The 644 commercial Chapter 11 bankruptcy filings in April 2026 represented at 42% increase over the 454 filings recorded in April 2025, according to data provided by Epiq AACER, a provider of U.S. bankruptcy filing data. Overall commercial filings increased 21% in April 2026 to 3,060 from the 2,520 filings the previous year. Small business filings, captured as subChapter V elections within Chapter 11, increased 46% in April 2026, to 301 from the 206 filings recorded in April 2025.
“Individual bankruptcy filings are rising due to persistent pressures in consumer credit markets, where auto loan delinquencies remain near 15-year highs,” Michael Hunter, vice president of Epiq AACER, said. “These trends are further compounded by a 26% surge in foreclosure filings in Q1 2026. Higher gas prices are straining consumer goods and household budgets, while continued home appreciation is pushing up property taxes and homeowners’ insurance costs. These headwinds may intensify and drive even more families toward Chapter 7 and Chapter 13 protection in the coming months.”
Total bankruptcy filings were 56,427 in April 2026, a 14% increase from the April 2025 total of 49,641. Individual bankruptcy filings increased 13% in April 2026 to 53,367, up from the April 2025 individual filing total of 47,121. The 18,007 individual Chapter 13 filings in April 2026 represented an 11% increase from the 16,210 individual Chapter 13 filings last April. The 35,224 individual Chapter 7 filings in April 2026 represented a 14% increase over the 30,812 filings recorded in April 2025.
Chapter 12 filings, a streamlined restructuring designed specifically for family farms and fisheries, spiked 130% last month to 62 filings from April 2025’s total of 27. The April Chapter 12 total is the highest monthly total since February 2020.
“Rising inflation, higher borrowing costs and geopolitical uncertainty are intensifying the financial strain on families and businesses,” Amy Quackenboss, executive director of the American Bankruptcy Institute, said. “ABI appreciates the momentum building in Congress to permanently expand access for both distressed small businesses looking to restructure under subChapter V and for consumers looking to file for Chapter 13.”
Bipartisan legislation continues to move in both chambers of Congress to both increase the debt eligibility limit to $7.5 million for small businesses looking to restructure under the streamlined process of subChapter V and raise the debt limit for individual Chapter 13 filings to $2.75 million, while removing the distinction between secured and unsecured debt for that calculation. The “Bankruptcy Threshold Adjustment Act of 2026,” introduced by Sen. Chuck Grassley (R-Iowa), is currently up for consideration in the Senate, and Rep. Ben Cline (R-Va.) introduced a companion bill that was recently reported out of the House Judiciary Committee.
Comparing the April 2026 numbers to the March 2026 totals, only commercial bankruptcy filings and subChapter V elections registered an increase. April commercial filings increased 4% over the 2,939 filings recorded the previous month, and subChapter V elections were up 12% over the March total of 268.
Total filings were down 3% from March’s total of 58,317, and individual filings decreased 4% from last month’s total of 55,378. Commercial Chapter 11s were down 2% from March’s total of 658, and individual Chapter 7s and 13s decreased 4% from 36,777 and 3% from 18,482 from March, respectively. Chapter 12 filings registered an 82% increase over the previous month’s total of 34.
