She will be moving in the next 60 days. Zero equity in home. $50k in cc debt. Looking at community options and costs she will have little or no funds after expenses. Her income is from s.s. and state retirement pension. In fact, we will probably be supplementing some of the expense ourselves each month.
I know assisted living and skilled nursing she would be shielded but unsure what it would mean in Independent Living.
We plan on obtaining a credit report and sending certified letters to creditors stating she has moved into a CCRC and can no longer meet her debt obligations and that any further contact should be in writing mailed to a p.o. box we have set up near us.
Any advice?
Plus, I might consult with an Elder Law attorney about her qualifications for Medicaid or a state plan that covers AL facilities if prescribed by her doctor. I'd be careful about paying things for her, as it might be considered part of her monthly income and disqualify her for some benefits, because her income is too high. An expert might be helpful in making sure she's protected.
As for Independent Living, on average they charge $5k per month. Or is Mom moving into senior apartments where rent is based on one's income?
Can you expand on what you mean when you said that Mom has zero equity in her house? Does she rent? If not, the house and the land still have value. Did she take out a Reverse Mortgage?
My Dad sold his house and moved into Independent Living, he was still responsible for all of his bills. Same when he moved into Assisted Living. I was his financial POA.
I'd get legal advice from an attorney in their jurisdiction to find out the best course to take.
I agree it would be wise to meet with an Elder Law attorney regarding her situation, and planning for the future, and being careful about contributing to her finances. Should she be declaring bankruptcy?