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  • Writer's pictureKelsie Papenhausen

Q1 2024 US Bankruptcy Filings Continue Upward Trend

Data Shows Bankruptcies on the Rise Since 2022


May 6, 2024 — Burlingame, Calif. — Despite continued strong economic indicators, data observed by risk management firm G2 Risk Solutions (G2RS) show bankruptcy conditions that belie the current economic picture. Bankruptcy filings have continued to increase over the last two years, and G2RS analysts expect the trend to continue through 2024.


The first quarter of 2024 saw a 16.2% increase in bankruptcy filings compared to the same period in 2023. This marks another significant annual increase, a trend that G2RS analysts have been watching since 2022. Between 2022 and 2023, G2RS data shows that bankruptcy filings rose 16.5%.


Not only is G2RS seeing an uptrend year-over-year (YoY), but a steady increase across all US regions month-over-month.


G2RS is a leading provider of bankruptcy management solutions to lenders in all regions of the US. Its data includes a blend of public and proprietary lender and creditor bankruptcy records.

“Though there are many positive macroeconomic signals, bankruptcy data seems to tell a different story,” said Ryan Sanders, who leads relationship management for the G2RS bankruptcy intelligence line of business. “We’ve watched bankruptcies trend upward since 2022, and we are projecting another significant rise in 2024.”


If the trend continues, the country will see a 32% increase from 2022 to 2024. G2RS tracks bankruptcy filing statistics daily and is monitoring the continued trajectory.


Regionally, year-to-date (YTD) bankruptcy filings were highest in the Pacific and Mountain regions:

·        Pacific: 29.84% YTD (Q1) increase over 2023 (Q1)

·        Mountain: 18.40% YTD (Q1) increase over 2023 (Q1)

Notably, the Pacific region experienced nearly 25% month-over-month growth from March to April 2024, eclipsing all other regions for the same period.


Annually, bankruptcy filings in the Pacific region increased over 26% YoY from 2022 to 2023. California led the region—and the country—in bankruptcy filing volume with 36,420 filings compared to 29,190 in 2022, nearly a 25% YoY increase. In the neighboring state of Nevada, volumes increased by nearly 27% YoY.


The Mountain region experienced an over 13% annual increase in total bankruptcy filings from 2022 to 2023. Arizona led the region by volume with 9,207 filings, while Colorado's YoY growth rate showed an 18% increase YoY.


G2RS analysts noted that large populations—like California in the Pacific region—make the increase in bankruptcy filings more prominent in the data.


“All regions of the country are showing increases in bankruptcy filings, which is a signal to watch closely,” Sanders said. “At this trajectory, bankruptcy filings may surpass pre-pandemic levels in just a few years, and this will impact industries across the board.”


About G2 Risk Solutions (G2RS)

G2 Risk Solutions is the definitive expert in risk and compliance business intelligence for financial institutions and online platforms. We are industry pioneers providing market-leading solutions for merchant risk, digital commerce risk, bankruptcy risk, and credit risk and regulatory reporting. We are driving innovation and shaping the future of risk management through unprecedented data, technology, and global compliance and risk expertise, providing the financial services and digital commerce ecosystems with the tools needed to navigate complex and ever-changing regulatory requirements and mitigate risk.



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