American Bankruptcies Surge 28% In October

The Business Insider ^ | 11/4/09

[FromLori]

Never a pleasant statistic, the American Bankruptcy Institute today released the numbers for American bankruptcies that occurred in October. Bankruptcies are on the rise, despite previous legislation that made it harder to file:

ABI (via Reuters): The 135,913 consumer bankruptcy filings in October represented a 27.9 percent increase over last October’s monthly total of 106,266, according to the American Bankruptcy Institute (ABI), relying on data from the National Bankruptcy Research Center (NBKRC). The October 2009 consumer filings represented an 8.9 percent increase from the September 2009 total of 124,790. Chapter 13 filings constituted 28.5 percent of all consumer cases in October, a slight increase from the September rate.

“The nearly 9 percent increase in consumer bankruptcy filings in October, together with a 7 percent jump reported in business cases, demonstrates the sustained stress on the U.S. economy,” said ABI Executive Director Samuel J. Gerdano. ABI forecasts that total bankruptcies this year will exceed 1.4 million, the highest number since 2005.

[Wee-Weed Up]

Wonder how the White House will spin this one.

[stephenjohnbanker]

Tagline....

L M A O

[Zeddicus]

“Unexpected”?

[dfwgator]

They slipped up, they didn’t put “Unexpectedly” in the title.

[jiggyboy]

Well it will drop to zero percent next month because the recession is over!

[andy58-in-nh]

Wall Street is too busy rallying to care about anything as mundane as bankruptcies. As long as the dollar is weak, short-term interest rates stay near zero and unemployment stays around 10%, they’ll be happy as clams.

[JasonC]

Over last October, before the market crash or the unemployment rate increase had a chance to cause filings. Right. Not "in October", as in, during the last month. Doom mongers on parade...

[max americana]

> Wonder how the White House will spin this one.

Easy. Try “the recession is over..”

[OB1kNOb]

GREEN SHOOTS!!!!!......no wait....

[Hans]

The main wave of bankruptcies is still building in both personal and corporate populations. Nothing has occurred to lessen the relentless deterioration. When as they must, interest rates are raised a few points
all hell will break loose. With 27% cards the norm, deft use of obscure triggers have guaranteed this, is there anyone who believes that these cards are going to be paid off?
Banks borrowing money at 0% and charging 27% and up are still soon going to face the day when they are lined up like the down market hookers they have long labored to become, for federal handouts. The administration and press have become a bit giddy at the recovery - it doesn't exist in the private sector which shocking though it may be is the only sector that matters.

[hinckley buzzard]

The economy is recovering--green shoots everywhere!