Monthly consumer bankruptcy filings reached a new high.
Last month, 135,913 consumer bankruptcies were filed, according to data released by the American Bankruptcy Institute.
Filings climbed from 124,790 in September and 106,266 during October 2008.
October filings represented “new highs,” according to ABI — which based its findings on data from the National Bankruptcy Research Center. ABI’s more than 12,300 members include attorneys, lenders and other bankruptcy professionals.
Chapter 13 filings accounted for 28.5 percent of last month’s bankruptcies — or around 38,700 filings. Chapter 13 of the Bankruptcy Code is typically used to budget some of the debtor’s future earnings under a plan where unsecured creditors are paid in whole or in part.
From January through October, 1,182,362 consumer bankruptcies were filed. ABI projects that the total will rise to 1.4 million by Dec. 31, “the highest number since 2005.”
