David Sime, clerk of the U.S. Bankruptcy Court for Utah, said there were 6,284 bankruptcy petitions filed with the court last year, a 25 percent increase over the 5,032 petitions filed in 2006. In 2005 before the law changed, there were 21,784 bankruptcy filings in Utah.

Sime noted, however, that despite last year's 25 percent increase, Utah's numbers still trail those of many other areas of the country where financially strapped consumers lack the benefits that come from a strong state economy.

"Obviously we're on an upward trend, but we're still a little behind the national curve [in terms of the number of bankruptcy filings]," Sime said. "Eventually, though, we may catch up with everyone else, especially if our economy falters."

Nationwide, consumer bankruptcy filings increased nearly 40 percent in 2007, according to the American Bankruptcy Institute, a Virginia-based organization that researches and provides educational materials on issues surrounding insolvencies.

And things could get worse this coming year.

"The roughly 40 percent spike in consumer bankruptcies during 2007 presages even higher filings this year, as the heavy consumer debt load is made worse by the home mortgage crisis," Samuel Gerdano, the ABI's executive director, said in a statement.

Utah's economy continues to benefit from a high level of new jobs being created, said Jeff Thredgold, economic consultant to Zions Bank and principal of Thredgold Economic Associates. Yet that only partially insulates consumers from the pressures that result from overspending and flat, or declining home values.

"Consumer spending remains strong in Utah in part because our job growth is so much stronger," Thredgold said. "But people here also have tapped into that ATM machine they call their homes just like everywhere else."

Along with excess consumer debt that arises from to much spending and not enough income, there also are a host of other reasons Utahns file for bankruptcy. They include the loss of a job, a divorce or an unexpected medical emergency.

The new federal bankruptcy law adopted in late 2005 was designed to make it more difficult for consumers to avoid paying their debts. It established a means test to determine if those who file can afford to pay at least 25 percent of what they owe, or a minimum of $6,000 over a five-year period. Those who can must file for a Chapter 13 reorganization and make payments rather than get immediate relief under a Chapter 7 liquidation of their assets.

Sime reported that of the 6,284 bankruptcies filed in Utah last year, 57 percent were filed by Utah seeking relief from the debts though Chapter 7. In 2005, 76 percent of Utahns who filed for bankruptcy sought Chapter 7.

The other 43 percent of those Utahns who filed last year sought Chapter 13, a type of bankruptcy that allows a person under the supervision of a court-appointed trustee to formulate a plan to repay their debts over time. In 2005, only 24 percent of Utahns filed for bankruptcy sought Chapter 13 relief.