Bankruptcy filings continue to trend upward, reinforcing a pattern that credit and collection professionals have been watching closely for more than a year. New data from the Administrative Office of the U.S. Courts shows total filings increased 11.9% in the 12-month period ending March 31, 2026, reaching 591,850 cases.
That’s up from 529,080 filings during the same period a year earlier and marks another step in the steady rebound from pandemic-era lows.
The headline numbers
- Total filings: 591,850, up 11.9% year over year
- Non-business filings: 565,890, up 11.9%
- Business filings: 25,960, up 11.4%
The increases remain broad-based, with both consumer and business segments contributing to the rise. For context, filings bottomed out at just over 380,000 in mid-2022 after more than a decade of decline. Since then, volumes have increased each quarter, though they are still well below the levels seen following the financial crisis.
What’s driving the increase
While the courts do not assign causes to the data, the composition of filings offers clues:
- Chapter 7 filings climbed to 369,702, continuing to serve as a key indicator of consumers reaching financial breaking points and opting for liquidation.
- Chapter 13 filings rose to 211,700, signaling more consumers are attempting structured repayment plans.
- Chapter 11 filings increased to 9,941, reflecting ongoing pressure in the business environment, particularly among small and mid-sized companies.
Court systems are also feeling the impact. Some districts are reporting longer wait times and heavier caseloads, a sign that the rise in filings is not just statistical but operational.
Perhaps most importantly, the trend reinforces that financial stress is not isolated. The consistency of increases across multiple quarters suggests a normalization toward higher baseline bankruptcy activity.
