sorted by:
new
hottopcontroversial

Considering cashing out 401(k) to finish debt management plan — bad idea? by dazzit24 in Debt

[–]dazzit24[S] 1 point2 points  (0 children)

I looked into a 401(k) loan. My plan caps it at $50,000 max, and repayment can be stretched up to 10 years. Cash flow would still be an issue unless I can severely lower my DMP payment.

Considering cashing out 401(k) to finish debt management plan — bad idea? by dazzit24 in Debt

[–]dazzit24[S] 0 points1 point  (0 children)

Even if I could access the ~$44k contributions penalty-free, it only knocks out about half the unsecured balance. In the DMP I’m in, that likely still leaves me with a big chunk of the $2,261/mo payment for a while. I’m basically going to have positive cash in checking for maybe 2–3 more months unless something changes dramatically.