Bankruptcy during retirement? | Milwaukee, WI

BREAKING NEWS:   U.S. Department of Justice announces new rules to discharging federal student loans. Find out if you qualify TODAY!

Milwaukee 414-250-7880         Madison 608-465-4594         Green Bay 920-626-3125

Serving all of Wisconsin
Toll-free 866-906-5634  Milwaukee  414-250-7880     Madison  608-465-4594     Green Bay 920-626-3125

Our 3 Step Process

Step 1:
Get Out Of Debt

Step 2:
Clean Up Your Credit

Step 3:
Build Your Score

Home 9 Chapter 13 Bankruptcy 9 Bankruptcy during retirement?

Bankruptcy during retirement?

by | Jun 22, 2015 | Chapter 13 Bankruptcy

Financial crisis can strike at anytime. Whether you are young in your prime earning years, or if you are looking at retirement, unexpected problems, like a divorce, injuries, medical conditions and job loss can intervene to sidetrack your plans. Sometimes, it is a temporary setback, like with a job loss, where you are lucky and quickly find a new job at the same pay.

But other times, there is no quick recovery. Maybe it is a divorce, leaving you struggling with less income and more expense than you expected. Or a sudden illness or decline in your health, leaving your income substantially lower and with significant medical expenses and no insurance.

Those who are retired might seem like unlikely candidates for a bankruptcy, but even those who are retired are not insulated from financial woes. Many individuals rely on 401k and other market-based investments for much of their retirement income and the volatile markets of the last decade have proved to be disastrous for many unlucky investors.

The phenomena of “gray divorce” has become more prevalent, and a divorce could upset your carefully designed retirement plans. And some parents may have signed on school loans for their children and may suddenly find themselves on the end of collection calls for a debt they never planned to pay.

Bankruptcy, at the end of the day, is a financial decision, and it needs to viewed as such. It can provide options, such as a Chapter 13, which can be used to eliminate financial burdens like second mortgages, medical expenses and credit card debt.

And because retirees may have a reduced need for new credit and some income, such as Social Security, may be protected in a bankruptcy from creditors, filing a bankruptcy even after retirement may make financial sense.

Source:, “Why Some Retired People Might Consider Filing for Bankruptcy,” Juliette Fairley, June 6, 2015

the secrets about bankruptcy they don't want you to know

Complete this form to receive your FREE copy of Attorney Miller’s book, The Secrets About Bankruptcy They Don’t Want You to Know. Order today to begin your personal journey toward true financial freedom.

Sidebar (Book Request)