Family Credit

‍Original outlet: Fortune
Also published by: Yahoo Finance
Author: Mia Osmonbekov
Original media article published: August 21, 2026

Key Takeaway

Financial security in retirement depends on what you can afford each month as well as what you own. Credit card payments and interest charges can strain a retirement budget, even for someone with substantial assets.

Michael McAuliffe Discusses High-Interest Debt Later in Life

Family Credit Management President Michael McAuliffe contributed to a Fortune article, also published by Yahoo Finance, examining debt among baby boomers.

The article explores how accumulated wealth can coexist with difficulty covering everyday bills. McAuliffe highlighted the challenge of carrying expensive debt into retirement:

“We’re seeing more and more people carrying high-interest debt later in life, which becomes a much bigger problem for them when they retire, and their income is fixed” -Michael McAuliffe, President, Family Credit Management, in Fortune

Look at Monthly Affordability Alongside Your Assets

A home or retirement account may represent years of financial progress. But monthly bills still need to fit within the income and other funds available to cover them.

If credit card payments are leaving too little for essentials, start by reviewing your regular income, living expenses and debt obligations together. Include costs that arrive less frequently, such as insurance premiums, property taxes and home repairs.

This can help you see whether your budget supports your current payments or whether a recurring shortfall needs attention.

Recognize When Debt Is Becoming Harder to Manage

A change in income can make a previously manageable balance more difficult to repay. Consider taking a closer look if you are:

Using credit cards to cover essentials between income payments
Making payments while your total balances continue to grow
Moving balances between accounts without reducing the overall debt
Delaying necessary expenses to keep up with credit card bills

These are reasons to review your options, even if you have never missed a payment.

Family Credit Management’s financial education resources offer tools to help you organize your finances and understand your spending.

Find a Repayment Approach That Fits Your Retirement Budget

When you’re managing debt in retirement, affordability matters. A payment that leaves you borrowing again for groceries or utilities may be difficult to sustain.

Nonprofit credit counseling can help you review your budget and explore repayment options. You can learn about Family Credit Management’s Debt Management Program, including how participating credit card accounts may qualify for reduced interest rates and one monthly payment.

If you’re considering using retirement savings or home equity to repay debt, discuss the potential consequences with a qualified financial or tax professional before making that decision. A credit counselor can help you examine the debt repayment side of the picture.