For Young Adults Forced to Move In With Mom and Dad, Chicago Bankruptcy Can Offer Independence
Faced with growing debt from credit cards and student loans, a record number of young adults are moving in with mom and dad.
As of 2012, an estimated 3 in 10 young adults are living with their parents - the highest level since the 1950s, according to the Christian Science Monitor. In the 18- to 24-year-old age group, 53 percent still live at home.
Back in 1980, the ratio was closer to 1 in 10.
Most of these 20-somethings fall into the category of "boomerang kids" - people who lived on their own while attending college and working a job, but returned home when low wages and too much debt made independent living too difficult.
While the sour job market of the last few years has impacted everyone, Chicago bankruptcy lawyers note that young adults have been particularly hard hit. High rates of unemployment coupled with large debts make it difficult to buy groceries and pay the rent - let alone save up for a house or car.
The good news is that 78 percent of adults who live with their parents report being happy with the arrangement.
In fact, multigenerational households can have important social benefits that, until now, we'd mostly lost as a culture. When family steps in, young adults are more likely to be able to pay for health care, meals, and other important expenses.
But there are drawbacks, too. Many young people have postponed getting married or starting a family because of the economy. Some are frustrated by their lack of upward mobility.
Debt can act as a glass ceiling, preventing young consumers from reaching their goals and aspirations. In many cases, Chicago bankruptcy can smash the ceiling by providing a strategy - and legal protection - for lowering or eliminating credit card balances, medical bills, and many other forms of debt.
And while bankruptcy can't currently reduce debt from education loans, some legislators want to change that, as we mentioned in a former Chicago Bankruptcy Lawyer Blog post.
A college diploma may no longer guarantee a brighter future. But these days, that brighter future can come when you lift the burden of debt. Bankruptcy can help.
More Blog Entries:
Three in 10 Young Adults Live With Parents, Highest Level Since 1950s, by Husna Haq, The Christian Science Monitor