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DK

BAR wrote:
John H. wrote:
On Wed, 20 Aug 2008 17:30:52 -0400, "D.Duck" wrote:

"John H." salmonremovebait@gmaildotcom wrote in message
...
On Wed, 20 Aug 2008 17:11:53 -0400, "Eisboch"
wrote:

"Vic Smith" wrote in message
news On Wed, 20 Aug 2008 16:33:11 -0400, John H.
salmonremovebait@gmaildotcom wrote:

On Wed, 20 Aug 2008 15:28:48 -0500, Vic Smith
wrote:

On Wed, 20 Aug 2008 16:16:32 -0400, John H.
salmonremovebait@gmaildotcom wrote:

Would it be a wise move to take out a loan on your home to buy
stocks?

Would it be a wise move to sell stocks to pay off a loan on
your home?
A lot has to do with your personal view on risk and holding debt.
Personally I hate any debt.
Since *nobody* can accurately predict what the stocks will do, it
comes down to that.
Well, I guess that was no help at all.

--Vic
When I bought the house, I was holding a lot of debt. I'm still
holding
some debt on the house.
Taxes are tricky. I'd love to knock off the rest of my house debt,
but the tax hit in cashing in a CD doesn't give advantage.
If it was less than a grand costs I'd do it anyway, just to clear the
debt. Like I said, personal view.

--Vic

Having spent most of my life in debt, I don't understand why
anyone wants
or needs it (except banks) once they are in a position of paying it
off.

We own three houses and hold a mortgage for a forth (sold it and
are acting
as the "bank").

We don't have any mortgage payments or debt. We pay credit card
balances
off every month.

I've been advised that's bad because we don't get any tax advantages.

But, to me, it isn't worth it. Why pay somebody interest, just to
get a
write off on income taxes that does not equal the interest paid?

Eisboch

I've never understood the advice to pay interest for the tax break.
Where
is the break in giving away $1 to get 30 cents back? Seems like 70
cents
got lost there somewhere.

I can understand holding debt while building a savings account, but
once
the cushion exists, I can't see the reason for it.
--
** Good Day! **

John H
You're on the right track. When your nest egg is secured payoff all
debt as soon as possible.

The only debt I have now is to Circuit City for the HDTV we recently
purchased. Reason, interest free for two years. The money stays in
the money market account (earning interest) and is extracted 100 bux
at a time each month.

That's the way to do it. Hell, I put our travel trailer on VISA because I
get a 1.25% rebate on the purchases. The dealer didn't like it a bit,
'cause I didn't tell him until after we'd negotiated a price, signed the
papers, and he said, "How would you like to finance this?"

I have a credit card that has a 5.5% interest rate. Same rate as my home
equity line of credit.

The CC interest isn't tax deductible.