JQC - Bankruptcy filings fall in December with 2020 filings the lowest in 35 years

Helped by fiscal and monetary policy support, bankruptcy filings in December 2020 of 34,304 hit the lowest monthly total since January 2006, according to data from legal services firm Epiq.For the year 2020, filings fell to 529,068, the lowest since 1986, indicating that federal measures to support the economy are working, the company said."New bankruptcy filings continue to slide into record territory as the global pandemic spurs regulatory intervention to keep U.S. consumers and businesses afloat," said Chris Kruse, senior vice president of Epiq's AACER bankruptcy information services unit.Specifically, the recent $900B stimulus package is injecting capital in the market and delaying bankruptcy filings, he said."Federal intervention created record-breaking capital deployment fueled by investors chasing yield as companies attempt to ride out this storm," said Deirdre O'Connor, managing director of corporate restructuring at Epiq.Commercial Chapter 11 filings, though, increased during the year, up 29% to 7,128 new filings and peaked

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Bankruptcy filings fall in December, with 2020 filings the lowest in 35 years