Second Quarter 2007 Marks Fifth Consecutive Quarterly Growth in Consumer Bankruptcies.
Burlingame, CA, July
3, 2007- The National Bankruptcy Research Center (NBKRC), a subsidiary of Lundquist Consulting, Inc., industry leader in bankruptcy statistics and analytics, releases findings that the second quarter of 2007 marked the fifth consecutive increase in bankruptcy filings since the first quarter of 2006. The second quarter 2007 filings numbered 200,732, an 11.6 percent growth over the first quarter of 2007 and a 40.6 percent growth over the second quarter of 2006.
On an annualized basis, 1 in every 136 households filed bankruptcy in the second quarter of 2007, as opposed to 1 in every 190 households in the second quarter of 2006. (Household numbers are based on 2005 estimates by the US Census.) The number of Chapter 13 filings in the second quarter of 2007 represents 37.3 percent of total filings, and Chapter 7 filings represent 62.5 percent. While the percentage of Chapter 7 filings is still lower than prior to the general enactment of the Bankruptcy Abuse Prevention and Consumer Protection Act (BAPCPA), Chapter 7 filings grew faster than all other chapters, increasing by 16.4 percent in the second quarter, compared to a 4.6 percent increase in Chapter 13 filings.
Chris Lundquist, Founder of Lundquist Consulting, Inc., has over 17 years of experience in the bankruptcy industry, publishing high quality statistics and performing qualitative and quantitative studies on the subject. Lundquist Consulting statistics are quoted in research papers and media articles as well as used by government entities for policy planning and legislative support papers. Regarding the current filing rates, Mr. Lundquist stated, "Bankruptcy filings continue to be lower than historical levels, but the continued increase, especially in Chapter 7 filings, indicate a slow return towards these historical
| Quarterly Growth in Consumer Bankruptcy
Filings from Previous Quarter by Region (in percent)
|North Central (East)
|North Central (West)
|| All regions show continued growth in filings in the second quarter of 2007. The Mountain region showed the greatest percentage of growth in filings for quarter two 2007 at 23.9 percent, whereas the area of least growth was seen in the South (West) at 5.2 percent. We do note that the Pacific region showed a smaller growth in quarter two than in quarter one of 2007. The largest volume of second quarter 2007 filings occurred in California at 16,251 filings, followed by Ohio at 13,401 and Georgia at 11,246. For region definitions, please visit our site at
Bankruptcy trends, statistics and analytics are updated weekly and available through the National Bankruptcy Research Center (NBKRC), a product offered by Lundquist Consulting, Inc. to clients on a subscription basis.
About the National Bankruptcy Research Center
The National Bankruptcy Research Center (NBKRC) is the
premier resource for
bankruptcy research, financial planning and economic evaluation. The data and
analytics found at the NBKRC provide subscribers with the most accurate,
comprehensive and timely bankruptcy statistics anywhere in the industry.
Subscribers can obtain information online at
www.NBKRC.com or through weekly updates sent directly to them.
Subscribers include investment banking firms, securities exchanges, government
entities, mortgage brokerages, analysts, banks, members of the media and online
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About Lundquist Consulting, Inc.
Lundquist Consulting, Inc., founded in 1989, specializes in information
engineering. The firm brings over fifteen years of expertise in customized data
processing solutions, consulting services and research and analytics with a
strong emphasis in bankruptcy systems and statistics. LCI has been working in
the financial services and technology industries since itís inception. Over
that time our principals have served on several industry steering and ad hoc
committees in the areas of financial counseling, risk management, and
technology. LCI has performed operational studies and worked with industry
executives and government entities on developing new strategies for process
improvement, risk management policy, and position papers in support of pending
Lundquist Consulting and NBKRC in the News
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