Late last month, we discussed slightly encouraging reports showing that unemployment may be starting to turn around.

But now we see that bankruptcy filings are rising again.

“More Americans filed for bankruptcy protection in March than during any month since the federal personal bankruptcy law was tightened in October 2005, a new report says, a result of high unemployment and the housing crash,” says an April 1 piece in The New York Times.

Despite enjoying 2 full quarters of 'recovery', and coming off a hefty 5.7% GDP quarter - the reality is not so happy down on Main Street (business). Keep in mind the year over year comparisons are versus the period of time (fall 2008/winter 2008-2009) when the recession was at its deepest, so to see continued "growth" in this area is certainly not a green shoot.

A 'perfect storm' sends filings up to highest level since '05 reform

Everyone from retirees who can't afford to live on Social Security, to baby boomers who were downsized, to college graduates who can't find work, to homeowners who drained the equity from their homes helped push 2009 personal bankruptcy filings up by nearly one-third over the previous year.

Chapter 11 bankruptcy filings by U.S. businesses surged 50 percent last year, outpacing the increase for individuals.