Bankruptcy news indicates that the number of people filing bankruptcy in Massachusetts dropped in November. In fact, the numbers are down 13.3% from the prior month, according to the American Bankruptcy Institute, nationwide, not just Massachusetts bankruptcy. They are still up from November 2009, however. The total number of bankruptcies filed in 2010 is already significantly higher than 2009, which was about 30% higher for personal bankruptcies than 2008. Massachusetts Bankruptcy Court reports for year end are 2010 will be published next month.
Massachusetts bankruptcies totaled 17,763 filings for 2010 to the end of the quarter, 77% of which were Chapter 7 in 2010. This puts Massachusetts 33rd in state rank based on per capita filings in 2010. By comparison, in all of 2009, for example Massachusetts ranked 35th and 82% were Chapter 7; in 2008, we were 36th and 77% were personal bankruptcies.
While the rate of personal bankruptcy in Massachusetts may have slowed, the Massachusetts unemployment rate, which may be loosely associated, went from 8.4% in September to 8.1% in October, considered the steepest two month drop since 1976. Late November’s news was that the Massachusetts unemployment rate was down in 18 of the 22 counties