You look at your 401(k) statement and see a solid balance, just sitting there. Then you look at your credit card bill and see the 20-plus percent interest adding up … and up. You might be tempted to think: Why not use some of those savings to wipe the debt slate clean?
It’s a question millions of older Americans face. According to a March 2025 AARP survey, 52 percent of adults ages 50 to 64 and 42 percent of those 65 to 74 carry a credit card balance from month to month. More than a quarter of these older adults owe $10,000 or more, driven by everyday expenses, health care costs and credit card interest rates averaging 21 percent as of late 2025, according to Federal Reserve…