The Final Numbers are In: 2010 a Record Year for Phoenix Bankruptcy Filings | Legal News | News Ticker

We’ve been tracking the bankruptcy statistics throughout 2010 in both Phoenix and in Arizona overall, and as expected, 2010 turned out to be the worst year ever in Phoenix in terms of Arizona bankruptcy filings. The last year surpassed the previous record that was set in 2005, although that number was somewhat artificial because of the changes made in bankruptcy laws that prompted many people to file under the older and less stringent guidelines. What’s perhaps most unfortunate is that it’s likely that thousands of people in and around Phoenix will once again need the help of an Arizona bankruptcy lawyer in 2011.

According to court records, more than 31,000 Phoenix area households filed for some form of bankruptcy protection in 2010. This number represents 3,000 more than the previous record of 28,000 that was set in 2005. The trend is expected to continue in 2011 as the economy in Arizona and in the western United States overall continues to suffer and lag behind other areas of the country. There are several reasons as to why the number of Arizona bankruptcy filings in and around Phoenix is expected to remain high.

The most obvious reason for this negative prediction is because of the basic realities that surround many of those who have been filing for bankruptcy protection since the recession hit in 2007 and into 2008. The Arizona jobs market remains in terrible shape, the Arizona real estate market is in shambles and even those who are working are spending more time at work while earning less money. Therefore, people are forced to initially exhaust their savings and retirement accounts just to meet their monthly obligations. When those resources are no longer available, many will live month-to-month on credit cards even though it doesn’t take long for the balances and minimum monthly payments to rise to levels that cannot be met.

Phoenix Bankruptcy Lawyers

For those who find themselves in this position, there is most likely a way out from under this terribly stressful ordeal. However, it all starts with a close look at your financial picture by an experienced professional. From there a course to recovery can be plotted. You should start by seeking the help of experienced Phoenix bankruptcy lawyers who have helped thousands of people obtain a fresh financial start. ContactPhillips Law Group today to schedule a free initial consultation.