Seniors and Savings (3 Minute Debt Break)

Often we associate retirement with enjoying the fruits of our labors. But many seniors find themselves struggling financially even after decades of working. 

Seniors who go into their old age with little or no savings can encounter health problems or unexpected emergencies, leaving them to be vulnerable to financial woes. Many senior Canadians don’t have the savings or money to cover emergencies and are carrying a debt load where they can’t even afford the things they need, such as medications or nutritious food. When a senior finds themselves in this situation, it is a good time to consider talking to a Trustee about a proposal to creditors that will allow them to get back on track and move forward with their lives.

A Consumer Proposal is preferable to seniors having to struggle daily to make ends meet in their golden years or worse, being forced to file for bankruptcy and risk losing the assets they have worked so hard to build.

Anyone, no matter what age, can find themselves overwhelmed by debt, but there are several ways to avoid overspending and common pitfalls such as high interest rate credit card debt that can land people in hot water. It’s best to have a rainy-day fund, so when unexpected expenses arise, there are funds set aside to cover it and therefore no need to borrow or use credit cards to pay for it. 

It’s also important to try to save for things like Christmas — not just for gifts, but travel and other related costs for the holiday to reduce the likelihood of overspending. 

With low bank interest rates, people may feel the urge to borrow more and spend more. However, with debt that carries a higher interest rate, this is not a time to take on more debt, it’s a time to pay if off. 

If you’re a senior who is struggling with debt — whether it’s debt you retired with or accumulated after the fact — you don’t have to face it alone. And it’s never too late to get the financial fresh start you need and deserve. 

Schedule a free confidential consultation with an MNP Debt Licensed Insolvency Trustee to learn what options are available for you. During this no obligation initial meeting, you and the Trustee will review your entire financial situation, discuss your challenges and review your financial goals. The Trustee will identify some solutions to get you the resolution you need and deserve.