History has often shown us that when bankruptcy filings increase, so does debt. Currently, bankruptcy filings have increased 28.6 percent nationally compared with the number of filings in September 2007. There is always a close correlation between these two numbers, and today is no exception. Consumer debt has been increasing monthly to record levels and the end is nowhere in sight.

Debt of this magnitude makes people vulnerable and the housing situation is compounding the problem. Using home equity to relieve debt is no longer an option and many are finding that they have no place to turn.

Most bankruptcy filings relate directly to job loss, or housing, medical, or credit card debt. Any one of these factors, or a combination of them, can cause a person to find themselves in bankruptcy court.

Bankruptcy counseling is on the increase. Signs of trouble include a 10 percent increase in the household income of those seeking counseling for these problems. This indicates that higher income people are being affected by the financial crisis we are currently experiencing.

Debt-management programs are reporting a 25% increase in the amount of debt being placed into their programs.

People seeking counseling are showing a 22 percent increase in monthly housing expenses.

The number of clients who are living with relatives or friends instead of owning or renting has increased by 23 percent.