All bankruptcy attorneys are not created equal. Schedule A Free Case Evaluation
Nowack & Olson, PLLC
Let’s do this together.
Speak with one of our professionals.
888-813-4737

Parents fall into debt by lending to children

Throughout the United States, there are countless people fighting against overwhelming debt and Florida is no exception. Unfortunately, the cost of living can be high and it is not always easy to keep on top of your finances, especially if you are trying to support other people as well as yourself. Before you know it, you could find yourself being hounded by creditors and even having to forgo things you enjoy, just so you can afford to live.

It is a growing problem and one that can even affect people who are normally frugal and careful with their finances. For example, many parents find themselves drawing from their own savings to help their children, paying bills, living expenses or credit card debts, even once those children have reached adulthood. This can even result in the parents not having enough money put back to retire when they had planned to. As a result, they end up spending more years in work and having less chance to enjoy their retirement years.

The head of Florida's Financial Psychology Corporation advises parents to consider loaning money rather than simply giving it to them and structuring that loan properly as if it were a business agreement. This means that you can still help your child in times of need but encourage them to find their feet and work toward earning enough to repay you and support themselves. It will still work out cheaper for them than running up debts on their credit cards, but they also have an incentive not to simply depend on you for money.

If they have fallen so far into debt it is unmanageable or if you have found yourself in a similar position, you might benefit from the advice of an attorney. He or she can advise you about your options and may be able to suggest a suitable repayment plan or bankruptcy option to help you regain control of your finances.

Source: The New York Times, "Reopening the Bank of Mom and Dad, to Help Adult Children," Constance Gustke, Oct. 9, 2015

No Comments

Leave a comment
Comment Information

We take your situation as seriously as you do.

Start with a Free Case Evaluation

Bold labels are required.

Contact Information
disclaimer.

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.

close

Privacy Policy

What Our Clients Say:

Back
  • "Maria please let Attorney Olson know how pleased I am with the results of my home loan modification with Bank of America. I am so grateful for all of their hard work, especially since my house was a gift from my parents, I prayed not to lose it to foreclosure....."

    Cassandra M.
  • "We received last Friday our bankruptcy discharged letter for the trustee.
    We want to thank you very much for your services in our bankruptcy file.
    We are very pleased and happy with your service, you are so professional, courteous, organized and fast.

    We will recommend you every time we can.
    God Bless You!"

    Yazmin & Ricardo D.
  • "MY EXPERIENCE WITH MITCH AND CHRIS AND U WERE JUST A GREAT EXPERIENCE I WANTED TO GIVE UP PRIOR TO U GUYS.. DON'T WANT TO FORGET ABOUT LEO, HE'S ALSO GREAT PERSON..COMMUNICATE REALLY GREAT WITH ME,,ACTUALLY ALL OF U ....I CAN EMAIL OR CALL .U ALL ALWAYS REPLY TO ME....."

    Tonya C.
  • "I was very pleased with work of Nowack & Olson, and way you guide me through all process of bankruptcy and loan modification. I received good care and was informed on every step of it. Thank You very much. You save my life!"

    Kasia D.
  • "Just wanted to thank you again for helping my wife and family through a tough time. We are finally starting to get back on our feet and building back our nest egg. We have stabilized our income again, and see the light at the end of the tunnel. I remember one of your tag lines was helping good people through bad times... That always rang true with us....."

    Peter R.
  • "After a rather distasteful experience with a Foreclosure Attorney I was apprehensive to say the least to hire an Attorney to handle our Bankruptcy. After some internet searches and research I found Christian Olsen, and after our initial consultation my wife and I retained his services....."

    Bobby and Tanya
  • "I am a teacher who reaped the rewards of a profitable side business until shortly after the recession. I struggled to keep my business afloat until I finally threw in the towel. Between personal and business debt, I was suffocating in bills....."

    Richard C.
Read More Testimonials

Privacy Policy | Business Development Solutions by FindLaw, a Thomson Reuters business.