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Baby boomer debt rising in Massachusetts

Sometimes paying off debt can take a lifetime. With the high costs of college and high interest rates on credit, it may feel to some Boston residents that they will never be able to get out of debt. Some parents take on loans to help out their children and others rack up credit card debt. Debt relief is available for consumer debt and can put some boomers on the road to financial freedom.

A new report by the Federal Reserve Bank of New York says that levels of debt for people aged 50 and older is growing. One of the recommendations in the report is for parents to start planning for expenses when their children are young. Investments in different savings vehicles like a 529 college plan can help pay off future debt. In Massachusetts, more than 200,000 people 50 and older had outstanding debt balances. With more people going to school and high levels of debt being reached, some families find themselves taking on consumer debt along with their student loans.

For those struggling with debt now, an option to pay off consumer debt can include bankruptcy. Bankruptcy can come in a variety of different forms with different requirements, so it's important to be informed of the process in Massachusetts. Bankruptcy can help debtors resolve some of their financial challenges including credit card and medical debt.

Lingering debt can be a burden, especially if it's taken on later in life. While student loans cannot be absolved by bankruptcy, other forms of debt can be. Taking on high amounts of credit card debt can be a challenge for anyone. Fortunately, there are options for all individuals at all levels of debt.

Source: BostonGlobe.com, "Boomers haunted by college debt," Erin Ailworth, April 13, 2014

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