September 2026
MSN recently published a story featuring Jay Zagorsky, Clinical Associate Professor of Markets, Public Policy, and Law, examining the growing number of Americans turning to bankruptcy as they grapple with rising debt and mounting financial pressures.
The story points to increasing consumer financial stress, noting that more Americans are accumulating debt and filing for personal bankruptcy. According to the article, there were approximately 500,000 bankruptcy filings in the U.S. between March 2025 and March 2026—an increase of nearly 12% from the previous year.
“That suggests the American consumer is under increasing financial stress,” Zagorsky said.
Citing Zagorsky’s research, the story highlights factors contributing to the rise in bankruptcies, including stagnant wages relative to inflation and high credit card interest rates.
The article also discusses bankruptcy as a potential last resort for consumers struggling with debt, while emphasizing that individuals should carefully consider the financial implications and alternatives before filing.
