Commercial Chapter 11 filings totaled 247 in September, a 67 percent decrease from September 2020’s total of 749 filings. September 2020 business filings were 1,690, a decrease of 37 percent compared to the 2,683 business filings in September 2020.
Total U.S. filings registered 30,908 in September 2021, down 22 percent from last September’s total of 39,713, according to data provided by Epiq. The 29,218 consumer filings in September represented a 21 percent decrease from the September 2020 consumer total of 37,030.
During the first nine months of the year, commercial bankruptcy filings dipped 32 percent to 17,311 from the 25,436 filings during the same period in 2020. Commercial Chapter 11 filings decreased 47 percent during the first nine months of 2021 from the same period a year ago, as the 2,924 filings declined from the 5,531 filings in 2020.
Total U.S. bankruptcy filings decreased 26 percent during the first nine months of the year, as the 312,497 filings dropped from the 420,060 filings in 2020. The 295,186 total noncommercial filings through the first three quarters of 2021 represented a 25 percent decrease from the noncommercial filing total of 394,624 through the first three quarters of 2020.
“Although filings are at a historic low, with the expiration of many government stabilization programs, diminishing lender forbearance and greater supply chain challenges due to the pandemic, financially distressed families and businesses may begin to feel lost in these uncertain economic times,” said ABI Executive Director Amy Quackenboss. “Bankruptcy provides a stable and proven path for struggling companies and consumers to keep from being financially overwhelmed.”
The average nationwide per capita bankruptcy filing rate for the first nine calendar months of 2021 decreased slightly to 1.34 (total filings per 1,000 population) from the 1.38 rate for the first eight months of the year. The average daily filing total in September 2020 was 1,891, a 25 percent decrease from the 2,527 total daily filings registered in September 2020. States with the highest per capita filing rates (total filings per 1,000 population) through the first nine months of 2021 were:
- Alabama (3.14)
- Nevada (2.77)
- Tennessee (2.45)
- Indiana (2.27)
- Georgia (2.12)