My Debt Blog

So the good people at Fidelity informed me that an existing pension plan has rolled into my new IRA. Right now I have $4723.97 sitting in a cash reserve account not doing anything. There’s a number of various investments I could do with this money. The other option would to take a hit and cash it out. There are things to consider though in order to withdraw money from an IRA.

Right now my Bank of America credit card balance is sitting at $3738.50. This left over amount along with a little extra to the minimum payment already due would clear that card completely. I would really like to rid my life of this stupid credit card, but is it worth the temporary sacrifice of an IRA? This is the debt reduction side of the argument though because I have debt on the brain right now.

My other option is to take that money and invest it in something. Right now with the market actually being down over 20% it means everything is on sale! At some point the money put in at a low point will be worth more as the market comes back up over time.

The last option and sometimes best when you don’t know what to do is to do nothing. There are always two options to every decision in life, something or nothing. Nothing would just keep this money in the cash reserve not doing anything. I think this is where I am at this month, but still weighing my options as I described earlier.

Question for my readers: What would you do: clear debt, invest, or nothing?

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