Monday, January 21, 2008

Congressman Kuhl Cosponsors Bill to Help Homeowners

Congressman Kuhl has cosponsored a bill to help homeowners with adjustable rate mortgages "to withdraw up to $25,000 from retirement accounts such as IRAs and 401(k)s without the standard 10 percent penalty in order to avoid falling behind in mortgage payments. In addition, the withdrawn funds would not be taxed if repaid into their fund within five years." To be sure, there is some criticism to the bill, mostly because of the fact that the funds would come from one's retirement savings, but if it's the choice between having a larger nest egg in the future or keeping your home right now, I think most would prefer the latter choice.

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