Personal bankruptcy service sees increase in requests amid coronaAn increasing number of Americans are looking for help with Chapter 7 bankruptcy from Upsolve, a nonprofit startup that helps consumers file for bankruptcy, as economic fallout from the coronavirus pandemic continues.
“Over the last month, we’ve seen that there’s an increase in people coming to Upsolve and starting the process of filing for bankruptcy,” Upsolve CEO Rohan Pavuluri told Yahoo Finance. “And we actually expect the number to increase in the coming months.”
A recent survey by Upsolve found that out of 1,269 respondents who were filing between March 28 and April 27th, 22% said the main reason was due to coronavirus.
“Most of the people filing are 1099 workers,” Pavuluri said, highlighting those in the gig economy or the restaurant industry. “People from the service industry, bartenders, people who are Uber drivers, sole proprietors who have seen it more traumatic loss of income or just lost a job.”
Over 50% surveyed by Upsolve cited some form of lost income as the biggest reason why they were filing for bankruptcy. Upsolve’s free filing service aims to help users avoid packing $1,500 to $2,000 in legal fees to go through bankruptcy by connecting them with lawyers.
