A company based in Philadelphia, American Business Financial Services Inc., has filed for bankruptcy.

Deborah from Gilbertsville wrote to NBC 10's Consumer Alert to ask about the bankruptcy.

"How come there's been no news on their application for bankruptcy. There must be hundreds of local families affected."

Here is what Consumer Alert found out. The company filed Chapter 11 in Delaware on Friday.

A spokesperson from the company told NBC 10 that consumers who have mortgages through the company would not be affected but investors and equity holders are affected.

Approximately 22,000 people have American Business Financial Services stocks.

Additional Resources:

American Business Financial Services

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