Bankruptcy filings surged last month and are expected to top 1 million this year.
During July, 94,124 consumer bankruptcies were filed, the American Bankruptcy Institute reported Monday.
Filings climbed from 82,770 in June and were 48 percent higher than July 2007, according to the group.
ABI's members include more than 11,700 attorneys, accountants, bankers, judges, professors, lenders, turnaround specialists and other bankruptcy professionals.
Year-to-date, 588,734 bankruptcies have been filed, according to the data which is derived from the National Bankruptcy Research Center.
Chapter 13 filings, which budget some of the debtor's future earnings under a plan through which unsecured creditors are paid in whole or in part, accounted for 33 percent of July's activity.
ABI Executive Director Samuel J. Gerdano said bankruptcies are expected to exceed 1 million new cases this year. Last year, 801,840 bankruptcy filings were reported.