Pandemic measures have prevented bankruptcy filings in Arizona, but a flood may be on the horizon

Posted at 9:10 AM, Mar 17, 2021
and last updated 2021-03-17 12:10:14-04

The Covid-19 pandemic caused millions of people to lose their jobs; it took the lives of more than 534,000 Americans; and it has left countless, indelible marks on the world. But in the past year, there has not been a coinciding rise in bankruptcy filings in Arizona.

All bankruptcy filings in the United States Bankruptcy Court in the District of Arizona fell by 20.6% from 2019 to 2020, according to court records.

In Phoenix, Chapter 11 filings spiked in June but dropped by 13.4% annually, from 97 in 2019 to 84 in 2020.

In the first months of 2021, all types of filings continue to decline both in Phoenix and across the state. But experts suspect there is a wave of bankruptcies on the horizon, potentially dampening hopes of a full post-pandemic recovery.

Read more from the Phoenix Business Journal.