Credit card debt-can my pension help?

HELPPLEASE_5

I have mounting credit card debt---but have saved a solid amount in a pension which would clear all the debt and more-however i am only 41 years old can i release this money in anyway or use the penion to clear the other debt.

Reaper

No.

As far as I can remember from the distant past when I learnt about these things, you can not even promise to repay a debt with the future proceeds from your pension when you retire and are entitled to it. Such an agreement is not legaly binding and therefore no companies can use it as security for a loan.

This is a good thing. Your pension needs to be protected from creditors.

To tackle your debt I suggest you start by reading this article on the main site.

HELPPLEASE_5

Thanks for your help-alas it does seem a good idea but means i am still in my nightmare situation -oh well back to the drawing board--anyone else help.Big debts --but cash in pension to cover?

Martinslovechild

How about releasing some equity from your property? This would certainly cost you more for the debt in the longer term, but would solve your immediate problems and you could maybe make headway with the debt once you're back on your feet financially?

HELPPLEASE_5

Alas not a home owner otherwise would be the answer but thanks anyway

Robert_Sterling_3

Could you increase your income.
Overtime?
Additional part time job??
Whatever ???

Could you reduce your expenditure.
Give up something?
Cut down on something??

Martinslovechild

OK,

You need to post your questions in the Debt area - there are similar cases to yours and you should get lots of helpful suggestions.

You could start off by talking to Citizens Advice.

Martin mentions three companies in his article about managing debt.

https://www.nationaldebtline.co.uk Helpline 0808 808 4000
https://www.payplan.co.uk
https://www.cccs.co.uk

johnllew

Even if you could use your pension this way (and it's pretty clear you can't), you would jeopardise your retirement. Better to sort out your debt problems now by other means and leave your pension fund intact.