Bankruptcy on the rise in WNY

Aug 3, 2017

Personal bankruptcy filings increased across the region last month.

Credit Can Stock Photo

According to the U.S. Bankruptcy Court for the Western District of New York, compared to a year ago, the number of cases filed in July increased 24 percent. Attorney Kevin Bambury, with Jeffrey Freedman Attorneys, says despite recent gains on Wall Street the average worker is still dealing with stagnant wages.
"I think that kind of underscores what's going on. People can't meet all their obligations. They haven't had raises in ten, fifteen years. Wages have stayed flat. Cars are very expensive. And there's a little crisis with subprime auto loans right now," Bambury said.

He says while it's not as big as the subprime mortgage crisis,  there are a lot of people with car loans that they can't afford. Despite the recent rise, Bambury says, the number of overall bankruptcies is  down compared to a decade ago.