Debt Management Plans

  Alzheimers is not pretty.  Nor is senility or any other form of dementia.  It puts an enormous strain on the spouse and other family members.

So, if a couple has debt problems, and one has dementia, a Debt Management Plan is just what the doctor ordered, right?

Shockingly, the National Foundation for Credit Counseling touts this as a great success story.

Read what they put this poor couple through:

Their press release blames the couple, of course, “They simply developed a lifestyle of overspending.”

This characterization in spite of the admitted deteriorating condition of the, then, 63 year old husband.  “Jim was in the early stages of dementia, putting the bulk of the responsibility squarely on Francine’s shoulders.”

They had never been late on a payment, having played the credit card game of balance shuffling to lower rate cards, using cash advances to make minimum payments on other cards, et cetera.

Methinks maybe the dementia had something to do with creating the debt problem.

This conscienceless outfit claims to have presented the unfortunate couple (well, maybe the creditors think he got dementia on purpose, to spite them) with a “workable budget.”

Their idea of “workable” required:

Francine took on evening work with the local school district cleaning the buildings, and launched her own Avon business. Even though his dementia was slowly taking over, Jim worked 30 hours per week job to help make ends meet.

In my world, a workable budget is one that fits the income you have, or can reasonable get without impairing your health.

So, their golden years have started; the potential retirement savings have gone to keep VISA’s profit margin up, they lost the meaningful time together they could have had, and, now, says the wife:

“My only regret is that Jim’s condition has worsened to the point that he can’t fully realize our accomplishment.”

I agree with the Get Out of Debt Guy, Steve Rohdie:  “Congratulations Bostick’s, you got screwed. . . . Let’s recap: a credit counseling group took an older couple where one partner had growing dementia, no real assets, no savings account, and stuck them in a five year repayment plan where they now are 62 and 73, this prevented them from spending precious time together and stopped them from saving for retirement. Yep, still disgustingly shameful. I truly want to vomit right now.

I cannot tell from the facts give if they qualified for Chapter 7, if not, they certainly could have filed a Chapter 13 payment plan and been done in 3 years without having to take on extra jobs.




If you enjoyed this post, make sure you subscribe to my RSS feed!

One Response to Debt Management Plans