Did you know that Georgia ranks 3rd in the nation for bankruptcy filings?
Georgia Remains Among the Top 3 States in the Nation for Bankruptcy Filings
When it comes to bankruptcy, you might say Georgia has more than its fair share. Georgia remains among the top three states in the US for personal bankruptcy filings. And these numbers are coming in alongside numbers indicating all-time unemployment rate lows.
The Number of Bankruptcy Filings in Georgia:
The state of Georgia’s overall bankruptcy filing numbers are down, but personal or consumer bankruptcies are still significantly more widespread in Georgia in comparison to the rest of the nation. In October, Georgia saw 4.43 bankruptcy filings for every 1,000 people. These numbers put Georgia near the top with only Alabama and Tennessee showing higher numbers. The national rate is around 2.51. (American Bankruptcy Institute data from Epiq Systems).
Why Does Georgia Have So Many Bankruptcy Filings?
Considering stats and studies about the number of bankruptcy filings in various states throughout the nation shows us that Georgia has a high number of bankruptcies, but why are there so many bankruptcy filings in Georgia? The state’s rank is due to a number of different factors:
- Creditor-friendly state laws
- Struggling finances and low-income amid the state’s middle class
- Weak consumer protections
Wage Growth & Cost of Living:
While Georgia is experiencing low unemployment rates, the state’s overall wage growth is nowhere near in line with the area’s cost of living increases. Consumers aren’t able to find employment equal to their education or capable of supporting an average lifestyle. Possibly in response to this escalating situation, Georgia’s federal bankruptcy courts have been enacting rules that make it easier for the typical consumer to seek relief from overwhelming debt. When handling legitimate bankruptcy filings, Georgia bankruptcy courts generally move quickly.
If you have questions about filing bankruptcy or the bankruptcy process in Georgia, we can help. Find out more about getting a fresh financial start through bankruptcy. Get in touch with Kenneth C. Rannick P.C., Tennessee, and Georgia bankruptcy attorney as soon as possible.