Plugging Along At 62 With Lots Of Debt, No Job And No Credit

James O'Connell of California wrote the Huffington Post in response to an item about credit card companies tightening payment requirements for cardholders. In May, Citibank suddenly closed the account on his last credit card, citing delinquencies on other accounts, leaving O'Connell with no credit at all. "No way to rent a car, or do anything else where a credit card is a must," he wrote.

Reached by phone, O'Connell explained how it came to that.

I was laid off from my job in December 2006. I was a configuration manager at a turbine company. It came at a very bad time.

Right after I lost my job we found out that dad had a recurrence of cancer from about 10 years earlier and it turned out to be inoperable. It was surrounding two main arteries. It had started in the lung and metastasized. He decided to just ride it out this time. We'd already lost mom in 2002 and I think he was tired. He was 87.

When I got the news my dad was terminal, I decided to take off from looking for work until he passed. We took him to see my sister in New Jersey, took him to the World War II memorial because he was a vet from the Philippines. And then we brought him back and he just rode it out until he passed in October 2007.

Because my circumstances were tight I packed up and moved into my dad's house with my two sisters. I started concentrating on trying to pay my bills with my unemployment.

I had been looking for work for quite a while and then last November I turned 62. I decided I better at least take Social Security. I still look for jobs but nothing has come up. I never found a job that wasn't way out of state. I'm a little old to be moving and starting fresh from scratch. I think as things stand right now I consider myself retired.

Is this a relaxing retirement?

I'm still pretty stressed because I have a lot of debt to clear. It's gonna take a while. I can't pay much to each person. My average was 25 to 50 bucks to each one. The state government and the IRS have audited me and found some way of getting money back out of me. It'll probably go on till I drop dead.

Story continues below

So these other debts are the reason Citibank took your card away?

It was my only valid credit card. A debt collector had called me up and told me I had that card and I could clear my debt with him by putting it on that card. I didn't even have the card yet. It turned out they had converted my Macy's card. They sold it all off to Citibank and Citibank converted it to a regular card.

My debts were all getting behind because I was running out of money. I had several credit cards with varying amounts on them. I had an unsecured loan with Capital One. I had three different gas cards.

At the time I got laid off they were all active and they were all being paid and then as it got harder and harder to find a job they were all getting delinquent. It finally caught up to me where I just had to default on some of them. I just couldn't pay them. Eventually they all went to collection. Some of them I was able to handle--they put me on zero-interest closed accounts and I'm paying them.

I at least take care of my responsibilities. My parents always taught me you take care of what you do. You take care of it no matter what you think or feel. And you do. You move forward. I just plug along.

How's your health?

I had two small heart attacks that I didn't know I had. That was about two years ago. They both happened in December. That's a bad time of the year for me. December's just vicious. Birthdays, holidays. Three times I've been laid off in December. It's not a month I look forward to!

I just move along. Do what you need to do. You may not be enjoying it, but you take care of business. I got family and stuff like that. I just lost a nephew, but the day after he passed away, I got a great great niece. His granddaughter was born.

HuffPost readers: Have you joined the record ranks of long-term unemployed? Tell us about it. Why not? Email [e-mail].

Comments

[Joeblue]

Anyone who blames themselves and not what Raygun and friends cooked up for us30 years ago, please stop. The economy is rigged for them not us. If the economy was good and we all made a good wage there would not be finger pointing at the different generations. Divided we fall and that's what they want.

[Chironomid]

Dude, just file bankruptcy! Got myself in too deep once, filed Chap 13.. it was no big deal (still isn't under the new law, either).

[PatA]

http://www.fcc.gov/cgb/policy/telemarketing.html
http://www.ehow.com/how_2002286_debt-collectors-calls.html
The first link is to the government site where you can take out a "do not call" against telemarketers.
The second link concerns creditors calling day and night.

For those who are being harassed, please go to these sites and follow their instructions. I am on the "no telemarketer calls" and believe me it works.

