craigslist and ebay are your def. friends here! once a month i go around the house looking for things to sell that i don’t need/want any more, and can get $50 easy each time.

yard sales are also great, but i’d go w/ CL first. but when it comes down to it you gotta do what your most comfortable with i’d tend to follow the one that helps you sleep better at night.

Definite tax impact! You’re going to be penalized for withdrawing early.
Your husband is close to retirement age (only 15 years away from the SS-late retirement age of 67, and only 10 years from early retirement). Do you feel confident you’ll be able to replace that 40K + interest + penalties + continue to contribute?

Now, you said your hubby has toys. So does mine. And he knows that all that stuff is the first thing out the door if we were ever at the point of being totally stressed out.

It took you a long time to get that far in debt, so it’s definitely not easy to get out. And I know this is an instant fix…but the long term consequences might be worse!

I’d sell the toys, go through every room in your house and sell anything and everything that you can. Hold a garage sale for the bigger stuff. People will buy broken vehicles and tools! You’d really be amazed at what you can sell and make pretty good money off of. Do you work? If not (or even if you do) have you contemplated a second job for some extra income?

Have you attempted to get balance transfer offers from your credit card companies to lower interest? Have you just tried to get them to lower it to save you money?

All of the above are things you’d have to do to replace that 40K!

But in the end, it is your decision. Have you considered calling a financial advisor at the 401K company to see what they say? They are the experts! Be prepared to tell them everything including how much debt you have, how much you want to live on when your husband retires, etc.

Keep us updated!