Bankruptcy Filings in NJ continue to decline which includes Chapter 7, Chapter 11, and Chapter 13 bankruptcy filings. Even bankruptcy adversary proceedings have declined.
As a bankruptcy lawyer, the following basic reasons may account for the decline:
- Foreclosures have been on hold by lenders
- Loan forbearances of 3-6 months have been instituted by many lenders.
- Enhanced stimulus moneys enable debtors to meet their monthly payments
- Unemployment subsidies have been increased/extended
- Working from home enables many to spend less in car maintenance, gasoline and tolls
- Creditors have not been as aggressive as they were before the pandemic.
If the decrease in bankruptcy filings and adversary proceedings continue on pace for this year, it appears that we will have the lowest NJ filings in the last 15 years – 20 years. US Courts Stats
The basic question of is Stimulus is Helping or Delaying Bankruptcies leaves many unanswered questions. Will there be a surge of bankruptcies in 2022? Time will only tell.
It appears that Debtors are delaying filing bankruptcies.
However, this may be the best time for NJ Debtors to file and be eligible for bankruptcy. The stimulus is temporary. You should look down the road to determine if your financial situation will benefit from bankruptcy now.
You should not wait until the lenders begin foreclosure proceedings before you set up a Plan for your future. Planning for the future and protecting your assets deserve serious evaluation.
I am here to help you and meet with you. Only the future will reveal the rise or fall of NJ bankruptcy filings.
I offer a free bankruptcy consultation to review where you are now and where you want to be financially. I will discuss Chapter 7, Chapter 11, and/or Chapter 13 Bankruptcy filing options to determine what is right for your specific circumstances.
Call me: Ralph A. Ferro, Jr., Esq. (201) 446-5904 https://njbankruptcylawfirms.com/
