According to the Federal Reserve Board’s 2004 Survey of Consumer Finances, as much as 75 percent of the average senior’s annual income is used to pay debt payments. That’s a pretty scary number, especially when more of their income ends up going to health care related issues.
A recent article, What To Do When Your Parent Is In Debt can help you decide exactly how to help your parent facing this ever-growing crises.
One of the most important things to remember is your parent’s debt is not your debt. Unless your name is on the credit card, loan or mortgage, you are not legally responsible for it. Likewise, if your name isn’t listed, you can’t have contact with the debt companies – your parent will have to contact them him or herself.
What have been your experiences?