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Author: Jim2B Big gold star, 5000 posts Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 75335  
Subject: Re: Company SOLD!! - My 401K !!? Date: 4/3/2007 7:08 PM
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1) Do NOT cash out the 401K
2) Do NOT use a 401K loan
3) DO roll your 401K into an IRA since these have many more options & control than any 401K program. You may also turn the traditional IRA into a Roth IRA, provide you satisfy certain conditions.

Some other miscellaneous and unasked for advice.

In most cases, car leases are a total rip-off.
Whether it makes sense to pay off/down your house depends upon a number of factors and we couldn't assess the pros/cons without more information.

Let me just say that in my case the 5.5% (~4% after deductions) 30 yr mortgage is "cheap debt" and I wouldn't pay this off early even if I had the cash sitting around in my bank account to do it.

OTOH, I do not like auto-loans (and hate leases) as these are typically much more expensive and offer no tax breaks.

Also you mentioned wanting to invest "without the short term liability's hanging around my neck (aka: credit cards, loans)", yet this line seems to contradict the preceding one "But no loan or credit card debt.) (Please resist the "you'll run it back up" argument) :-)"

Do you, or do you not have non-mortgage debt & non-auto leases?

If you do have them (no need to tell me!), then I highly recommend reading &/or posting to the Credit Card & Consumer Debt board, they have a bunch of useful information even if you intend to only lurk.

Jim
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