You Might Be Bankrupt If: You Take Your Kids’ Savings!


I suppose nothing should surprise us anymore.   Nearly half of American parents:

have admitted that they have taken money from their children’s savings accounts, and 51 per cent said they did not even feel guilty about it.

Read more:–51per-cent-feel-guilty-it.html#ixzz2TmCkLgb1
Follow us: @MailOnline on Twitter | DailyMail on Facebook

This is not a poll, but a study, whatever that means.

Only 36% used the money to pay bills, although another 29% claimed the stolen pennies were used to “clear debt.”  In my business, we call that a distinction without a difference.

This is not even taking money from the piggy bank in junior’s room while he is sleeping.  That you could lie about later, relying on junior not keeping a running tab.  Though, in these days of computers everywhere, that may be just old fashioned.

piggyTHREE   I mean, there is a record of what happens to bank accounts.  I know, junior is a minor, so he has no right to those records.  But still.

Anyway, this is a bankruptcy blog, not a parenting blog, though there is some overlap.

I guarantee NO financial plan was ever based on looting the savings of your offspring.  Go   ahead, google it.

This means, SOMETHING IS DRASTICALLY WRONG!  With your finances.  Come on.

Even if you are the one who put the money into the account, was your plan to take it out later     to pay your bills?  That is a helluva plan.

This is a 100% guaranteed sign that your budget is not what it should be; that your living expenses and income are way out of whack.

This may be caused by a gambling or substance abuse issue, not my topic.

For sure, you are not making as much as you thought you would when  you got into debt, and/or, borrowing money to make up for that loss of income.  Or, maybe, you just borrowed too much money.

You need to sit down and write down the reality of your financial life.  Not the best case scenario, if everybody pays you, and your bills are as low as they can be, but what is your actual experience the last 3 to 6 months.

And what are you guaranteed for income over the next 6 months.  And what are your expenses, reasonable to worst case.

If there is a shortfall, you need a way out.  Eventually.  You may not be getting sued or garnished or harassed just yet, but, is that only because your kids bailed you out?

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

Sorry, comments are closed for this post.