Filing bankruptcy in retirement may not be such a bad idea

Local_Historian wrote: I have a problem with the seniors who are wracking up all kinds of debt and then filing bankruptcy. I saw a news story about this a few weeks ago, on MSNBC. I also have a problem with those doing it and then paying tiny amounts, knowing their kin will get saddled with it, or even those wracking it up, knowing it will disappear when they die, cause they have no kin or estate to pay it.

That's just screwing the rest of us.

But if this si the ONLY way they can get through without living on the street, then it;s what they have to do.

I believe that if the estate is not large enough to pay off all debts, the kin are not legally responsible.

neptunechimney wrote:

Local_Historian wrote: I have a problem with the seniors who are wracking up all kinds of debt and then filing bankruptcy. I saw a news story about this a few weeks ago, on MSNBC. I also have a problem with those doing it and then paying tiny amounts, knowing their kin will get saddled with it, or even those wracking it up, knowing it will disappear when they die, cause they have no kin or estate to pay it.

That's just screwing the rest of us.

But if this si the ONLY way they can get through without living on the street, then it;s what they have to do.

I believe that if the estate is not large enough to pay off all debts, the kin are not legally responsible.

true

SS109 wrote: But as bad as it is for seniors, that generation has more wealth than other generations right now. Luckily the other generations do have more time to come back from thier investment losses.

I agree, on average this generation of seniors is in way better shape than we all are going to be in a few decades. More seniors now have good pensions and company bennies. Thats going away for future generations.

One problem for current seniors is our generous FED giving 3-4% gov't backed mortgages to yuppies to re-fi their 3000sft McMansions, while seniors get 0.1%-0.5% interest in treasuries and money market accounts.

Joe wrote: I agree, on average this generation of seniors is in way better shape than we all are going to be in a few decades. More seniors now have good pensions and company bennies. Thats going away for future generations.

One problem for current seniors is our generous FED giving 3-4% gov't backed mortgages to yuppies to re-fi their 3000sft McMansions, while seniors get 0.1%-0.5% interest in treasuries and money market accounts.

Many seniors lost their pensions or had them severely cut, along with their supplemental health insurance. Company bennies are a thing of the past, even for those who originally had them when they retired.

Back in the 60's when I got out of college I was told not to count on Social Security....I didn't, and built my own retirement package, especially when I became self employed. But SS is still there and I must admit I am grateful to have it, especially after most retirement funds, no matter how diversified one is, lost value. That and medicare are what saves many seniors from disaster.....my healthcare costs dropped by $600/month when I could replace my individual policy with medicare and a supplement plan. It's not that easy to live on a fixed income unless you started out rich and your fixed income is high. Costs go up, expenses go up, but SS has not and investments can't make up the difference.

Bankruptcy, bad as it is, may well be the only choice for some seniors, or even 50 somethings that have even more trouble than their younger counterparts finding a job.

Atcher....My point was it is going to get even worse for future seniors. I know of people in their 80s right now who are enjoying a comfortable retirement, good pension, and good for them. I see it getting worse though. SS has to be tied to available funds, not some pipe dream about "what I need".

LadyJazzer- I'd hardly call Trickle-downers savvy! Thanks for the belly buster.

I agree about the coming death of retirement. My father is retired military and has a generous pension and benefits. After fighting in two wars and dedicating his life to our country I think he deserves it- but I don't think todays servicemen and women will enjoy the same. I know very few people my age who have made serious investments towards their retirements. I think retirement will become a luxury for the very few.

ckm8 wrote: LadyJazzer- I'd hardly call Trickle-downers savvy! Thanks for the belly buster.

I agree about the coming death of retirement. My father is retired military and has a generous pension and benefits. After fighting in two wars and dedicating his life to our country I think he deserves it- but I don't think todays servicemen and women will enjoy the same. I know very few people my age who have made serious investments towards their retirements. I think retirement will become a luxury for the very few.

The benefits are not bad but if he has a generous pension he must have been closer to an O-6 than an E-6. I have lost track but in the last 30 years the calculation for retirement pay has been adjusted downward several times.

We no longer make nor value investments. People shrug off the defunding of pensions- not caring that the men and women who worked for them accepted less in immediate compensation for the promise of a lifetime pension. The now increasingly find themselves in the same position as the grasshoppers that went for the bigger paycheck. We've based our economy on credit. If you put money into a savings account you'll earn next to nothing. We've screwed up the economy with our greed. At some point we'll have to once again learn to value deferred gratification.

