>> I have recently found out that we owe a lot in credit card debt.Does it make sense to borrow from my IRA or 401 K to pay off the credit cards?

Hi Dede,

I read through your thread (which veered off to the subject of medical debt) and noticed with dismay that you haven't posted again.

I hope you are finding ways to pay off your debt which won't harm your future. I paid off over 40k in credit card debut, but early in my misadventures of debt and poor financial habits I borrowed against my 401(k), and later drained it (poor choices on my part because I have less money for retirement and the cost of living keeps going up and up). Later I racked up even greater cc debt.

I have been debt free since October 2007 and am working on funding my retirement while "living below my means". I've always had a "spend it until it is gone" mentality (be it card cards or cash).

Now that I'm back to living on a monthly budget I've recently switched my charity/cause column from annual to monthly (and upped the amount). I am excited because this means I now have 12 different charities or causes I can contribute to in a year instead of just one. I couldn't have done without budgeting.

When you are debit in debt I believe that the first step is to figure out where your money is going. Sometimes you will be amazed at how much you've been spending in a certain category. The second step is to create a budget so that you can decide where you want to channel your money. The people on this board can help you with this.

I hope we will hear from you soon.

Sincerely,

Shire