Cash In Investment To Pay Off Debt?

[questions]

I am 57 years old and have 3 investment accounts. One is from a co I worked for several years back and is just sitting there with no contribution being made to it. It is only $6400. I have a cc debit that is $5500. Should I cash in the $6400 as I will have to pay a 10% penalty plus 10% taxes on it. My husband and I want to get out of debt so we can enjoy more things.
Thanks

[sweeps]

Re: Cash In Investment To Pay Off Debt?

You're so close to 59 1/2, why take the 10% penalty? Also the tax bite will be at your top tax rate (probably a lot more than 10%).

The bigger question here is why do you have credit card debt that you can't pay back? Are you working? Do you have enough money to retire on? It concerns that me that you want to pay off the debt just so you "can enjoy more things".

[disneysteve]

Re: Cash In Investment To Pay Off Debt?

Certainly not! No way should you be raiding your retirement accounts, even the little ones, to pay off a relatively small amount of debt. You'll pay $1280 in taxes and penalties to get that money out. That just makes no sense.

I obviously know nothing of your situation, but I'm very concerned about a 57 year old, just a few years from retirement, looking at this as an option. Have you no other assets? Emergency fund? Savings? Non-retirement investments?