The good news is that the economy in Ohio has improved over the past few years. When the economy is good, a recent report asserts, the number of those seeking the assistance that a bankruptcy rises. In fact, the number of filings in the state has increased for the first time since the Great Recession in 2009.
When people in Ohio are employed and feeling good about their chances of staying that way, they are more likely to spend on items like cars and to use their credit cards. This, the report indicates, is what leads some to seek a personal bankruptcy. In particular, it appears that many in the state may be taking on sub-prime car loans at a higher rate than in the recent past.
The number of total bankruptcy filings has increased just over 1% from the previous year. This reflects the Chapter 7 filings. However, the number of Chapter 13 filings rose a startling 18% in the first seven months of 2017. The past three months are the first consecutive increases that a major Ohio city has seen since the Great Recession.
People in Ohio can arrive at the decision to seek the protections of a personal bankruptcy for many different reasons. These can be car loans and credit cards. For many, medical bills can be a financial blow. When any of these occur, people can seek a bankruptcy option that may allow them the breathing space that they need to begin to rebuild their financial lives and create a better financial future.
Source: toledoblade.com, "Bankruptcy filings rise for 3rd month in a row", Jon Chavez, Aug. 2, 2017