Developments In Manhattan Chapter

Trends In Manhattan Bankruptcy

A good Manhattan bankruptcy attorney pays particular attention to bankruptcy trends in their area. These patterns can certainly help a Manhattan bankruptcy attorney prepare to handle an increased caseload. It also helps a Manhattan bankruptcy attorney stay in tune with the demographics of the area that they practice law in.

Bankruptcy rates have definitely increased significantly over the past two years. For example, back in 2007, a little less than 38,000 people filed for federal bankruptcy protection in the state of New York. Of those total filers, 73% decided to file for a chapter 7 in 2008 by contrast, a little over 46,000 individuals sought federal bankruptcy protection in New York. About three quarters or 75% of those filers opted for a chapter 7 while 24% chose a chapter 13. In 2009 though, almost 57,000 people in the state of New York needed bankruptcy protection. Approximately 80% of that 57,000 went with a chapter 7 while the other 20% chose a chapter 13.

You may be able to draw conclusions by analyzing this information. For one, you may be able to conclude that a chapter 7 is just simply easier for people to qualify for. Even with the new stipulations set into place by the 2005 Bankruptcy Abuse Prevention Consumer Protection Act, Americans still find themselves eligible for a chapter 7 filing, some relatively easy.

In October of 2005, the Bankruptcy Abuse Prevention Consumer Protection Act required potential filers to meet a greater burden of proof in order to ascertain federal bankruptcy protection. This was done in order to try to reduce the amount of people that are able to so frivolously take advantage of the ability to receive financial assistance through bankruptcy. There was a sharp increase immediately prior to the 2005 implementation of the act, record filings were reported. A decline followed only to spike again, largely due to the economy.

For experienced, knowledgeable and trustworthy bankruptcy assistance, contact the attorneys from Call toll-free 800-260-1402 today for your initial free consultation or come into one of their 100 offices across the country.

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