Monday, May 2, 2011

1 out of 45 Households in Bankruptcy

About 54,000 households in the federal court district that includes the Sacramento region declared bankruptcy last year, up 20 percent from 2009.

The rate of bankruptcy filings in the eastern district of California is now about 50 percent higher than the national average.

Most filers asked for Chapter 7 protection, a liquidation which addresses unsecured debt like credit cards. About 10,000 filed for debt restructuring under Chapter 13, which is often done to try to save a home from foreclosure