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Phoenix Bankruptcy Filings Rise in August

When news that concerns the so-called 'end of the recession' is released along with previous months where Phoenix-area bankruptcy filings dissipated slightly, some have felt optimism in regards to the disastrous economy that has not been felt in quite some time. Unfortunately, that optimism was short-lived in duration, as a recent release of statistics from the United States Bankruptcy Court in Phoenix showed that bankruptcy filings in August rose, and the area is now on pace to surpass previous record highs.

Phoenix Bankruptcy Statistics - August of 2010

According to the report, 2,865 bankruptcy cases were filed with the court in August, which represents a jump of almost 300 cases from July, when 2,585 new cases were filed. This statistic represents all bankruptcy filings, including Chapters 7, 11 and 13 among others. However, and as is always the case, Chapter 7 bankruptcy filings were once again the vast majority of cases filed, and these types of cases almost always concern individual consumers who are pursuing a liquidation of their assets in order to obtain a fresh financial start in a shorter time frame.

Reasons for the Jump in Phoenix Bankruptcy Cases

When statistics like these are released, there are always theories that tend to come forth. Some are those that have been generally used in the past - the job market remains terrible, the real estate market remains in free fall and most other economic indicators for Arizona remain troubling. However, some have also theorized that the new Arizona immigration law has led to a higher number of filings than usual for businesses that tend to serve the Latino community. Regardless of the reasons, the Phoenix courthouse is now on pace to receive 30,000 bankruptcy filings this year, which would surpass the 25,000 that were filed last year.

All of this means that if you're facing financial difficulty, you're far from alone. If you would like to learn more about how you can put an end to your economic stress, contact the Arizona bankruptcy lawyers atMontano Arentz & Associates, PLLC today to schedule a free initial consultation.

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