Bankruptcies in the U.S. are one the rise and could soar to 800,000 this year, 24/7 Wall St. reported. That is a 3% rise in just a year, and the four states with the highest rates all fall within the South. 

The national average bankruptcy-filing rate per person in July was 2.5 per 1,000, according to the American Bankruptcy Institute. However, in the South, these numbers were much higher.

Alabama topped the list with a rate of 5.61, followed by Tennessee with a rate of 5.39, Georgia with a rate of 4.31 and Mississippi with a rate of 4.25.

The figures accompany a dramatic increase in job loss across the nation. Nearly 43,000 workers have lost their jobs this year alone after the companies they worked for filed for bankruptcy, 24/7 Wall St. Reported.

Certain industries are more vulnerable to job cuts than others. Trading Economics recently reported on how U.S. companies planned to cut 38,845 jobs from their payrolls.

A large portion of these cuts were meant to take place in the transportation sectors, followed by industrial goods manufacturing and the energy sector.

It appears that baby boomers are feeling it the most, The Financial Times reported. Data shows an increase in the rate among Americans aged 65 and over who have filed for bankruptcy.

This is the result of various economic and social factors. Seniors have higher medical costs because they are living longer, while many also have little to no company pension and a very small savings to help them through.

David Ward, a bankruptcy attorney, told the news outlet that "many senior cases are filed as a matter of psychological relief, as much as anything else."

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