According to the recently released 2012 Report of Statistics Required by the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005, consumers filed a total of 1.1 million bankruptcies in 2012. This is a whopping 14% decrease from the number of consumer cases filed in 2011. And 2011 filings were down from 2010 as well — by 11%.
Another trend that continued from 2011 to 2012 — of the total number of consumer bankruptcies filed, a slightly smaller percentage were Chapter 7 cases as compared to the previous year. Specifically, in 2010 71% of the consumer bankruptcies filed were Chapter 7 cases, in 2011 that percentage decreased to 70%, and in 2012 it further decreased to 69%. The percentage of cases filed that were Chapter 13s correspondingly increased — from 30% in 2011 to 31% in 2012.
Other interesting statistics:
- In 2012, the average time it took to complete a Chapter 7 case, from start to finish, was 205 days (or about 7 to 8 months). This is much longer than the “about three months” figure often bandied about. Of course, how long a case lasts depends on the jurisdiction and the particulars of the case. For example, a case where a creditor files a complaint to determine dischargeability or where the trustee must sell property will take longer than a no-asset case in which no motions are filed.
- In 2012, 30% of Chapter 13 filers had filed for bankruptcy within the previous eight years.
You can read the 2012 BACPA Report here.