Bankruptcy Filings For 2015 Lowest Since 2007
Sharon Edmondson, Washington Legislative Team Member | February 08, 2016
Bankruptcy filings during the 12-month period ending Dec. 31, 2015, dropped 9.9 percent, according to new statistics released by the Administrative Office of the U.S. Courts (AOUSC).
The AOUSC's statistics reveal that 844,495 cases were filed in federal bankruptcy courts during the 12-month period ending Dec. 31, 2015, down from the 936,795 bankruptcy cases filed in calendar year 2014. This is the lowest number of bankruptcy filings for any 12-month period since 2007, and the fifth consecutive calendar year that filings have fallen, the AOUSC said.
Business Versus Non-Business
Both business and non-business bankruptcies have continued to decline steadily. During the 12-month period ending Dec. 31, 2015, the total number of business filings was 24,735, down from 26,983 in the previous year. The total number of non-business filings was 819,760, down from 909,812 in the previous year
Breakdown by Chapter
Bankruptcy filings increased for Chapter 11 filings, which is for businesses or individuals whose debts exceed the statutory thresholds for Chapter 13, and Chapter 12 filings, which is for family farmers or fishermen.
The number of bankruptcies filed by Bankruptcy Code chapter ending Dec. 31, 2015, are as follows:
- Chapter 7 (consumer liquidations) filings totaled 535,047, down from 619,069 the previous year
- Chapter 11 (reorganizations) filings totaled 7,241, slightly up from 7,234 the precious year.
- Chapter 13 (consumer reorganizations) filings totaled 301,705, down from 310,061 the previous year.