Bankruptcies soar as market takes a tumble

Phoenix Business Journal

In July, Phoenix logged 1,225 Chapter 7 and Chapter 13 bankruptcy filings, up 112 percent from the same month last year. Chapter 11 business reorganizations hit 26, up 86 percent from a year ago.

Chapter 7 is a liquidation proceeding, while Chapter 13 is another type of reorganization that allows consumers and small businesses to repay debts over three to five years.