Talk among Don Shreffner and Cippy Valle
at the Henderson Senior Center on
Thursday focuses on the economy. “I learned at an early age to save and
prepare myself,” said Aurelio Valle. “And I have.” Photo by Leila Navidi,
Las Vegas Sun
Retirement News
Media Drawing Attention to Plight of the Retirees as
Retirement Accounts Threatened
Retirees ‘going
through hell’ with declining markets, housing crisis, says Atlanta
Journal
Sept. 26, 2008 – There is a certain insecurity that
strikes when you retire, regardless of your financial condition, and
worrying about being able to survive financially is a universal malady
of senior citizens. This time, there is really something to worry about,
especially if you are living off of a retirement savings account. The
media has begun to focus on the plight of the retirees and soon-to-be
retirees as they face the impact of the chaos in the financial markets.
Here is a round-up of some of the reports found by
SeniorJournal.com with links to the main stories.
Retirees ‘going
through hell’ with declining markets, housing crisis
As asset values continue to fall, those 60 or
older need bailout plan to work, analysts say
By BOB DART
The Atlanta Journal-Constitution -Thursday,
September 25, 2008
WASHINGTON - At the end of working lives where
deprivation rarely dwelled, older Americans now worry that they’re
teetering at the edge of their own Great Depression.
“Right now, older Americans — those retired or
about to retire — are going through hell,” said Alicia H. Munnell,
director of the Center for Retirement Research at Boston College.
“They’re seeing the value of their 401(k) assets decline and facing
risks that assets will go down even more in the future.”
No demographic group faces greater financial danger
as Congress debates President Bush’s proposed $700 billion bailout of
the financial services industry. –
More at the
Atlanta Journal
The answer is in the basic premise of the reverse
mortgage itself says mortgage company
By
All Reverse Mortgage Company (Special to SeniorJournal.com)
Sept. 18, 2008 - Everyone has heard so much since
Monday about the credit crunch and how it will adversely affect the
ability of people to borrow money. One of the new mantras in the
financial sector is that loans will only be made to borrowers who can
actually afford to repay them (imagine that) and many senior homeowners
are concerned about how this will affect them in their efforts to obtain
a reverse mortgage. The answer is in the basic premise of the reverse
mortgage itself.
Read more...
MIAMI (CBS4) -
Today's uncertain economic times are affecting everyone, and
senior citizens are feeling especially vulnerable. Their homes are
threatened, their retirement funds are dwindling and they are strapped
for cash.
"When I first came to this country, I rented a room
for $8 a week," said William Llanes to
CBS4 Reporter Jorge Estevez.
But now fifty years later, a bad loan has raised William's mortgage
which has left this Miami Beach man no choice but to get a part time
job. He has since retired from a successful career in the airline
industry. –
Read more at CBS4
Part 1 of 3 at Consumer Reports
After the AIG
insurance mess: When to worry
Should you worry that your insurance company
will be the next AIG?
In a word, no. Insurance experts we've interviewed
say the insurance giant was singular in its heavy reliance on
mortgage-backed securities.
In fact, AIG policyholders themselves need not
worry that their claims will be denied. That's because the AIG that got
into trouble was a holding company, totally separate from its
subsidiaries that pay claims on homeowners, auto, life, and other types
of insurance. Those companies are regulated heavily by the states in
which they're domiciled. By law, they must have enough in reserve to pay
all their claims, according to the National Association of Insurance
Commissioners, the professional organization for state insurance
regulators. –
Read more at Consumer Reports
Troubled banks 101
It's a scary
time for bank customers. But most accounts are safe. Here's what you
need to know.
Last Updated: September 25, 2008
NEW YORK (CNNMoney.com) -- Bank failures are scary
- especially during these times of economic distress.
Washington Mutual, once the nation's largest thrift
and rocked by bad lending on real estate, had been reportedly teetering
on failure. On Thursday regulators seized the bank and arranged a
takeover by JPMorgan Chase.
And experts and banking regulators say that the
number of failures is likely to pick up pace in coming weeks and months.
It all leaves Americans wondering: Is my bank safe?
The bottom line is that the vast majority of the
nation's 8,500 banks are in good shape, and when banks do fail,
customers rarely lose money because most deposits are insured.
Fri, Sep 26, 2008 (2 a.m.) - Some of those to be
hardest hit by the flood of bad economic news cascading down from Wall
Street are retired Las Vegas Valley residents who, even a month ago,
might have believed their days of work were behind them.
Now many of them are sitting, waiting and watching
as reports of bailouts, buyouts and failings threaten their life
savings.
And their plans? They are as varied as the people
of the Las Vegas area.
Some are going back to work.
Everyone’s watching his spending.
And some aren’t doing much worrying at all.
“Sure, I’m scared for my investments,” says Don
Shreffner, 67, a retired truck driver visiting the Henderson Senior
Center on Wednesday afternoon. “All of us have pulled out of the market.
We’re all watching it and wondering what’s happened.” –
Read more at Las
Vegas Sun
Retirees' Nest
Eggs Take a Hit:
South Florida Retirees Who Rely Heavily on Investment Income Are on the
Front Lines of the Wall Street Debacle
(Source: The Miami Herald)By
Martha Brannigan, Monica Hatcher and Amy Sherman, The Miami Herald
Sep. 25, 2008 - Like many American retirees, Gerry
Lackey is fretting over how the turmoil in the financial markets will
crimp his plans.
The retired lawyer, who counts on savings and
investments for about half his income, has watched in dismay as major
stock markets plummeted about 19 percent this year. "I don't know if I
have enough years to allow the market to come back."
Retirees like Lackey, 69, who depend on investment
income to help buy groceries and pay the bills, are among the most
vulnerable groups scrambling for cover in the current market upheaval.
South Florida, with its wealth of retirees, may suffer
disproportionately because of its large number of older souls whose
financial well being is closely tied to Wall Street. –
Read more at
iStockAnalysis.com
Workers Shift
Loads of Retirement Savings to Fixed-Income Funds
Market gyrations last week trigger flood of
401(k) money going from equity funds to stable value
September 23, 2008 It takes a lot to scare workers
into making sudden changes to their 401(k) plans, yet droves of
participants moved their retirement assets around last week as the
volatile equity markets became too much for many to stomach.
Participants in 401(k) plans fled from equity funds
and moved investments into safer fixed-income investments last week as
manic market conditions and an uncertain economy rattled many workers,
said Pam Hess, director of retirement research at Hewitt Associates. –
More at Workforce Management
Keep up with the latest news for senior citizens, baby
boomers
By
Martha Brannigan, Monica Hatcher and Amy Sherman, The Miami Herald 