It is illegal for a creditor to harass you. Repeat that, "it is illegal for a creditor to harass you"...........Good luck!

[Organic-Guy]

Mr O'Connel's parents advice was good advice for their generation. Back then, mortgages were often written on one sheet of paper and could be written between two parties without lawyers and governments interfering and taxing the hell out of you in the transfer. They also lived when you made a deal with a bank or lender and they stuck to their part of the bargain too and the came from a time before credit cards and predatory lending codified by laws written in the revolving doors of washington DC.
Nowadays, the banks, credit card companies and mortgage brokers are mostly criminal elements that are hard to differentiate from the mob of old-or New Jersey I guess?. you can make any deal you want with these low life's and they'll find some way to change it and manifest failure every time. It's intentional. As far as the corporate structure of this country is concerned, everyone is just a prospect to make a buck and they don't care if you die or live a totally miserable life with no hope in an effort to pay back their ever changing loan structures with outrageous interest no one can afford along with penalties. The US government is now in on too. They sanction all of it. The deal is no longer the deal.

[R2D2-51]

When I realized this country had turned into Sodmo-Gomorrah back in the 1980's, I decided to get off the hamster wheel that by desgn is rigged to kill you before your time making insurance companies rich. So I checked out and paid off my debts and live out of my 4x4 and Burro trailer traveling acros the North American continent where serenity and harmony reigns supreme.

[marysandra]

There is so much in James' story that folks his age can relate to..I know of an older person who,in the same situation, went to Consumer Credit Counseling for advice. They told him he could not even afford to file bankruptcy, which costs about $1,000 in most states. Their advice? "Change your phone number, the creditors will give up eventually." The problem for many seniors who find themselves jobless is, you guessed it, health insurance..One must be 65 to get medicare., even if they are on social security., and James has had health problems, I hope he has looked into any health benefits available for the unemployed in California.. Oh, and start writing letters to the politicians who say we don't need health care reform..

[cimbri]

Don't pay any of them and hold onto your money. Cash is king. Sell anything you have where you hold a clear title to prevent a judgment lien. Once you do that, you effectively have no debts.

[sidneycat]

I hope James will consider contacting AARP regarding their employment program for older workers. It only pays minimum wages in some states, but it is available nationwide. It is usually about 20 hours a week for about a year. By then they hope you will be placed at your host agency, or they will try to place you..It is not much but it helps, it also helps rebuild confidence in older people who have really taken a beating in this economy.. It can be a little demoralizing making low wages and working for people the age of one's children, but one thing the older generation is good at is "soldiering on" in tough times..Good luck James and all the others who posted.

[Ametista]

This is the first Huffpo article that has brought tears to my eyes. Way to go America.

[ForVivi]

We can reclaim our freedom from our slavery to the bank!

http://www.thecrowhouse.com/Documents/mary-book.pdf

[kassandrasduplex]

Didn't Th. Jefferson foresee this coming? But it's a good thing the corporate media have successfully smeared his name so no rumblings of a Jeffersonian democracy start building again...
The only way this will end is with bl.ud shed. With a whimper it will continue, our slavery to the new Ruling Class.

[flash LI]

Actually, the economy does run in cycles - in spite of crooks. Trying to even out those cycles and take the 'risk' out of every financial transaction has been the major problem. I'm for appropriate regulation, but too much of an attempt to remove consequences for uninformed actions is a dangerous ploy that will only result in what we are seeing now.

Why is it cyclical? It's just like turning water on. It flows instantly at the faucet, but takes time to flow through the pipes and into the sewer. The financial system is the same. It's really simple, but some make it harder than it needs to be and throw the system into derision.

[kassandrasduplex]

The disaparity in wealth is the crux of the matter. The wealthy have rigged the game to their favor. In earlier days a strong progressive Federal government could redistribute the wealth with progressive taxation. But look what they did to Clinton for trying to do that in 1993.

[TardisJockey]

My husband got laid off back in 2000 when the stock bubble burst. We thought he'd never get another job. Times got wretchedly tough. But we stuck it out and we hoped and we prayed and I remember crying when that job offer came through (four years later!), and refusing to spend the money for a celebratory dinner until that first check was in his hand.

