In the calender year ending in June of 2010, there was a significant increase in bankruptcies in Texas and nationwide. This increase is about 20 percent.

Why did this happen? Isn’t the economy improving? What if you have to file bankruptcy, will it be more difficult? And what can we all do to lessen bankruptcy rates?

About 1.1 million peopled filed bankruptcy in 2009, and over 1.5 million had filed since the calender year ending in June. That is a growing number of individuals who filed so far in 2010 in comparison to 2009, including tens of thousands of Texas residents. There is much debate on what is happening to our economy. The mortgage bust is clearly still a factor, because foreclosures are still a major problem.

In July 2010, over 11,000 foreclosures occurred in Texas. This may seem high, but it’s actually quite low. Bankruptcies and foreclosures are less common in Texas than other states. This is not to say the problem is occurring elsewhere, only that Texans are less likely to lose their home and be forced to file bankruptcy.

Compare Texas to Florida and you’ll see our point. Texas has foreclosures of about 1 in 800 home owners. Florida has about 1 foreclosure for every 170 homes. That is a big difference. Florida had over 50,000 foreclosures in July of 2010, much higher than Texas.

Is the economy that much different in Texas than in states like Florida?

The answers are not easy to find, but some commonsense comes into play. First and foremost, Florida  has far more mortgage problems than Texas. This is because of the many new properties being built and sold. There were more people who filed bankruptcy and lost their homes to foreclosure in Florida because of the constant development and the housing values.

Is the economy getting better? Many might explain how growth is occurring. Jobs are being created, but the unemployment rate is still quite high, at about 10 percent. We’ll have definitive proof the economy is improving when bankruptcies, foreclosures, and unemployment rates lower. So far there is improvement in comparison to some of the worst years of the housing crisis, but other than that, not enough.

For Texas residents, bankruptcy is about making some choices. It depends on eligibility, first, but then you have to consider if bankruptcy is right for you. You only get to file so often, but you should not wait too long. Bankruptcy has many inherent advantages, namely discharging debts or protecting your home from foreclosure.

If you’re unemployed, worried you might lose your home, and are considering bankruptcy, it’s time to talk with some experts. An experienced Texas bankruptcy lawyer is invaluable. In hiring one, be sure you get one local, who has experience in court, charges a fair fee in comparison to others with experience, and who you can get along with.

The good news is that many lawyers offer a free consultation to help make your decision. Maybe more importantly, you don’t have to pay huge fees to get an experienced Texas bankruptcy lawyer. Prices for good bankruptcy lawyers are not high in comparison to other lawyers.