Credit card debt can become overwhelming. Often in a desperate effort to avoid bankruptcy, individuals will borrow against or withdraw their pension or retirement savings to pay down at least some of the debt. In certain circumstances, that can help. But often, the pension loan is just a short term remedy and a bankruptcy has to be filed anyway. Except now, the individuals have reduced their retirement savings. Initially it should be noted that retirement savings are typically protected in a personal bankruptcy meaning that asset will not be lost or liquidated during the bankruptcy. If the unsecured debt is not significant and the pension loan can payoff the debt, and the loan payment is less than was being paid, the pension loan could work. However, if credit cards remain and now the individuals are paying credit card debt and a pension loan, then it may be that bankruptcy from the start may have been a better solution. Certainly before borrowing further, it would make sense to schedule a free consultation with an experienced attorney to consider the advantages and disadvantages of each option.