If you’ve been feeling financial pressure this year, you’re not alone. Many Iowans are struggling to keep up with credit cards, medical bills, and small business debt as tariffs, government shutdowns and inflation continue to hit the local economy.
But here’s the good news: bankruptcy filings are rising nationwide and that means more people are finding real relief and a fresh start. Filing for bankruptcy doesn’t mean failure; it means you’re taking back control of your finances.
Bankruptcy Filings Are Up Across the Country
According to the U.S. Courts, bankruptcy filings rose 11.5% in the year ending June 30, 2025 jumping from roughly 486,000 to 542,000 cases.
This increase shows a growing trend: Americans are choosing to reset their finances rather than remain trapped in high-interest debt. A qualified Iowa bankruptcy attorney can help you explore your options and find the path that works for your unique situation.
Why Iowans Are Feeling the Strain
Iowa’s economy has faced unique challenges over the past year.
- Tariffs and Rising Costs
A recent report from Iowa State University estimates that tariffs could cost our state between $813 million and $4.9 billion in lost business revenue. From soybeans to manufacturing, many local industries are paying more for supplies and earning less for their products, leading to tighter margins and heavier debt. - Government Shutdown Impacts
Each week of a federal shutdown costs Iowa around $137 million in lost economic output and hundreds of temporary job losses. Delayed paychecks and reduced federal services make it even harder for families and small businesses to stay ahead.
Bankruptcy Can Be a Positive Step Forward
At the Nancy L. Thompson Law Office, we see bankruptcy as a financial tool, not a last resort. It can help you:
- Stop creditor calls and garnishments through an automatic stay
- Eliminate or restructure debt under Chapter 7 or Chapter 13
- Rebuild your credit faster and plan your financial recovery
Filing before the new year can allow you to start 2026 with a clean slate.
Why Filing Now Makes Sense
Waiting too long can make things worse. Interest keeps building, stress increases, and you may lose options the longer you wait. Taking action now means:
- Lower overall costs (before more fees and penalties pile up)
- Less emotional strain
- A head start on rebuilding your credit
Your financial future starts when you decide to take control.
Talk to a Des Moines Bankruptcy Attorney Today
At Nancy L. Thompson Law Office, we’ve helped individuals, families, and small businesses across Iowa find lasting financial relief through bankruptcy. Our Des Moines legal team understands the local economy and the challenges everyday Iowans face.
If you’re worried about carrying debt into another year, reach out to us today. Request a client packet to learn how bankruptcy can help you start fresh.
This article is for informational purposes only and should not be taken as legal advice. To discuss your specific situation, contact an experienced bankruptcy attorney in Iowa.
