,432 filings, a slight
change that could be the result of one less day in the month. The
percentage of chapter 13 filings for September was 30 percent, a one
percent increase from August.
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
13,000 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 ABI, visit www.abiworld.org. For additional
conference information, visit 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 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
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