Bankruptcy Filings Could Exceed 1.6 Million

Throughout the year, Nevada has seen the highest rates of those filing bankruptcy in the country, while the entire nation could see 1.6 million by the year's end.

The number of people filing bankruptcy saw an increase during the first half of this year, according to a recent report from the American Bankruptcy Institute.

The ABI, relying on data from the national Bankruptcy Research Center, said filings were up 14 percent during the first six months of 2010 when compared to the same time in 2009. Samuel Gerdano, executive director for the ABI, said he expects the number of filings to surpass 1.6 million this year.

"Years of rising consumer debt and low savings rates, combined with the housing and unemployment crises, are causing bankruptcy levels not seen since the 2005 amendments to the Bankruptcy Code," Gerdano said.

Although a dubious distinction, Nevada has led the country for a number of months with the highest bankruptcy rate, according to the NBRC. On average, one in every 175 homes in the U.S. is facing bankruptcy, while the Silver State is seeing well more than twice that amount.