Hawai'i bankruptcies continued to increase in May, with filings rising by 62 percent compared to a year earlier.

The U.S. Bankruptcy Court in Honolulu accepted 250 filings last month, only one less than April's total and the third-highest level since a change in bankruptcy law in October 2005.

The increase also was about 100 more than a year ago, when 154 petitions were submitted to the local court.

Bankruptcy filings have jumped over the past year as the local economy soured and unemployment increased.

Attorneys report financially ailing residents are seeking bankruptcy after hanging on as long as they could after losing their jobs or having their work hours cut. Hawai'i's unemployment rate hit 6.9 percent in April as it hovered around levels not seen in 30 years.

"Because of the economy, people have been losing their jobs," said attorney Mark Pettinato. He said many of his clients can't deal with their credit card debt, which often is in the $30,000 to $50,000 range.

Pettinato said his bankruptcy practice has increased over the past years because of the economic slump and because of a longer-term trend of filings increasing back to levels prior to the 2005 law change.

Hawai'i has one of the lowest per-capita bankruptcy rates in the nation, but that rate has been creeping up in recent years. During the first quarter, there were 2.17 bankruptcies per 1,000 people in the state, according to http://www.Creditcards.com, which cited an Automated Access to Court Electronic Records report.

That compared to the 1.62 bankruptcies per 1,000 people in the state during 2008.

The bulk of the April filings were by individuals choosing to file Chapter 7 bankruptcies, under which certain assets are liquidated to pay creditors.

Among them was Hawai'i real estate developer Simon Bebb and a firm controlled by real estate executive Brian Anderson that owns the 50-room Lotus at Diamond Head hotel.

The biggest local bankruptcy during the month was not filed locally, however. The Hawaii Superferry submitted its Chapter 11 petition to a Delaware bankruptcy court.