• Erin Owen

Bankruptcy Filings are on the Rise



I don’t have to tell you that bankruptcy filings have been at the lowest level since the mid-1980s and have been in a steady decline since the second quarter of 2020.[i] Given continued inflation and higher interest rates, it doesn’t take a Ph.D. in economics to realize that things are changing. It’s just a matter of time before we see an uptick in filings and who knows how much they may increase. Recent numbers tell the story.


It's All in the Numbers

  • Bankruptcy filings in August 2022 across all chapters totaled 35,355 – a 10% increase from the August 2021 total of 32,276, according to new research recently released from Epiq's Bankruptcy Analytics platform.[ii]

  • Overall commercial filings increased by 6% in August 2022, with 1,861 filings versus the 1,753 commercial filings in August 2021. Individual filings also increased by 10% in August (33,494 compared to 30,523 in August last year).

  • Total filings, both commercial and individual, show a 15% increase month-over-month compared to the July 2021 total of 30,854 filings. The August 2022 commercial filings represent a 16% increase compared to July’s commercial filings, while August’s individual filings represent a 15% increase compared to July’s individual filings.

  • For the first time in months, all chapters registered a month-over-month increase. Chapter 11 filings increased 81%, totaling 466 filings in August 2022 compared to 257 in July 2022. Similarly, August’s commercial Chapter 11 filings were up 91% over the 212 filings in July 2022. Chapter 13 filings increased 15%, totaling 14,981 filings compared to 12,992 in July. Chapter 7 filings increased 13%, totaling 19,884 compared to 17,593.


An increased volume means more disputes to be resolved. Having a mediator with bankruptcy knowledge and experience helps. We’re here when you need us, now or when the floodgates open.[iii]

[i] https://tradingeconomics.com/united-states/bankruptcies [ii] https://www.globenewswire.com/news-release/2022/09/01/2508999/10374/en/Bankruptcy-Filings-Increase-Across-All-Chapters-in-August-2022.html [iii] Not wishing misfortune on anyone, but ready to tackle what a tightened economy may bring, just like you are.