From Deseret News archives:
Utah bankruptcies jump 42%
Through September, the court reported some 6,600 bankruptcy filings. That's more than the nearly 6,300 filed in all of 2007. All but 52 were Chapter 7 and Chapter 13 filings, typically used by individuals.
In September alone, filings were 53 percent higher this year than September 2007.
However, filings did decline 5 percent between August and September.
The national data show a similar pattern. National consumer bankruptcies rose about 29 percent in September from the same time a year ago. Last month, 88,663 consumers filed for bankruptcy, according to the National Bankruptcy Research Center. The group expects consumer filings to grow to more than 1.1 million by the end of the year.
"The continued rise in personal bankruptcies reflects high consumer debt, made worse by energy costs and the weak housing market, trapping many households in homes they can neither afford nor sell," American Bankruptcy Institute Executive Director Samuel Gerdano said in a statement.
In other news, the American Bankers Association is reporting consumer-loan delinquencies rose only slightly — 6 basis points to 2.68 percent — in the first six months of the year. The group's chief economist James Chessen says the federal economic-stimulus payments helped consumers pay off debt, and the slowing economy is making them more cautious in adding to it.
Contributing: Associated Press.
E-MAIL: jtcook@desnews.com
