The bankruptcy courts have been seeing a lot of change in the last year. More people are making an attempt to stay on top of their debt. Part of this is due to simply making better financial decisions. It is also in part to the fact that the unemployment levels have been dropping for the past few years. While the national unemployment level still has a ways to go to get to a healthy state, the economy is looking up with signs of improvement everywhere.
In Hawaii, there has been a significant decrease in bankruptcy filings. In fact, the number of bankruptcies filed in July was only 180. This is down from the 199 bankruptcies that were filed for July in 2012. The decrease of 16 percent has many analysts looking at the possibility that the economy of Hawaii is close to being healthy again. This puts the state of Hawaii ahead of the national average of bankruptcies that have been filed.
The majority of the bankruptcy cases that were filed in court in July were filed under the Chapter 7 federal bankruptcy code. With this number at 123, the Chapter 13 cases at 53 and the Chapter 11 cases at only 4, it is easy to see that the majority of bankruptcy filers are looking at the possibility of recovering from their financial situation rather than just trying to avoid it.
These changes in the bankruptcy filings for Hawaii as well as in the rest of the country are looking better, but still have room for improvement. Taking a close look at finances and making realistic decisions about debt can help more people to make better decisions that will keep them from facing bankruptcy. This can help these numbers drop even further and the economy to improve.