Advice Amid Market Turmoil: Don't Panic!

Ride out the storm and hang on to your 401k, experts say
By Kevin Spak,  Newser Staff
Posted Jan 22, 2008 12:55 PM CST
"This is a great time to get rid of credit-card debt," said one advisor. "It's high-interest [debt], you can't deduct [the interest], and it puts more pressure on the cash you have to work with."   (
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(Newser) – If you’re watching today’s economic news with trepidation, financial experts want you to take a deep breath. “This is not the beginning of the end,” said one analyst. “If you’re going to invest in stocks, this kind of volatility comes with the territory.” Instead of selling with the crowd, analysts suggest you keep funding your 401k and paying down debt, MarketWatch reports.

Analysts say it's time to stick to your 401k guns rather than running for the hills with everyone else. “That’s not the way to make money,” one financial planner said. “Go against the grain and you’ll make a whole lot more.” At the same time, paying down credit card debt is a good idea because it will improve your cash situation down the road.