The first quarter of 2025 saw a moderate increase in the total number of bankruptcy filings, according to data gathered by G2 Risk Solutions (G2RS), which handles the majority of US bankruptcy cases by offering bankruptcy management services to creditors and lenders. In the latter two quarters of 2024, bankruptcy filings leveled out and then declined, despite a general trend of rising filings since 2022. Filings up 0.7% in Q1 2025 compared to Q4 2024.
Data from Q1 of 2025 showed 125,421 filings, compared to 116,285 in the same period in 2024. Forecast filings for 2025 as a whole are expected to reach 501,000, up 1.38% from 2024 totals.
Q1 Year-over-year Data — Regional (U.S.)
| Region | Q1 (2025) | Q1 (2024) | Growth | YoY% Growth |
| Mountain | 7,177 | 6,197 | 980 | 15.81% |
| North Central (East) | 23,689 | 22,284 | 1,405 | 6.30% |
| North Central (West) | 6,974 | 6,562 | 412 | 6.28% |
| Northeast | 14,187 | 13,292 | 895 | 6.73% |
| Pacific | 17,799 | 15,916 | 1,883 | 11.83% |
| South (East) | 34,259 | 32,045 | 2,214 | 6.91% |
| South (West) | 19,951 | 18,661 | 1,290 | 6.91% |
| Puerto Rico | 1,385 | 1,328 | 57 | 4.29% |
| Total | 125,421 | 116,285 | 9,136 | 7.9% |
Top States with Highest & Lowest YoY Bankruptcy Growth (by volume and percentage):
Mountain region
- Montana (+15.6%) led with the high percentage growth and New Mexico (+23) had largest volume growth.
North Central (East)
- Michigan (9.5%) led in both percentage growth and had the largest increase volume growth (+450).
North Central (West)
- Iowa (+6.6%) led in percentage growth and had the largest volume growth (+52).
Northeast Region
- Vermont (+32.65%) led with the highest percentage growth and New Jersey (+160) had the largest volume growth.
Pacific
- Oregon (+31.68%) and (+467) led in both highest percentage growth and largest volume growth.
South (East)
- South Carolina (+10.1%) had the highest percentage increase and Tennessee (+326) had the largest volume growth.
South (West)
- Alabama (+2.47%) led in both highest percentage growth and largest volume growth (+117).
Southeast Sees the Highest Levels of Bankruptcy Filing Growth
From Q4 2024 to Q1 2025, the Southeast region saw the highest number of bankruptcy filings nationwide when comparing quarter-over-quarter (QoQ) changes. The District of Columbia, Florida, Georgia, Kentucky, Maryland, North Carolina, South Carolina, Tennessee, Virginia, and West Virginia are all located in the southeast. Tennessee (+326) saw the most volume gain in the region, while South Carolina (+10.1%) had the highest percentage increase.
| Region | Q1 (2025) | Q4 (2024) | Growth by filings: | Previous quarter growth |
| Mountain | 7,177 | 7,667 | (490) | -6.39% |
| North Central (East) | 23,689 | 23,588 | 101 | 0.43% |
| North Central (West) | 6,974 | 7,284 | (301) | -4.26% |
| Northeast | 14,187 | 13,821 | 366 | 2.65% |
| Pacific | 17,799 | 17,407 | 392 | 2.25% |
| South (East) | 34,259 | 32,969 | 1,290 | 3.91% |
| South (West) | 19,951 | 20,317 | (366) | -1.80% |
| Puerto Rico | 1,385 | 1,552 | (167) | -10.76% |
“During the last few quarters, we have seen significant fluctuations in bankruptcy patterns across different regions in the country, but the increase in filings during the first quarter points to a likely rise in bankruptcy activity for the remainder of 2025,” said Ryan Sanders, who leads Relationship Management with US financial institutions for G2RS Bankruptcy Intelligence Solutions. “However, overall filings still remain below pre-pandemic levels, and we anticipate it will take additional time before those benchmarks are surpassed.”
The country’s Mountain area saw the most percentage increase in bankruptcy filings when comparing the first quarter of 2025 to Q1 of 2024 across the board. Filings from this region, which includes Arizona, Colorado, Idaho, Montana, New Mexico, Utah, and Wyoming, have increased by 15.81% since Q1 2024. The two states with the most filings were Montana and New Mexico.
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