Bankruptcy Filings Are Surging in 2026: What the Latest Data Shows
New national bankruptcy data released in early September confirms what many attorneys have been seeing firsthand this year: filings are climbing sharply, and the increase is happening across nearly every category — individuals, small businesses, and everything in between. Here’s what the numbers actually show, why filings are rising, and what it means if you’re weighing your own options right now.
The Numbers: August 2026
According to data from Epiq AACER, a leading provider of U.S. bankruptcy filing statistics, total bankruptcy filings rose 8% year-over-year in August 2026, with over 52,000 filings recorded for the month. Breaking that down further:
- Individual Chapter 7 filings rose 10% compared to August of last year
- Individual Chapter 13 filings also rose 10% year-over-year
- Commercial Chapter 11 filings increased as well, continuing a steady upward trend
- Subchapter V elections within Chapter 11 rose a striking 63% year-over-year, and were up sharply from the previous month too
That last figure is worth sitting with. Subchapter V, the streamlined small business reorganization option added to the Bankruptcy Code in 2020, is being elected far more often than it was even a year ago — a sign that more small business owners are actively choosing to restructure and keep operating rather than simply closing their doors.
Why Are Filings Rising?
Industry analysts point to a straightforward explanation: consumers and small businesses are continuing to navigate a genuinely difficult economic environment. Elevated interest rates, persistent inflation on everyday costs, and tighter consumer credit conditions have combined to put more households and businesses in a position where debt has outpaced what regular income can manage.
On the business side specifically, the sharp rise in Subchapter V elections suggests something notable: business owners aren’t just filing more — they’re increasingly choosing a specific tool designed to let them keep the business running rather than default to liquidation. We walked through exactly what that process looks like in our guide to the Subchapter V timeline, and compared it against the full range of options in our overview of business bankruptcy options.
What This Means If You’re Considering Filing
If you’ve been putting off a decision about your own debt, it’s worth understanding that you’re far from alone — and that the systems built to handle these filings (courts, trustees, and attorneys) are actively adapting to higher volume. A few takeaways worth considering:
- Rising filings don’t mean it’s harder to file successfully — if anything, courts and trustees are more accustomed than ever to processing cases efficiently. The core mechanics of Chapter 7 and Chapter 13 haven’t changed.
- Business owners have more precedent to lean on. As Subchapter V elections climb, there’s a growing body of real case outcomes and experienced trustees familiar with the process, which can make the path smoother for a new filer.
- Waiting doesn’t reduce the pressure. Rising national filing numbers reflect real household and business strain — the same pressures driving that data are likely affecting your own situation the longer a decision is delayed.
What About Florida Specifically?
Florida has consistently ranked among the states with higher per-capita bankruptcy filings nationally, and nothing in this year’s data suggests that’s changing. For Miami-area homeowners and business owners, that means local courts and trustees are well-practiced with the volume and variety of cases coming through — whether that’s a straightforward individual Chapter 7, a Chapter 13 repayment plan, or a small business working through Subchapter V.
Don’t Let the Headlines Be the Only Thing You Read
National data can confirm that you’re not alone in facing financial pressure, but it can’t tell you what’s actually right for your specific situation. Whether the numbers point to Chapter 7, Chapter 13, or Subchapter V for your business depends entirely on your own debts, assets, and goals.
👉 Visit our Miami bankruptcy lawyer page
👉 Contact us today to schedule a free consultation
With 19 years of bankruptcy experience, we help individuals and business owners throughout Miami cut through the headlines and get a clear, personalized answer.
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