Boomers and Bankruptcy

The Associated Press has just released a short article that is based on a report due out in the American Bankruptcy Institute’s Journal next month. Basically, the report looked at the ages of people filing for bankruptcy and the apparent causes for the filings.

The data used is slightly older, it covers 1994 – 2002. However, nothing here is going to come as a great surprise to anyone in the Bankruptcy system. We have all known for years that the real growth in bankruptcy filings was not young adults. In fact, according to this study, the percentage of people under the age of 25 decreased substantially between 1994 and 2002; and the median age for filers is now 41.4 years, up from 37.7.

So, what age group is driving the filing numbers? People over the age of 55 who are getting caught between housing costs and ever increasing health care costs — especially prescription drugs.

Elaine

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