Can bankruptcy protect your retirement accounts from creditors?

Bankruptcy can protect many retirement accounts from creditors, but there are exceptions to this rule. Francesco Carta/Getty Images Debt has become an increasingly difficult issue to ignore recently, and that's particularly true for millions of older Americans who are entering or will soon be starting retirement. In addition to high (and rising) inflation , credit card balances and other debt balances remain elevated, borrowing costs are still high and rapidly rising prices continue to pressure household budgets, making it tough to balance debt payments with everyday living costs. As a result, some retirees and older adults are finding themselves carrying debt far longer than they anticipated . And, if that debt ultimately becomes unmanageable, which can easily happen on a fixed income, the consequences can extend far beyond credit damage from missed payments and collection calls from creditors. In these cases, debt collectors can use tools, like lawsuits, garnishments and levies , to try to recover what they're owed. That, in turn, can cause major concern among older borrowers about the potential loss of their retirement funds, leading them to wonder if filing for bankruptcy to get rid of their debt is the right move. …