Total bankruptcy filings increased by 28% in the third quarter compared to the year ago period, and rose 4% since mid-year. During the three months ending September 30th, total filings hit 218,909 compared to 210,449 for the second quarter and 171,146 one-year ago. However, according to the Administrative Office of the U.S. Courts filings have dropped 29% during the 12-month period ending September 30, 2007, compared to a total of 1,112,542 bankruptcy cases filed for the previous 12-month period. The decline was a direct result of the "Bankruptcy Abuse Prevention and Consumer Protection Act of 2005." The reform has also significantly reduced "Chapter 7" filings. In the 12-month period ending September 30th, "Chapter 7" filings declined 42% while "Chapter 13" filings rose 14%. Historically bankruptcy filings in the third quarter are lower than the second quarter or only slightly elevated.
| QUARTERLY BANKRUPTCY FILINGS |
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| 1Q/06: | 116,771 |
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| 2Q/06: | 155,833 |
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| 3Q/06: | 171,146 |
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| 4Q/06: | 177,599 |
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| 1Q/07: | 193,461 |
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| 2Q/07: | 210,449 |
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| 3Q/07: | 218,909 |
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| Source: Administrative Office of the U.S. Courts |
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