Debt management for retirees
Retirees have many more obstacles to overcome debt, but there are still resources to help.
05:20 09 January 2014
It is not uncommon for people of all ages to be in debt, but one of the most detrimental facts is that many retirees do not seek help to manage their debt. Many retirees may not want to trouble others, or they may feel that they will be judged or thought of poorly if they disclose their financial troubles.
Here are ways to get help with debt, and some barriers that people may need to overcome.
- Some retirees may not be able to leave the home to meet with those who can offer advice or assistance.
- Certain people may have difficulty filling out necessary paperwork. Writing can be small and difficult to read, while others may simply have difficulty filling out forms due to medical reasons such as arthritis.
- Most retirees are on a fixed income and are not able to increase income unless they are able to pursue hobbies that can be turned into profits.
- Expenses may not be easily changed with those on fixed incomes, so debt becomes nearly impossible to reduce.
- Many organisations offer free advice to people of all ages with debt problems. There are also resources dedicated to the problems, which are unique to retirees. Many times charities or organisations are able to provide advice over the telephone.
- If a retiree has a home that is paid for, he or she may have the option to request an equity release without having to worry about selling the home.
- Some financial institutions may be able to provide retirees with a consolidation loan, or personal loan that can be used to pay off debt and secure a potentially lower interest rate.
It is important for anyone struggling with debt to use the resources available for assistance. A lot of the resources are free and can vastly improve financial futures.