- In medieval Italy, when a businessman did not pay his debts, it was the practice to destroy his trading bench. From the Italian word for broken bank, "banca rotta," comes the term bankruptcy. (Source: BankruptcyData.com.)
- Consumer bankruptcies represented the majority of bankruptcy filings in 2011. (Source: Bankruptcy Filings Slide in Calendar Year 2011, Administrative Office of the U.S. Courts, February 2012.)
- Bankruptcy filings in the federal courts fell 11.5 percent in 2011. A historic high in the number of bankruptcy filings was seen in 2005, when more than 2 million bankruptcies were filed. Although filings dropped in 2006, they have grown steadily every year since. Currently, 2011 is the first calendar year to show a decrease in total filings in 2006. (Source: Bankruptcy Filings Slide in Calendar Year 2011, Administrative Office of the U.S. Courts, February 2012.)
- Lehman Brothers Holding Co. is the largest business to file bankruptcy, with $619 billion in pre–bankruptcy assets. Washington Mutual was the second largest, with more than $103.9 billion in pre–bankruptcy assets. (Source: BankruptcyData.com.)
- In 2011, chapter 7 bankruptcies were down 12.9 percent from 2010. Chapter 11 filings fell 12.9 percent from 2010. (Source: Bankruptcy Filings Slide in Calendar Year 2011, Administrative Office of the U.S. Courts, February 2012.)
- Bankruptcy stays on an individual’s credit report for seven to 10 years, depending on the type of bankruptcy filed. Obtaining credit after a bankruptcy can be difficult and expensive. (Source: CBM Credit Education Foundation.)
- Alimony, child support and most taxes are not dischargeable and will still be owed after bankruptcy. (Source: American Financial Services Association.)
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