Personal bankruptcies in the U.S. increased from 573,000 to 1,064,927

A recent survey conducted by FindLaw.com revealed that 12% of Americans have either filed or are considering the possibility to file for bankruptcy. According to the figures provided by the National Bankruptcy Research Center within the last three years the number of consumer bankruptcy filings increased almost two times from 573,000 in 2006 to 1,064,927 in 2008.

The study by FindLaw determined that 10% of Americans admitted that they considered filing for personal bankruptcy in some periods of their lives while 2% of U.S. citizens say they have already filed for such bankruptcy at some point of their lives.

"Bankruptcy can be a powerful, useful tool for debtors," said Stephanie Rahlfs, an attorney and editor at FindLaw.com. "However, it is often a complicated and difficult process, and there are many misconceptions about what bankruptcy can and cannot do to help relieve debt burdens. For instance, some debts -- such as taxes, student loans, child support and alimony -- are typically not discharged in bankruptcy. In addition, there are alternatives to bankruptcy, including credit counseling and debt management. All of the various options have pros and cons, depending on a person's particular situation, so it's important that people have competent, qualified legal help if they are contemplating bankruptcy."