U.S. Bankruptcy Filings Continue to Rise: What the Latest Data Shows

Over the past two years, U.S. bankruptcy filings have begun to rise after reaching historic lows during the pandemic period. For the 12-month period ending December 31, 2025, total U.S. bankruptcy filings increased 11% year over year, reaching 574,314 cases (Administrative Office of the U.S. Courts, 2026).
While these numbers remain well below the 2010 peak of roughly 1.6 million filings, the upward trend is clear (Administrative Office of the U.S. Courts, 2026).
Consumer filings have also increased meaningfully. According to Epiq AACER data, consumer filings rose approximately 12% from 478,752 in 2024 to 533,949 in 2025. Within that category, Chapter 7 filings—often viewed as a leading indicator of financial distress—were up approximately 15% year over year.
Business filings have risen more modestly. Data from the Administrative Office of the U.S. Courts shows business filings increased approximately 7.1% over the same period.
Importantly, filings have increased steadily since 2022. Although the long-term trajectory remains uncertain, the data reflects a sustained upward movement rather than a single short-term spike (Administrative Office of the U.S. Courts, 2026).
Recent reporting has attributed the increase in filings in part to persistent inflation, elevated borrowing costs, and an uneven economic environment (CBS News, 2026).
Subchapter V usage has also continued to expand (Epiq AACER, 2026).
Implications for Creditors
One important consideration for creditors is timing. Bankruptcy filings often lag underlying financial distress (CBS News, 2026).
Survey-based research has consistently identified income disruption as a leading reported contributor to consumer bankruptcy. Medical issues are also frequently cited as contributing factors (Debt.org summary of Consumer Bankruptcy Project).
Some recent reporting suggests an increase in younger filers (Business Insider, 2026). Longer-term research shows older Americans represent a significantly larger share of filers (Consumer Bankruptcy Project).
Looking Ahead
The key takeaway from current data is the direction of change. Filing levels remain below historical peaks, but the consistent upward trend suggests financial stress may be building.
As a result, creditors and stakeholders should monitor filing trends closely.