Debt

1. Questioner: Gloria

   Question: I am caring for my ailing husband at home. Our Long Term Care insurance pays for four hours of Home Health Aide care daily. Additional daily help is now required. I estimate it will cost $3500 monthly or $40,000 a year. My husband (age 75) has an IRA equal to that amount. Is there any way to use it to pay for this medical expense without paying the high tax? I looked into opening an HSA but our Medical Insurance deductible is only $500. I am 60 years old and still employed. View Answer

2. Questioner: shar

   Question: We incurred a large credit card debt and are working with a debt consolidation agency to slowly pay this off. My husband had 401k from previous employer about 10 years ago that he has in mutual funds. He is presently not eligible thru his current employer to get into anything else as they do not offer anything. He turns 59 1/2 this month. Would it be smart to take out the money, knowing it will be taxed but no longer penalized, and pay off the credit card debt and then be able to free up our monthly obligations to start re-saving for retirement. View Answer

3. Questioner: Brooke

   Question: I have recently switched jobs and had the option to leave my 401(k) in my previous employer's account. My vested balance is just under $4000. I have one credit card left that needs to be payed off and its balance is under $5k. I still have student loans that need to be repayed and was wondering if it would be a better option for me to get rid of the credit card debt completely by cashing out on the 401(k)? View Answer

4. Questioner: Ann

   Question: Hi. I am 57 and what is left of my retirement funds is about $150K in an IRA. I am going through a tough time financially and considering withdrawing about 30K of the money to pay off high interest credit cards.  My income dropped three years ago to about $50K/year and I used the cards to get by thinking I would be able to turn things around, but it looks like this is will be my income for the near future. Do you have any advise for me?
   Thanks - Ann View Answer

5. Questioner: zzz

   Question: I am 68 years old Texas resident. I have a rollover IRA from my 403B, it is the only income and no other assets. I stopped paying the credit cards payment because I couldn't afford to pay when I retired due to health problems. Can the cerdit card garnish my IRA without filling bankruptcy. Thanks View Answer

Ask The Expert

Got a question? Need some advice? Send me your questions and I’ll respond to it. Please visit the ask the expert page to ask your question.

Disclaimer | Privacy Policy | FAQS | Forms