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Typical Bankruptcy Client Profile May Surprise You

A five year study of the 2005 Bankruptcy Reform Act by The Institute for Financial Literacy describes who files for bankruptcy and why – and the results may be surprising to you.

Women file more than men (52 to 48 percent), but the gap is narrowing

  • The older you are the more likely you are to file. Fifty-six percent of filers were between the ages of 35 to 54. More people over 54 file than people younger than 35.
  • Caucasians make up 72 percent of filers. (Eleven percent are African American, 9 percent are Hispanic)
  • Over 57 percent of filers have a college level diploma or higher; only 6 percent do not have a High School Diploma or GED
  • The income category of people making $60,000 and over has almost doubled during the five year study. Bankruptcy in lower earning categories has been declining at the same time.
  • Almost 70 percent of filers were employed.
  • Over 64 percent were married.

The most common reasons for filing included job loss, medical bills, and divorce, while the most common factors that contributed to the bankruptcy included overextended credit, loss of income, unexpected expenses, job loss, illness and divorce.

If you are facing bankruptcy, divorce, or both, you need an experienced family law attorney to protect your rights and advise you on your legal options. Call us at 770-609-1247 today to schedule a consultation with one of our attorneys.