Written on February 29, 2012 by admin
Senior citizens in Illinois are declaring bankruptcy at alarming and record breaking rates. According to AARP figures, the rate of personal bankruptcies filed by people age 65 and older grew by 125 percent from 1991 to 2007. Even more alarming are the 433.3 percent figures for people in the age range of 75 to 84. These numbers only hint at a greater truth—for a variety of reasons the elderly are entering into consumer debt to cover insufficient retirement account savings.
There are a number of reasons why this is occurring. First of all inflation has been rising at a constant rate for years and has only accelerated, devaluing savings at a much faster rate than they can accrue. Appallingly low interest rates on bank accounts and other financial resources have lent to the trend. Meanwhile the economic collapse has had influence even on those who have been long retired. As the recession picked up speed any savings accounts tied to the stock market fell, turning average profits into hard quarters. Pensions and other resources for the elderly have shrunk as well, with many companies and corporations going out of business and taking those sources of support with them. Medical costs including doctor visits, prescription drugs, and other cost of living expenses are all on the rise, forcing many to make hard decisions and some to resort to credit card use to cover their basic necessities or else go without. When those bills pile up bankruptcy is the only way out.
Bankruptcy presents special challenges to the elderly. If you are a senior citizen considering bankruptcy or you know one who is advise them to seek an expert Illinois Lawyer at their earliest convenience.If you enjoyed this post Subscribe to our feed