Local_Historian wrote: I have a problem with the seniors who are wracking up all kinds of debt and then filing bankruptcy. I saw a news story about this a few weeks ago, on MSNBC. I also have a problem with those doing it and then paying tiny amounts, knowing their kin will get saddled with it, or even those wracking it up, knowing it will disappear when they die, cause they have no kin or estate to pay it.

That's just screwing the rest of us.

But if this si the ONLY way they can get through without living on the street, then it;s what they have to do.

good point. but i have a problem with lots of people, not just seniors racking up debt and then filing for bankruptcy and getting to keep their home, and car and other items.

looks like lots of people made some poor investments, not just seniors, which is to be expected if you are invested in the stock market - great while it is going up, bummer when it is going down.

mtntrekker wrote: ... but i have a problem with lots of people,...

Of course you do. Everyone should be as smart as the neocons... (That's why there's such a difference between liberals and right-wingers... That's why I'm not a conservative....)

The Layoff Kings: The 25 Companies Responsible for 700,000 Lost Jobs

1. General Motors
Number of jobs cut since recession began: 107,357

2. Citigroup (C)
Number of jobs cut since recession began: 73,056

3. Hewlett-Packard (HPQ)
Number of jobs cut since recession began: 47,540

4. Circuit City Stores
Number of jobs cut since recession began: 41,495

5. Merrill Lynch
Number of jobs cut since recession began: 40,650

6. Verizon Wireless (VZ)
Number of jobs cut since recession began: 39,000

7. Pfizer (PFE)
Number of jobs cut since recession began: 31,771

8. Merck & Co. (MRK)
Number of jobs cut since recession began: 24,400

9. Lehman Brothers
Number of jobs cut since recession began: 23,340

10. Caterpillar (CAT)
Number of jobs cut since recession began: 23,024

11. JPMorgan Chase (JPM)
Number of jobs cut since recession began: 22,852

12. Starbucks (SBUX)
Number of jobs cut since recession began: 21,316

13. AT&T (T)
Number of jobs cut since recession began: 18,401

14. Alcoa (AA)
Number of jobs cut since recession began: 17,655

15. Dow Chemical (DOW)
Number of jobs cut since recession began: 17,530

16. DuPont (DD)
Number of jobs cut since recession began: 17,000

17. Berkshire Hathaway (BRK.A)
Number of jobs cut since recession began: 16,900

18. Ford Motor (F)
Number of jobs cut since recession began: 15,912

19. KB Toys
Number of jobs cut since recession began: 15,100

20. United States Postal Service
Number of jobs cut since recession began: 15,000

21. DHL Express USA
Number of jobs cut since recession began: 14,900

22. Sprint Nextel (S)
Number of jobs cut since recession began: 14,500

23. Sun Microsystems
Number of jobs cut since recession began: 14,000

24. Boeing (BA)
Number of jobs cut since recession began: 13,715

25. Chrysler
Number of jobs cut since recession began: 13,672

http://www.dailyfinance.com/story/compa ... /19588515/


Oh, I keep forgetting... "They should have known"... As investors/savers, people looking to put their retirement savings in a "safe place", they should have seen through the lies in the Prospectus and the financial statements and seen that their investments were "risky"... How stupid of them... If they were told that their investments "weren't risky" by an entity or a broker that they trusted, well they should have known anyway.

And, of course, the 700,000 people who were laid-off by the top 25 companies responsible for the layoffs, "should have known" in advance that their jobs were in jeopardy...(Many of whom had probably worked there for decades...While the executives got $hundred-million bonuses...) They just stupidly went to work for the "wrong companies". Of course, there are millions more like them, and since the economy lost 693,000 jobs in December, 2008, alone, they should have all seen it coming... Ignorant twits...

693,000 Jobs Lost in December 2008
January 8, 2009

Source: WSJ

Private sector jobs fell 693,000 in the U.S. in December, according to a revamped national employment report published Wednesday by payroll giant Automatic Data Processing Inc. and consultancy Macroeconomic Advisers. That’s far higher than the 515,000 loss forecast in a Dow Jones Newswires survey. Manufacturing employment dropped 120,000 in December, while service sector jobs fell 473,000.

I keep forgetting that EVERYONE is supposed to be as smart and savvy as the trickle-down supply-siders... Silly me. Yes, mtntrekker, I'm sure you "have a problem with lots of people." They should just get off their arses and go find jobs.

:faint: :Sick: