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|Subject: Re: Poll: 401K Roll it? Take it?||Date: 4/4/2007 12:35 AM|
|Author: MarinBMWZ4||Number: 56580 of 83105|
After reading the other thread from the OP and considering the new info:
Roll it over.
Half of the CC debt ($6500) is at a 0% intro rate after a balance transfer. I'm assuming the rest is at 18% or less... Making the average interest rate 9% or less.
He's taken responsiblity for being in debt and is willing to make some sacrifices to pay it off.
At this point, there's almost no way to recover from the loss of capital he'd suffer from cashing out.
I would start researching the term "snowballing" (OK, don't even go there you guys...:)...here on the MF. Try the Living Below Your Means board. The basic premise is to pay the most expensive rate down first, then add the payment from that loan to the next loan and so on and so on. Kinda like the hair club for men of loans...
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