Are you a caregiver? Tell us how you plan your getaway with loved ones for a chance to enter a weekly prize drawing.
From the AARP Bulletin Print Edition, November 1, 2009
Q. I’m 63 and want to retire at 65. My only debt is a $79,000 mortgage. I’m about to inherit $120,000. Should I use that to pay off the mortgage, or should I invest it?
A. Unfortunately, there’s no simple answer.
In today’s environment, cash is particularly valuable because it gives you flexibility. If you have few assets for retirement, consider keeping the mortgage and holding the $120,000 in fairly conservative investments.
If, however, your mortgage carries an interest rate above 7 or 8 percent, it might make sense to pay down the debt or refinance.
Consider consulting a financial adviser (visit www.fpanet.org) before making a decision.
Source: Philip White
Please leave your comment below.
You must be logged in to leave a comment.
Members can print free coupons at the Grocery Coupon Center powered by Coupons.com.
Members save 25% on purchases of $200+ and get free basic lenses or 25% off lens upgrades.
Members save 10% on their check every day.
AARP members receive exclusive member benefits & affect social change.
You are leaving AARP.org and going to the website of our trusted provider. The provider’s terms, conditions and policies apply. Please return to AARP.org to learn more about other benefits.
Your email address is now confirmed.
Manage your email preferences and tell us which topics interest you so that we can prioritize the information you receive.
Explore all that AARP has to offer.
In the next 24 hours, you will receive an email to confirm your subscription to receive emails
related to AARP volunteering. Once you confirm that subscription, you will regularly
receive communications related to AARP volunteering. In the meantime, please feel free
to search for ways to make a difference in your community at