Bankruptcy Filings Continue to Increase in Arizona

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According to the United States Courts official website, bankruptcy rates continue to increase across the nation. Arizona ranks number one for highest increase in bankruptcy filings from 2009 to 2010. To help Arizona's citizens in financial distress, Jackson White Law continues to offer free bankruptcy consultations through their two Arizona bankruptcy attorneys John N. Skiba and Kelly Black. Jackson White has also opened a new branch in the west valley.

John Skiba

Hiring an Arizona bankruptcy lawyer is of utmost importance in receiving a full discharge of debt.

For the past year leading up to March 31, 2010, there has been a nationwide increase of bankruptcy filings of 28% over 2009. Despite the government urging those filing for bankruptcy to file under chapter 13, the majority of the filings have been filed under chapter 7. Chapter 7 bankruptcy is a liquidation bankruptcy in which all debt is discharged, while chapter 13 is a restructuring of debt in which a payment plan is created and the majority of the debt is still paid off over a period of 36 to 60 months. Chapter 7 filings make up 71% of the nations bankruptcy filings while chapter 13 filings only make up 27%.

Phoenix AZ bankruptcy rates are even more drastic. Here in Arizona the number of filings for the 12 month period ending March 31, 2009 was 22,393. The number of filings for the 12 month period ending March 31, 2010 was 37,890. This is a drastic 69.2 percent increase, the highest increase of any state. Arizona ranks 13 for bankruptcy filing per capita. For every 1,000 residents, 5.74 file for bankruptcy. There is a large disparity between the filing for chapter 7 and chapter 13 however. Of the 37,890 filings, 81.7% were chapter 7 and only 16% were chapter 13 showing that Arizona had a higher than average chapter 7 filing rate and lower than average chapter 13 filing rate.

There are many contributing factors to these high numbers of bankruptcy. A common factor that Arizona holds with other states that are also experiencing higher than average bankruptcy rates is the housing situation. States like California and Florida also experienced crashes in the housing markets. This and high unemployment rates contribute to the high number of bankruptcies being filed.

To serve the financially distressed citizens of Arizona, Jackson White Law continues to offer free bankruptcy consultations through its Arizona bankruptcy lawyer Kelly Black. The bankruptcy process is a difficult and confusing one, where the laws are constantly changing. Hiring an AZ bankruptcy lawyer is of utmost importance in receiving a full discharge of debt.

In order to serve the entire valley with more ease, Jackson White Law has opened a bankruptcy branch in the west valley, where Peoria bankruptcy attorney John N. Skiba can help those from nearby cities Glendale, Peoria, and Buckeye. He also offers free bankruptcy consultations.

Jackson White Law is a Debt Relief Agency. We help people file for bankruptcy relief under the Bankruptcy Code. The services, benefits, or assistance we provide in connection with consumer debts may involve bankruptcy relief under the Bankruptcy Code.

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