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Originally Posted by Amano
What kind of IRA is it? My understanding is that if it's a Roth IRA, you can take out the principal without penalty at any time. For example, let's say you had 10000 that you put in over a period of several years, from which you've earned 2000 in interest (so 12000 total). I'm pretty sure you can take out up to 10000 without early-withdrawal penalty.
Can someone confirm this?
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In most cases you can take out the original contributions to roth's without penalty (exceptions apply to converted IRA funds). Original money first, then earnings, which are subject to a 10% penalty if under 59 1/2 and certain exceptions do not apply (and income taxes even if you meet said exceptions).
For original poster - you'll lose around 35 - 50% of your IRA withdrawal for taxes to pay down consumer debt. Might be better to find another way.