Bankruptcy Filing Rate Increases Significantly in Florida
Bankruptcy filing rates — both individual bankruptcy filings and business petitions — have increased across the country over the last year. While nationwide bankruptcy filings have risen, some states have seen a more pronounced increase in bankruptcy filings than others. Florida is among those states. Indeed, according to data collected at the end of the most recent 12-month period that ended on June 30, 2025, bankruptcy filing rates in Florida were at more than double the national average.
What should you know about bankruptcy filings in South Florida? Our West Palm Beach bankruptcy lawyers can provide you with more information about the recently collected data, and we can provide you with more information about bankruptcy options in the state. Whether you are considering a personal or a business bankruptcy, our firm is here to assist you.
Marked Increase in Florida Bankruptcy Filings
Between July 1, 2024 and June 30, 2025, bankruptcy filings rose by approximately 11.5 percent nationwide. That number alone has given commentators pause, leading to discussions about the sharp increases in bankruptcy filings and their causes. There is not a single cause for the increase in bankruptcy filings among businesses and consumers alike, but there are notable trends in debt delinquencies. Some of those causes include inflation, job numbers, pandemic-era spending trends that consumers cannot keep up with, EIDL loans coming due for businesses, and the resumption of federal student loan payments and collections for millions of borrowers, according to Barron’s.
In Florida, debtors appear to be struggling even more than individuals and businesses in other parts of the country. According to data reported by the News Service of Florida, while national bankruptcy filings rose by 11.5 percent, Florida’s increased by 23.5 percent during the same period. Nearly 41,000 new bankruptcy petitions were filed in Florida alone between July 1, 2024 and June 30, 2025.
Some regions of the state had higher bankruptcy filing rates than others. The Middle District of Florida (which includes Orlando and Tampa) had the highest increase with a 26.9 percentage increase and a total of 23,442 filings. Yet the Southern District of Florida (including West Palm Beach, Miami, and Fort Lauderdale) was close behind with a 19.4 percent increase and nearly 15,000 filings.
Types of Bankruptcy Filings in South Florida
All of the common types of bankruptcy filings are on the rise, including Chapter 13 and Chapter 7 filings among individuals, and Chapter 11 filings among businesses.
If you are an individual considering a bankruptcy filing, you will likely be filing either a liquidation bankruptcy under Chapter 7, or a reorganization bankruptcy under Chapter 13. In cases where an individual has too much debt to qualify for Chapter 13, they may file for Chapter 11 instead.
Chapter 11 bankruptcy is most common among businesses. Like Chapter 13, this is a type of reorganization bankruptcy that can allow your business to restructure debt while remaining open. If you have a small business with limited debt, you should also discuss the possibility of a Subchapter V filing with your bankruptcy attorney, which is a subchapter of Chapter 11.
Contact Our West Palm Beach Bankruptcy Lawyers Today for Assistance
Do you have questions about filing for bankruptcy in Florida? An experienced West Palm Beach bankruptcy lawyer at Kelley Kaplan Delaney & Eller, PLLC, can speak with you today. Contact us to learn more about your options and to move forward with your bankruptcy filing.
Sources:
floridatrend.com/articles/2025/08/03/bankruptcy-filings-jump-florida/
barrons.com/articles/debt-student-loan-defaults