My parents both lived through the Depression. Even once times became good, they continued to live the lessons learned. Our times weren't as bad, but those lessons came in handy and we have not returned to our disposable consumer ways. It's helped us weather this new layoff so much better.

The Economy runs in cycles. Bad to good to bad and back to good again. I know it sounds trite right now, but, James and Gilda, and anyone else who is wondering when it's going to get better: just keep holding on. It will get better. I wish I could tell you when...I can't; but it will.

[ProfessorDuh]

The economy "runs in cycles" when you give crooks a free hand.

[Rapier]

In a decent society, people should not have to be slaves to jobs.

[LyssaBarnes]

If I were only old enough to retire "sigh". I spent over 15 years in the advertising industry. We were hit hard by the recession and there were many layoffs. I have found another job in a different industry altogether. I make a lot less money, but it is still something.

I hate to say it but age discrimination is a factor in finding another job, especially for women. In a lot of my interviews, which were conducted by people fresh out of college with little to no work experience I always felt that by the end of our time together my knowledge scared the bejesus out of them. I got really tired of hearing that I was "overqualified for the position".

I am beginning to fill my time with community service work. Despite my hardships it feels good that I can play a small part in improving the greater good.

[ChiProgressive]

I'm glad you have made a bad situation better by providing service. Good luck.

[densogirl]

Age discrimination is a huge problem. I retired as a secretary after 30 years in 1998. I was just 50 years old, looked 40 and had top knotch skills. Went to interview after interview for almost a year until I finally had to take a job in a factory. I did that for 6 years and then even they don't want ladies pushing 60 in their shops. Living for months on a small pension with minimum wage jobs during Christmas and any other temp things that came along. Went to credit counseling until I just couldn't find work anymore and finally filed for bankruptcy and lost my house and car. Finally, I filed for SS at 62 and am also working PT. It's enough for me, but now my only child is out of work and will run out of unemployment in a few weeks. I've been paying his bills, but can't pay his mortgage and my rent. Will probably have to move in with him. Nowadays, it's probably just as hard for a man in his 50's or 60's to find a job as it is for a woman, but back in '98, it was my age and that came as a totoal shock to me. I would never have retired at 50 if I had known how difficult my life would be looking ahead.

[tikotheboy]

Is it any wonder that the only time jesus ever used violence was against the money changers in the temple? He knew something.

[Skinar]

Agreed. The ONLY time that HE ever was purported to get angry.

[pikaomega]

In the last year, I have had three (thankfully only) fractured bones that went unattended. I had a tooth that I was going to pull myself until it got so abscessed that I looked like Rocky Dennis...it took two weeks of excruciating pain for me to come up with the $100 to pay for a dentist.

The frustration that you hear from we young is this: we have no real jobs, no insurance and no hope of a life better than our parents. We are pushed to go to college but cannot do so without incurring tens of thousands of dollars in debt. We stand and watch our parents financially destroyed, have no chance of savings or 401(k), no hope of seeing social security, and a very dubious future.

And all the while, we are chastised for selfishness, laziness, a feeling of entitlement...from the very people who instilled in us these values. We want guidance but do not get it. Where do we turn?

Please consider this before you rail against us. We did not create this mess, yet we will spend the rest of our days in its wake.

[TheBlackCat]

well said.

[TheBlackCat]

It has already really bothers me when the generation before blames the current one. As you said...who the hell do they think RAISED the current generation? THEM.

These people are helicopter parents who attend to their every child's whim, who foister on them the ideals of materialism, greed, and self entitlement, who seek to protect and insulate them in picket little white fence suburbs from every possible danger or offensive image then wonder why we ended up with an entire generation of adult children who don't know how to do anything and who have few values other than rampant consumerism.

[Wallysmom]

You say you have mental illness, yet you speak with the wisdom and clarity of a person far older than your years and without self-pity. My best to you and hope we can all weather the storm of debt, insecurity, and difficult choices. Stay strong.

