NUMBER OF SENIOR CITIZENS FILING BANKRUPTCY TRIPLES

March 18, 2004

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According to the American Bankruptcy Institute, the seniors who filed for bankruptcy protection last year had nearly $36,000 in credit card debt, compared to $18,000 for those filers between ages 40 and 49. And it is truly frightening to learn that not only has the number of Americans over age 55 who seek credit counseling grown substantially, but the number of those over age 75 seeking such help is growing even faster.

Instead of college students and yuppies, seniors are fast becoming the “credit card generation,” spending more than 30 percent of their income on debt payments. And, unfortunately, by the time seniors seek counseling, it’s often too late.

A new study shows that the average credit card debt of Americans 65 and older increased by 89% between 1992 and 2001. During the same period, the number of older adults filing for bankruptcy tripled.

SOURCES: Jan L. Warner & Jan Collins – Jewish World Review, and New York Daily News