Bankrutpcy Filings Continue to Decrease

U.S. bankruptcy filings decreased 11% in May of 2012 compared to May of 2011, according to data provided by Epiq Systems Inc. May 2012 bankruptcy filings totaled 109,392, as compared to 122,836 in May 2011.

Commercial bankruptcy filings in May of 2012 were 5,259, which is a 21% decrease from the 6,631 commercial bankruptcy filings during the same period in 2011. There were 104,133 non-commercial filings this May, which was a 10% drop from the May 2011 non-commercial filing total of 116,205.

The drop in bankruptcy filings appears to indicate that households have reduced their spending and businesses are taking advantage of the low interest rates. I would anticipate a continued decrease in bankruptcy filings.

The total commercial Chapter 11 bankruptcy filings also dropped this May to 682. This is an 8% decrease from May 2011's total of 722. However, this a 3% increase over the April 2012 total of 660.

Overall bankruptcy filings in May of 2012 increased slightly from April of 2011. Total filings increased 0.4% from the April total of 108,908. Commercial filings increased 2% in May from the April total of 5,170. Non-commercial filings increased 0.4% from the April total of 103,738.

The average national per capita bankruptcy filing rate for the first five months of 2012 increased to 4.13 total filings per 1,000 people from 4.10 per capita for the first four months of 2012. The average total bankruptcy filings per day in May 2012 was 3,529, which was an 11% decrease from 3,962 bankruptcy filings per day in May of 2011.

If you are considering filing bankruptcy in Kansas or Missouri please contact me for a free consultation. I would also appreciate any questions or comments below.