Bankruptcy filings are on the rise. May bankruptcy filings increased 2% year-over-year, according to this week's release from the American Bankruptcy Institute. Commercial filings jumped 3% last month compared to May 2018.
Commercial Chapter 11 filings increased 7% in May to nearly 500. "High filing costs place additional debt burdens on struggling families and businesses seeking the financial fresh start of bankruptcy," said ABI Executive Director Samuel J. Gerdano in the release.
Month-to-month, commercial Chapter 11 filings shot up 8% from April. Despite this, total bankruptcy filings in May declined 4% from April. Commercial Chapter 11 filings have increased month-over-month from April to May in 2017, and 2018 as well.
-Michael Miller, managing editor