Some financial advice is so oft-repeated that everyone takes it for granted: You shouldn’t bring debt into retirement. Debit cards are safer than credit cards. Older folks should invest more conservatively. As they used to say on Seinfeld, yadda yadda yadda.
The problem is, a lot of that is bad advice. At best it fit a bygone era; at worst it was never right and is dangerous.
Here is a list of my least favorite financial chestnuts.
- “Don’t take a mortgage into retirement with you.” That may have made sense when interest rates were high, but even after recent hikes mortgage rates are still close to their historic lows. Anyone who refinanced in recent years is probably paying less for that money than they will on any other loan they could get now or ever again in the future.