[TardisJockey]

And I really can't stand it when every generation that comes along wants to blame the one before them. As part of the Obama generation, I had to listen to that snuff from all the Boomers whining about everyone "over 30."

And you're right. For all the whining they did about how the older generation ruined the world, they didn't do so hot a job themselves, did they? So instead of whining about how you have it worse and it's all your parents fault for ruining you - since you're aware of the problem - get off your duff and do something about it.

You're self-aware enough to know you have the problem and why. So now be self-possessed enough to go out and fix it.

[pikaomega]

In fact, I have spent the last six years of my life in the fields of political organizing and social advocacy non-profit work. I am not whining in any way, but attempting to offer a bit of clarity that seems to be lacking in this thread.

My generation stands at the forefront of something akin to the invention of the printing press, the steam engine...the internet. We have the ability to instantly connect to people around the globe. My hope is that we take the lessons that are being beaten into us at present and utilize the technology in a positive manner.

My grandparents were "the greatest generation," and perpetually lived in the shadows of the hardships that they faced. I truly, truly wish that we take this crisis for what it could be-a lesson.

[Monkeyfish]

Your situation is not that different than the situation Generation X faced in the early 90s. When I graduated from college it was to the worst job market for college grads to date. I'm sure the market now is even worse. My husband and I found jobs. As a chemist, he made $7/hour. I made minimum wage (around $5.50 at that time) plus commission doing a job that didn't require my B.A. with honors.

We had healthcare benefits, or so we thought. It turns out that our daughter's ear infections were not covered due to a pre-existing condition (she had an ear infection 12 months earlier). Every penny we made went to paying her medical bills and our rent. We regularly had only $20/week left over to buy food.

Most of my life I've worked two jobs to make ends meet, even after graduating with my master's degree. Finally, at 41, I have a decent job and am starting to build a small savings account for the first time. My daughter is in college now - paying with scholarships. Adversity can breed compassion and resilience. It made me push my daughters to study hard so they could be competitive in the college market. I'll never forget what it's like to wonder how you will feed your child and pay for medical care. As a result, I'll never be a Republican.

[Ametista]

Wow. I am genx too and still owe 5K on my college loans. I joke with my son that I hope mine is paid off before I have to pay for his! When he was 3 we had no money, we paid $50 a month to insure just him through private medical insurance. Lo and behold he stepped on a rattlesnake, was bitten twice, and required over $50K in treatment/emergency/ambulance/antivenin. If we hadn't scraped up that 50 bucks a month our lives would have been RUINED and who knows what I would owe by now with interest on my college loans.

[pikaomega]

I take SERIOUS exception to the bashing of young people on this thread. Allow me to offer a bit of perspective on the plight of my generation, while acknowledging the difficulties faced by the older among us.

I was born in 1980 and my loathing of Reagan began at a tender age. At 20 I had a major accident that destroyed me internally and am severely mentally ill-meaning lots of hospital bills due to repeated visits to the psych ward. I am fortunate enough to live by a hospital where I see a resident for care, but they are "re-evaluating" pay fees so that may be out of the question soon. I work part time, as that is all that I can handle without losing my mind, with no benefits. My husband has been unemployed since Jan., and his unemployment runs out next week. I help care for my 79 y/o granny who had a stroke last fall.

We have no credit cards, no phone or internet (live within a free wifi network), no cable. I own my car, have a cheap apt. and pay only food and utilities. We do all that we can and barely make it.

con't...

[TardisJockey]

While I sympathize with your predicament, your situtation isn't anything that lots of others haven't lived through for generation upon generation. It has nothing to do with the older generation; the younger generation; or even Reagan. Unfortunately, it has a lot more to do with bad luck, and I hope it turns around for you.

[tjc76]

Well said. Many of the generations before us has to endure hardships as well. They also dealt with mental illness. In fact, care today for mental illness is much than it was in the past so be thankful for that. Bad luck as contributed to her problems..