I had met Eddie a few years ago. He was referred to me to help develop a plan
for paying down his debt. He had a
number of store and regular credit cards and a car loan.
He was full of optimism and sharp as a tack. He was looking for a new job to supplement
his income and looking forward to working together.
Did I mention he was 72 at the time, a widower, already
retired, and receiving a pension?
At his apartment, there was a lot of stuff, but everything
was clean and neat. Books, records, wall
art, furniture were everywhere. Not
junk, but there was just a lot of stuff.
I gave him a plan, and he was also optimistic about getting
a part time job so he could pay down his debt quickly.
Over time, it a few things were clear – he continued to use
his credit cards, and job opportunity after opportunity went by. Despite our conversations, he kept on the
same path.
We even looked at his non-lifestyle expenses and freed up
some money each month. For example, he
was overpaying for his auto insurance because his license “points” weren't
reflected accurately.
Recently, Eddie called me asking for some information
regarding bankruptcy. He shared some
details with me. He never got that job –
or any job – for that matter. His
pension alone wasn't enough to cover his spending, so his debt continued to
climb and fell behind on his payments.
His car was repossessed. Even his
internet service was shut off.
I referred him to a good friend and bankruptcy attorney, but
I reflected on this situation.
- You can’t pay down debt if you keep adding to debt.
- Despite a lifetime of experience, enthusiasm and skills, it’s not always easy to get a job when you want a job.
- I’m not suggesting age discrimination, but you might not have the choice of working in retirement.
- It must be emotionally devastating to have to file bankruptcy at age 74.
For me, I find this situation upsetting because I really
like Eddie. He is a kind and generous
person, but he was also very stubborn in some ways. He didn't want to make some changes in his
lifestyle. He didn't want to sell any of
his items to raise money. His retirement
plan was to get a job. And none of those
things worked out.
For his sake, I hope this bankruptcy motivates him to make
changes for the better. But this is
going to be a drastic change no matter what.
I do not want to have his situation in the future. It was extremely eye opening for me.
Do you know any “Eddie”s?
What do you think of his situation?
