Credit Card News
Advertising Disclosure
Credit-Land.com is an independent, advertising-supported web site. Credit-Land.com receives compensation from many credit card issuers whose offers appear on our site. Compensation from our advertising partners impacts how and where their products appear on our site, including, for example, the order in which they may appear within review lists. Credit-Land.com has not reviewed all available credit card offers in the marketplace.
Credit Card Applications » News » Other » Now senior citizens file for bankruptcy as debts mount

Now senior citizens file for bankruptcy as debts mount

By
Add to Favorites:
Now senior citizens file for bankruptcy as debts mount

The recession has been pretty hard on senior citizens. The number of senior citizens who are applying for bankruptcy has increased significantly and most of this is due to the high costs of medications, crash in the stock market, and a decline in real estate value etc. All these are the contributing factors and in a desperate attempt these senior citizens have turned to credit cards to decrease their expenses. But now they are being burdened with huge debts and these are the type of debts that they will not be able to clear in their lifetime. This is forcing them to file for bankruptcy.


At least half the senior population today is retiring with debts, but less than 5% are willing to delay retirement plans to be able to clear their debts. This is a worrying trend as more seniors being harassed by creditors, and their family members will be convinced or bullied into paying their debts by these creditors. Although after a person`s death the survivors are not legally obliged to pay, they may be cajoled into doing so.


Creditors will not have too many options to force seniors who have no assets or source of income to force them to pay up especially if they are living on pension or social security. However, one cannot escape the harassment on the phone as creditors will hound them with phone calls and finding credit in the future might be virtually impossible.


However, seniors are not really using their plastic to pay for luxury items such as cruises or golf clubs. Instead, they are purchasing medicines, the cost of which has gone up steadily and have continued to rise.


So how does one curtail spiraling debts while nearing retirement? The only solution to that would seem delaying retirement to be able to deplete their huge debts. Seniors must also resist from drawing their social security in order to maximize the amount they could get every month, states Gail Cunningham from National Foundation for Credit Counseling.


Seniors are seen struggling with their debts and those who`d wish to leave some inheritance to their children, find it troublesome. Though creditors cannot force children to pay for the debts by their parents, they can still come after the estate to collect the debts. Hence, postponing retirement is a good idea.

Add to Favorites:

Related News:

USAA Digital Wallet Gets an Upgrade

By Dar Dowling, Posted: December 5, 2016

USAA has upped the ante with their digital wallet, making it a bit more like an everyday wallet by adding in six additional features, so people can now include everything from their automobile information to insurance cards in their ... Continue reading
Global Fraud On Hackers To-Do List This Season

By Dar Dowling, Posted: December 2, 2016

With the holiday shopping season upon us, retailers around the world can expect a 12% bump in online fraud when compared with data from the holiday season last year. Continue reading
Chase Pay Launched

By Dar Dowling, Posted: December 1, 2016

Chase Pay, the new digital payment system from Chase, is now open for business. Chase Pay lets people pay for purchases with their credit cards. Continue reading
Get the latest news, articles and expert advice delivered to your inbox. It's FREE.
Get 0% Intro APR on Balance Transfers and Purchases for 21 months. After that, the APR will be 12.24%-22.24% based upon your creditworthiness.
For Excellent/Good Credit
Earn 1% cash back on gas and grocery purchases. Terms apply.
For Fair Credit
Guaranteed $500 Unsecured Credit Limit
For Bad Credit