According to data from Epiq AACER, the top source of U.S. bankruptcy file data, commercial chapter 11 cases rose 20% in the calendar year 2024, from 6,583 filings the year before to 7,879 filings. The total number of commercial filings rose from 25,731 the year before to 30,009—an estimated 17% rise.
The number of small business subchapter V elections under chapter 11 also increased significantly in 2024, with 2,381 files, a 32% rise from the 1,808 filed in 2023. Note that with the expiration of the higher debt limits for both filing categories on June 21, 2024, the rate of increases in consumer chapter 13 and subchapter V filings declined.
“As anticipated, we saw a steady increase in bankruptcy filings throughout 2024 and expect that growth trend to continue throughout 2025,” said Michael Hunter, VP of Epiq AACER. “If the current trend continues, new bankruptcy filings will return to pre-pandemic normalized volumes over the next 24-30 months. Modest rises in household debt and elevated delinquency rates reveal the stress households are experiencing and are reflected in the steady increased bankruptcy filing trends.”
The total number of bankruptcy files in 2024 was 508,758, which was 14% more than the 445,286 filed in 2023. The total number of bankruptcy files is still less than the pre-pandemic figure of 757,816 in CY2019, despite a significant year-over-year increase.
The overall number of consumer filings for the calendar year 2024 was 478,749, which was 14% more than the 419,555 consumer filings for the year before. In CY 2024, there were 288,968 consumer chapter 7 filings, up 19% from 242,919 the year before. In 2024, there were 188,934 consumer chapter 13 bankruptcy filings, which represents a 7% increase over the 175,977 cases in 2023.
“The continued increase in bankruptcies over the past year reflects the growing list of economic challenges faced by consumers and businesses,” said ABI Executive Director Amy Quackenboss. “Rising interest rates, inflation, increasing geopolitical tensions and shifts in post-pandemic consumer spending have more struggling businesses and families turning to bankruptcy for a financial fresh start from their growing debt loads.”
In December 2024, there were 38,121 bankruptcy filings overall, up 11% from the 34,486 files in December 2023. Additionally, the 35,793 consumer bankruptcy files were an 11% rise over the 32,391 consumer filings in December 2023. While consumer chapter 13 files climbed by just 1% to 13,804 in December 2024 from 13,629 the year before, consumer chapter 7 filings increased by 17% to 21,918 in December 2024 from 18,718 in December 2023.
To read the full report, including more data, charts, and methodology, click here.
