Sen. Rand Paul (R-Ky.) has introduced a bill that would allow students and parents to make penalty-free withdrawals from retirement funds to pay for college or repay their student loans.
Not surprisingly, investment advisors are worried that Rand’s solution to rampant student loan debt may create more financial problems than it solves—especially as retirement rolls around for woefully unprepared Baby Boomers and their adult children.
“This is politics from people who know nothing about finances. You don’t rob from your future to pay for college,” Ed Snyder, president of Oaktree Financial Advisors in Carmel, Ind., told Financial Advisor.
More: Rand Paul Bill Would Let Americans Raid Retirement Funds To Pay For College