Ask a baby boomer or Gen X-er what type of debt they're grappling with, and most will tell you it’s credit cards. One way out: Tap a retirement account to pay it down. The move comes with a lot of caveats, but it can solve a gut-wrenching financial worry and clean the slate, especially if you're nearing retirement or already retired. Credit card balances have soared higher in 2025, according to the New York Fed. The average revolving credit card balance for Generation X is $9,600, and for baby boomers, i ...