When someone files for bankruptcy, they typically do so because they’re looking for something of a “fresh start” when it comes to their existing debts and credit. Maybe a series of unfortunate financial decisions over the years has led them to the position they are now facing. Perhaps it was a matter of circumstance – they were a victim of larger situations (like economic activity) that are largely beyond their control.
In any event, bankruptcy is seen by many as a “way out” – and the good news is that it doesn’t have the stigma attached to it that it has in the past.
But how many people file for bankruptcy in the state of Georgia, exactly? Is it a rare situation or is it actually a lot more common than people think? The answers to these questions and more are absolutely worth a closer look.
Bankruptcy in Georgia: An Overview
According to the United States Bankruptcy Court for the Middle District of Georgia, there were approximately 503 bankruptcy filings in this area in August 2022 alone. That is actually a fairly significant increase from the 418 bankruptcy filings that took place just one month prior.
If you add up all the bankruptcy filings that have happened since the beginning of 2022, you’re looking at over 3200 – and that doesn’t include the four months from September through the end of the year.
In the Northern District of Georgia, the situation is similar. There were 11,122 bankruptcy filings in September 2022. That, too, was a significant increase from the 9.721 just a month prior. Overall, there have been tens of thousands of people who have filed for bankruptcy this year alone – a trend that shows no signs of slowing down anytime soon.
Note that the Northern District of Georgia is larger than the aforementioned Middle District, which is part of the reason for such a discrepancy in numbers. That, and the former has numbers available for September while the latter does not.
Additional Considerations About Bankruptcy in Georgia
All of this is to say that filing for bankruptcy in the state of Georgia is a lot more common than people might realize. This is part of the reason why the act doesn’t really have the negative reputation that it used to – people have seen first-hand how it can give them a more stable financial foundation from which to work from.
Indeed, filing for bankruptcy does offer a number of distinct advantages – like the fact that you get to keep any future income that you earn. You don’t have to worry about a significant amount of money from each hard-earned paycheck going to pay back old debts like you would with other potential solutions to this issue. The only exceptions are things that are acquired within 180 days of the time you file for bankruptcy, including things like inherited property, property that you got in a divorce or in some type of settlement agreement, and death benefits.
Not only does bankruptcy help you discharge your applicable debts quickly, but you also don’t have a debt repayment plan that you will have to worry about in a lot of cases. Yes, only individuals are eligible to file for Chapter 7 bankruptcy. But based on some advantages outlined above, it’s easy to see why it’s become such a common choice in Georgia (and in the country in general) over the last several decades in particular.
Overall, it’s essential to understand that there is no “one size fits all” answer to whether or not you hold a file for bankruptcy in Georgia. Even if research shows us that doing so is a lot more common than most realize, you still need to consider things carefully before proceeding to determine whether it makes sense for your situation.
Ultimately, that’s a big part of the reason why it’s so important to have partners by your side like the team at Clark & Washington, LLC. In addition to being Georgia’s largest bankruptcy filer, our experienced and passionate team will work with you to determine the best course of action moving forward.
If you’d like to find out more information about whether filing for bankruptcy is common in Georgia, or if you have additional questions that you’d like to go over with a professional in a bit more detail, please don’t delay – contact Clark & Washington, LLC today.