December Bankruptcy Filings Hit 14 Year Low
01/06/2021 09:11 AM Posted by: AIS InfoSource
According to the latest AIS Insight Report, December bankruptcy filings totaled to 34,298, breaking November’s record as the lowest monthly total of filings since January 2006. With a new COVID-19 relief package and the extension of the federal moratorium on foreclosures and evictions, experts believe bankruptcies could remain below historic averages until these programs conclude.
New COVID-19 Relief Package Provides Updates to Bankruptcy Provisions
12/22/2020 04:00 PM Posted by: AIS InfoSource
In addition to stimulus payments, jobless aid, and PPP funding, the new $900 billion COVID-19 relief package also temporarily amends various sections of the Bankruptcy Code to provide further relief to businesses and individuals directly impacted by the pandemic. What bankruptcy provisions are included in the bill?
November Bankruptcy Filings Hit 14 Year Low
12/03/2020 09:11 AM Posted by: AIS InfoSource
November bankruptcy filings totaled 34,470, marking the lowest monthly total in nearly 15 years. The drastic decline in filings can be attributed to stimulus checks, unemployment benefits, and mortgage and student loan deferments.
Bankruptcy Filings Continue to Fall Despite Pandemic, Unemployment
11/03/2020 09:11 AM Posted by: AIS InfoSource
Bankruptcy filings continue to fall despite pandemic and high unemployment. According to our year-over-year analysis, filings are down 40.76% from October 2019. Although we are still well below averages, we did see a slight uptick from the previous month. As confirmed by The Wall Street Journal, we anticipate challenges in the coming months that could lead to an increase in filings.
September Bankruptcy Filings Increase For First Time Since 2009
10/05/2020 04:00 PM Posted by: AIS InfoSource
According to the latest AIS Insight Report, September bankruptcies totaled to 39,699 reflecting a slight uptick from the previous month. This marks the first increase from August to September since 2009. However, filings were still down 35% from September 2019. A year-over-year analysis indicated that total Chapter 11 filings increased by 73%. This is by far the highest year-over-year monthly increase in 2020.
Chapter 11 Bankruptcy Filings Up 28% in August
09/04/2020 04:00 PM Posted by: AIS InfoSource
According to the latest AIS Insight Report, bankruptcy volumes remain below historical averages. In August, bankruptcies totaled to 39,349, representing a 8.22% decrease from the previous month and a 40.8% decrease from August 2019. Year to date, filings are down by 26.76%.
Bankruptcy Volumes Remain Historically Low
08/06/2020 04:00 PM Posted by: AIS InfoSource
In the latest AIS Insight Report, July bankruptcies totaled 42,839, representing a .99% increase from the previous month and a 33% decrease from July 2019. Although bankruptcies rose for a second consecutive month, volumes remain below historical averages.
Bankruptcies Continue to Decline, Steep Rise in Chapter 7 Filings
07/06/2020 04:00 PM Posted by: AIS InfoSource
This month’s AIS Insight report shows that bankruptcies in the month of June totaled 42,411 representing a 30.56% decrease from the 61,078 filed in June 2019. June marked the fourth consecutive month of declining bankruptcy volumes, compared to the same time period in 2019. The report also illustrates a steep rise in Chapter 7 bankruptcies, which now account for nearly 75% of all filings.
New Bankruptcy Law Can Protect Small Businesses from Defaulting on Federal Loans
06/25/2020 04:00 PM Posted by: AIS InfoSource
With the recent economic impact of COVID-19, small businesses have suffered tremendously. For those who wish to avoid default, experts suggest that small businesses consider bankruptcy protection. Under the Small Business Reorganization Act, enacted in February 2020, Chapter 11 bankruptcy offers a favorable option by lowering costs, simplifying procedures, and providing greater flexibility in plan confirmation requirements to help small businesses regain control of their operations.
U.S. Initial Unemployment Claims Continue to Fall; Big Obstacles Still Lie Ahead
06/12/2020 04:00 PM Posted by: AIS InfoSource
According to the Labor Department, the number of people seeking unemployment benefits declined to 1.5 million (week ended June 6). This marks the tenth consecutive week of declining claims.The number of Americans currently receiving unemployment benefits appears to have stabilized, totaling 20.9 million (week ended May 30). However, "continuing claims” remain at a historic level, 14.3 million above the previous record in 2009.
May Marks Third Consecutive Month of Declining Bankruptcies
06/11/2020 04:00 PM Posted by: AIS InfoSource
In the latest AIS Insight report, bankruptcies for the month of May totaled 39,961 representing a 41.94% decrease from the 68,829 filed in May 2019. Making it the third consecutive month of declining bankruptcy volumes, compared to the same time period in 2019. Although, chapter 11 bankruptcies increased by 42% in May to 758 filings.
Understanding CARES Amendments and the Small Business Bankruptcy Act of 2019
05/19/2020 04:00 PM Posted by: AIS InfoSource
With the economic crisis created by COVID-19, Congress has passed the Coronavirus Aid, Relief, and Economic Security Act ("CARES Act”). Along with wide sweeping financial aid, the CARES Act amends the newly created Small Business Reorganization Act of 2019, subchapter 8 of Chapter 11, substantially increasing the financial scope of the streamlined procedures of subchapter 8 and the amendments to Chapter 13.
April Job Losses Produce Largest Monthly Decline Since 1939
05/12/2020 04:00 PM Posted by: AIS InfoSource
April’s employment report, as released by the U.S. Department of Labor on May 8th, proved that COVID-19 has caused a serious setback to the U.S. economy. The April unemployment rate rose to a record 14.7% totaling to 20.14 million jobs lost.
Bracing for Surge In Small Business Bankruptcies
05/08/2020 04:00 PM Posted by: AIS InfoSource
The bankruptcy industry is preparing for a spike in small business bankruptcies triggered by the coronavirus pandemic and slow economic growth over the past decade. According to a poll by the U.S. Chamber of Commerce, more than 40 percent of the nation’s 30 million small businesses could close within the upcoming months.
April Bankruptcy Filings Down 46% from 2019
04/14/2020 04:00 PM Posted by: AIS InfoSource
AIS data shows April bankruptcy filings have decreased 46%, from bankruptcies filed in the same month last year. Bankruptcy filings totaled to 38,421 in April 2020, whereas the total number was 71,284 in April 2019. However, an increase of 28% was recorded in commercial chapter 11 filings, which rose from 462 filings in April 2019 to 592 in April 2020.
The COVID-19 Pandemic's Impact on Bankruptcy Volumes
04/14/2020 04:00 PM Posted by: AIS InfoSource
Based on historic trends, when annual unemployment rates increase, bankruptcy filings will follow. AIS Law expects a surge in bankruptcies in late 2020 and early 2021. With multiple relief programs put in place to slow the impact, one could anticipate a lag. However, now is the time to start preparing.
202101January1January 2021 (1)
202012December2December 2020 (2)
202011November1November 2020 (1)
202010October1October 2020 (1)
202009September1September 2020 (1)
202008August1August 2020 (1)
202007July1July 2020 (1)
202006June3June 2020 (3)
202005May3May 2020 (3)
202004April2April 2020 (2)