Rise in Bankruptcy Filings
A San Francisco Bankruptcy Attorney discusses a Rise in Bankruptcy Filings
I couldn't help but ponder, from my San Francisco bankruptcy firm that, throughout the decades, America has experienced a growth spurt unlike any the world has seen since the early Rome. That growth has been spurred by entrepreneurs and thinking outside the box. A substantial factor in Americans ‘boldness’ to expand is the security and comfort of knowing they are backed and supported by a system of government and laws that promotes such risk taking. In response to Americans placing their livelihood on the line for business, the government created an ‘escape hatch’ for those whose ideas failed, bankruptcy. Bankruptcy is a backbone for the American dreamer who places his life on the line and risks it all for his dream. What would the Silicon Valley be if Steve Jobs was too afraid to take his garage-based computer company public?
Bankruptcy was established to assist those whose ideas never caught on. But is that protection being abused? Some think so, based purely on the spike in recent bankruptcy filings. In 2005, the laws surrounding bankruptcy filings tightened and it made it more difficult for the average American entrepreneur to file for bankruptcy in an attempt to filter out the fraudulent filings. Back in 2005, almost 2.1 million petitions were filed across the country, approximately 5,750 filings per day. In 2006 following the enactment of new laws, the bankruptcy filing rate plummeted to approximately 1,000 per day.
The bankruptcy rate has steadily risen since 2006 and in 2009, the rate increased almost 24% from 2008 filings. More and more Americans are being laid off, losing their homes, and being forced to file for bankruptcy protection. More and more people are reaching out to their government to help them get back on their feet and re-stimulate the economy. It is projected that as the hard economic times continue, the bankruptcy filing rate will continue to rise. At what point does bankruptcy become a norm?
If you have questions regarding bankruptcy in San Francisco or bankruptcy in the greater Bay Area please contact our San Francisco Bankruptcy Attorneys at (415) 946-8882 for a free consultation or visit www.bkanswers.com and we can connect you with one of our experienced San Francisco Bankruptcy Attorneys. After you have spoken with one of our Bay Area bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of Bankruptcy Lawyers, Bankruptcy Customer Care Specialists and Bankuptcy staff supporting San Francisco and Bay Area consumers in debt can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Francisco Bay Area!
