Seniors and Credit Card Debt

When you review credit card debt statistics, people over the age of 65 are accumulating credit card debt a lot faster than any other age group. The sad truth is, a majority of these people live on fixed incomes, and they struggle in making those monthly payments. Medical bills, rent and other expenses crowd out any ability that may have been there to pay the debt. If that sounds like your situation, here are a few things you should consider about credit card debt and its effects on elderly family members. Talking to anyone about credit card debt is not easy, but talking to a senior can be harder still. Seniors want to be seen as competent and independent, and the conversation should be handled tactfully.

If you can, you should wait until the subject comes up in conversation, such as after a news report on the credit crisis, the arrival of a credit card in the mail, or after you’ve paid your credit cards yourself. Once the subject has been broached, you can voice your concerns and offer advice.

Instead of assigning blame, ask your relative to help you come up with ways to pay the debt. You can also ask if they want to seek credit counseling, because many agencies offer free or low-cost programs for seniors. If your parents have incurred credit card debt that they can’t repay, ask your siblings for their input as well.

Often, seniors who are in credit card debt forgo necessities like food and medication. When this happens, it’s time to step in and have a discussion. Help your relative make an honest assessment of their situation, and help them out if you can afford to do so. You should also discuss the advantages and disadvantages of having a credit card at that age.

If your parent or relative passes on, their entire estate can be taken to settle credit card debt. However, the creditors can’t collect directly from the survivors. Credit debt can cause both physical and mental stress, not to mention embarrassment. Give your relative basic info about credit card debt before it becomes an issue.