US bankruptcies rise

US consumers, weighed down by heavy credit card debts, filed for bankruptcy in record numbers during the second quarter despite…

US consumers, weighed down by heavy credit card debts, filed for bankruptcy in record numbers during the second quarter despite a buoyant economy, according to data released yesterday by the administrative office of the US courts.

Bankruptcy filings, more than 95 per cent by consumers, hit a record 367,168 from April to June, up 24 per cent from 297,162 in the same period last year and up 10 per cent from the old record of 335,073 in the first quarter of this year.

For the 12-month period to June 30th, a record 1.3 million bankruptcy cases were filed, the agency said. Courts in California, New Jersey and parts of Georgia and Florida reported the most filings over that period.