Burlingame, CA (January 15, 2026) |
In a departure from historical patterns, consumer bankruptcy filings in December 2025 increased both month-over-month and year-over-year, according to national bankruptcy data tracked by G2 Risk Solutions (G2RS). Consumer filings increased 5.8% from November 2025 and nearly 21% over December 2024.
Historically, bankruptcy filings tend to decrease cyclically in November and December, said Ryan Sanders, director at G2RS, as many choose to defer the stress and filing fees until after the holidays. Total consumer filings reached 44,890 in December.
“Filing activity not only increased by nearly 12% in 2025, but also continued to build into December, a notable departure from historical patterns,” Sanders said. “The late-year momentum in consumer bankruptcies will be important to monitor in early 2026, given the growing disconnect between consumer stress and broader market performance.”
Sanders highlighted the divergence between stock market performance and signs of consumer stress, noting that a deterioration in consumer credit, combined with a softening labor market, could eventually spill over into earnings.
G2RS analysts noted that even though consumer bankruptcies have increased over the past five years, filings remain about 25% below pre-pandemic levels.
On the commercial side, filings decreased by 17.58% from November 2025 and came in 0.38% under December 2024. Commercial filings for December 2025 were 1,036. For the entire 2025 year, commercial filings remained stable compared to 2024, increasing by less than 1%.