Message Font: Serif | Sans-Serif
 
No. of Recommendations: 0
*bump* - So what did you do?

The big problem I would see is that by pulling out now, you pull out at the bottom of the market. That's realizing a lot of paper losses.

I expect that in 6 months, the markets will have regained a good bit of health. Not all, but a good bit.

Another way to look at it is this: If you have revolving credit card debt, you are taking on an automatic 20%-ish LOSS every year. So paying off credit card debt makes sense if your after-tax loss on the money is greater than your expect pre-tax gain. (Is it a Roth? Otherwise, you'll pay a penalty on the way out.)

If you have friends who are handy, you might want to consider buying your own shingles/OSB and throwing party. Then you'd be able to pay off credit cards, get a roof, and keep a couple bucks in the IRA.

Again, I'm curious. It's been a month - what did you do?

--heusser
Print the post  

Announcements

What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.
Advertisement