Bankruptcy Filings Down in 3rd Quarter

With the U.S. economy in recession, individual and business bankruptcies ticked down in the third quarter of the year but still remain on course to set a record this year, according to data released by the Administrative Office of the U.S. Courts.

The number of new bankruptcy filings between July and September was 359,518, a rise of 14% over the same period last year but down 10% from the record 400,394 filed in the second quarter.

In the 12-month period to the end of September, bankruptcy filings rose 14% to 1,437,354 compared with a year ago. Experts expect bankruptcies to top 1.5 million this year.

Personal bankruptcy filings totaled 349,981 in the third quarter of this year, up 14% from the same quarter last year. For the 12 months to September, personal filings also rose 14% to 1,398,864.

Business bankruptcy filings totaled 9,537 in the third quarter, up from 8,211 in the same quarter last year. For the 12 months to September, business filings were 38,490, up from 36,065 in the same period last year.