Buy-here, pay-here dealers might be seeing vehicle shoppers fresh off a bankruptcy filing if they haven’t already.

According to data provided by Epiq Bankruptcy, there were 217,420 total bankruptcy filings during the first six months of 2023, representing a 17% increase from the 185,352 total filings during the same period a year ago.

Epiq reported total individual filings also registered a 17% increase, as the 205,313 filings during the first six months of the year climbed from the 175,094 filings during the first half of 2022.

Experts also noted that the 85,390 individual Chapter 13 filings in the first half of 2023 marked a 23% increase over the 69,367 filings during the same period in 2022.

While smaller in numbers, business bankruptcies are on the rise, too.

Epiq said the 2,973 total commercial Chapter 11 bankruptcies filed during the first six months of 2023 represented a 68% increase over the 1,766 filed during the same period in 2022.

Overall commercial filings increased 12 percent in June, as the 2,123 filings were up from the 1,891 commercial filings registered in June 2022, according to Epiq.

“The increase in commercial and individual bankruptcy filings during the first half of 2023 underscores the economic challenges faced by businesses and individuals,” said Gregg Morin, vice president of business development and revenue at Epiq Bankruptcy.

“Our objective is to provide bankruptcy professionals with timely and accurate data necessary for analyzing stakeholder volumes and trends for making informed business decisions,” Morin continued in a news release.

Looking at the single month of data, Epiq determined all chapters increased in June compared to same month last year, with 37,700 total bankruptcy filings representing an increase of 17% from the 32,198 filed in June 2022.

Experts computed total commercial filings rose 12% from 1,891, while total Individuals jumped 18% from 30,307.

“The growth in filings is reflective of more families and businesses facing surging debt loads due to rising interest rates, inflation, and increased borrowing costs,” American Bankruptcy Institute executive director Amy Quackenboss said in the news release. “Bankruptcy provides a shield to the economic challenges being experienced by financially struggling individuals and companies.”

ABI has partnered with Epiq Bankruptcy to provide the most current bankruptcy filing data for analysts, researchers, and members of the news media.