Bankruptcy Filings Still Rising Among Members

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Credit unions continue to be hit by the growing number of bankruptcies at increasing rates, according to NCUA.

The number of credit union members filing for personal bankruptcy in the first half of the year rose to 143,171, or 16% more than in the first half last year; and the amount of credit union loans subject to bankruptcy climbed 25% to $1.1 billion, compared to the same period last year.

The amount of loans charged-off due to bankruptcy also rose, by 11%, to $827 million in the first half, from $743 million in the first six months in 2002.

Credit unions in the financial lobby are still working to break the logjam over bankruptcy reform legislation, which has been stalled in Congress since earlier this year.

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