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No. of Recommendations: 6
My personal view is that no, you should not go into debt to invest in stocks. It seems to me that you would be borrowing at something like 15% to get a reasonable return of perhaps 8% if you are really good at investing. That is a losing bargain every day of the year. (Think you can do better? Maybe you can. But I suggest you prove it with some genuinely available cash before taking other risks.)

I'm not sure I understand what your goal is in raiding the retirement account. Would that be to go the other direction and pay off debt that's at something like 15% with money that is only earning 8%? That may be reasonable, but you will need to think through the tax and other implications. AJ and others who are financially incredibly savvy can give you better advice than I can on that part.

What I will say is this. You've reduced your debt by $10k. That's about the same as losing 50 pounds. It's brutally hard. Even harder is continuing to build the habits and practices that make this way of doing things absolutely standard and automatic. Though the remaining debt may be weighing on you, it is also forcing you to learn to think, act, and live differently than you did before. It may actually not pay off in the very long run to short-circuit that learning process.

ThyPeace, this kind of discomfort is the feeling of growth. Feels yucky, I know.
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