U.S. bankruptcy filings rose 12.2% in year ending June 30

U.S. bankruptcy filings rose 12.2% in the 12-month period ending June 30, 2026, according to new federal court tables released by the Administrative Office of the U.S. Courts. The increase provides a fresh measure of financial strain, but it does not identify one cause or show that the broader economy is in crisis.

The courts reported 608,511 bankruptcy cases filed nationally during the period, compared with 542,529 in the 12 months ending June 30, 2025. Pending cases rose 9.2%, from 679,644 to 742,257.

Those are year-over-year comparisons covering full 12-month periods. They are not evidence of a 12.2% increase in a single month or quarter, and the total includes both business and nonbusiness cases.

Most filings were nonbusiness cases

Table F-2 shows 581,570 nonbusiness filings and 26,941 business filings for the 12 months ending June 30, 2026. Nonbusiness cases therefore made up about 96% of all filings, making the report relevant to household financial stress even though the national total is not a count of consumer bankruptcies alone.

The table separates cases by bankruptcy chapter. Chapter 7 and Chapter 13 accounted for most nonbusiness filings. Those chapters describe the legal framework under which a case proceeds; the classifications do not, by themselves, measure the severity or cause of a household’s hardship.

The filing increase also should not be read as proof that rising household debt alone caused more people to seek bankruptcy protection. The court data show that filings increased while other measures of household borrowing and delinquency remained elevated, but they do not establish a single explanation.

Household debt remained near $18.8 trillion

The Federal Reserve Bank of New York’s first-quarter 2026 Household Debt and Credit Report provides supporting context. The report, published May 12, said total household debt increased by $18 billion during the quarter to $18.794 trillion.

Mortgage debt totaled $13.191 trillion. Credit-card balances stood at $1.252 trillion after falling $25 billion during the quarter. Auto debt reached $1.685 trillion, and student debt stood at $1.658 trillion.

The New York Fed said 4.8% of outstanding household debt was in some stage of delinquency in the first quarter. It also reported that early-delinquency transitions held steady for auto loans, while they declined for credit cards and mortgages. Mortgage transitions into serious delinquency rose from 1.4% to 1.5%.

Student-loan performance was a separate concern: 10.3% of student-loan balances were reported 90 or more days delinquent, up from 9.6% in the fourth quarter of 2025.

Why bankruptcy and delinquency are different measures

Delinquency data track late payments across the credit system. Bankruptcy filings count cases formally opened in federal bankruptcy court. Pending cases count matters that remained active at the end of the court reporting period.

These measures can move in the same direction when borrowers face financial pressure, but they describe different populations and stages of financial distress. A borrower can be delinquent without filing bankruptcy, and a bankruptcy case can remain pending after the borrower’s immediate payment situation changes. Likewise, not every borrower who is behind on payments will file for bankruptcy.

What to watch next

The New York Fed’s next Quarterly Report on Household Debt and Credit is scheduled for August 4, 2026. That release could provide a newer picture of credit-card, auto-loan, student-loan and delinquency trends than the first-quarter figures used here.

Future court tables will show whether the rise in filings continues. For people facing unaffordable payments, individualized advice from a bankruptcy attorney or a qualified nonprofit credit counselor can help explain available options before they choose a course of action.

Sources

• U.S. Courts Table F: Bankruptcy Cases Filed, Terminated and Pending, June 30, 2026
• New York Fed Household Debt Balances Rise Slightly as Delinquency Transition Rates Hold Steady