With more debt than that of previous generations, baby boomers are having to get by with less when retirement rolls around. In fact people ages 65 to 74 have saved 32% less in the past decade and have piled on five times the debt.
This follows on the heels of the financial crisis, where many faced unemployment, pay cuts and a decline in the value of their homes. Everyday obligations, medical bills and college tuition debt left over from sending their kids to college drove many boomers to use credit cards to make ends meet.
With such a high degree of debt in such a late stage of life, seniors must now work longer, move to less expensive places and pare back on spending. Some people over the age of 55 are even seeking Chapter 7 or Chapter 13 bankruptcy protection to get out from underneath crushing debt as they face retirement.
Underscoring the fact, one bankruptcy attorney in California estimates that roughly half of his clients are now 55 or older compared to only 10% a decade ago. If job market trends continue on their present course and the cost of medical care keeps skyrocketing, the percentage of older Americans seeking bankruptcy protection are likely to increase across the nation.
If you are over the age of 50 and facing financial difficulty, you are not alone. Circumstances such as an unexpected job loss, divorce or medical expenses result in over 90 percent of all bankruptcy filings, with many of these events occurring later in life.
Faced with uncertainly, it is important to explore all of your options so you can make an informed decision regarding your financial future. To get more information regarding chapter 7 or chapter 13 bankruptcy, contact an experienced bankruptcy attorney for help.
The Peoria Bankruptcy Law Offices of Charles E. Covey can provide you with the information you need to determine if bankruptcy protection is a good option for you and your family. Call us today at 309-674-8125. Free Consultation.