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U.S. Courts: Bankruptcy Filings Decline 24 Percent in 2021

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February 9, 2022
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by Calculated Risk on 2/07/2022 02:41:00 PM

From the U.S. Courts: Bankruptcy Filings Drop 24 Percent

Bankruptcy filings fell again for the 12-month period ending Dec. 31, 2021. A steady decline in filings has continued since the COVID-19 pandemic began.

Annual bankruptcy filings in calendar year 2021 totaled 413,616, compared with 544,463 cases in 2020, according to statistics released by the Administrative Office of the U.S. Courts. That is a decrease of 24.0 percent.

Click on graph for larger image.

This graph shows the business and non-business bankruptcy filings by calendar year since 1997.

The sharp decline in 2006 was due to the so-called “Bankruptcy Abuse Prevention and Consumer Protection Act of 2005”. (a good example of Orwellian named legislation since this was more a “Lender Protection Act”).

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