Bankruptcy filings rose 20 percent in the 12-month period ending June 30, 2010, according to statistics released by the Administrative Office of the U.S. Courts.
A total of 1,572,597 bankruptcy cases were filed in federal courts in that period, compared to 1,306,315 bankruptcy cases filed in the 12-month period ending June 30, 2009. This is the highest number of bankruptcy filings for any period since many of the provisions of the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 (“BAPCPA”) took effect.
For the American people, that is a remarkable rate of one case every 20 seconds. This underscores the fact, which is well known in bankruptcy practitioner circles, that bankruptcy protection is still readily available after BAPCPA.
It is also very clear that bankruptcy protection is needed now more than ever, for example:
- The economic recession is continuing with little relief in sight
- High unemployment rates
- Foreclosures are being filed at a record pace
- Collection of credit card and medical debt is more aggressive than ever
Bankruptcy is the most important remedy which you have as a debtor facing economic hardship.
A Chapter 7 Bankruptcy can provide you with a release of your indebtedness while a Chapter 13 Reorganization can be utilized to save your home.
Bankruptcy is not shameful, it is your right, and it is your opportunity for a fresh start in these tough economic times.