Times are tough, and many people are looking for help paying the bills, even dipping into their retirement money. But is it a good idea?

Charlie and Nancy Powell know what it’s like to owe a lot of money. At one point they had $33,000 worth of debt.

At least twice in their more than 20 years of marriage, the Bellingham couple has racked-up tens of thousands of dollars on their credit cards -- Spiegels, American Express, Discover Card, Mervyns, Shell Gas Card, etc.

"We had a lot of credit cards which we used, and we used, 'til the limit. And then when you get to the limit and there's no more there, that's where the problems come in," said Nancy Powell.

"Charging like 23-percent interest and then a late fee over that, then an over the limit fee. This is the reason why you have to dip into the 401k, then when you did that to just get caught up, " said Charlie Powell.

The Powells did what most financial advisers would never suggest and their own advisor didn't even know. They borrowed against their 401k retirement account to pay off their credit card debt. Then, they cashed it out completely to pay off credit card debt a second time.

They dipped into their 401k too many times, although they only had it for 10 years.

The Powells said for them it was the right decision only because between the two of them, the Georgia-Pacific retirees will have not only Social Security, but three pensions when they retire. Pensions that the Powells believe will support them for the rest of their lives.

They admit, they only took their 401k money as a last resort.

"To me, if you don't have any other options. I would never have touched it," Nancy said.

"We don't recommend that anyone ever dip into their 401k," said Christopher Lombardo of Clearpoint Financial Solutions.

Lombardo is the Director of the Western Region for Clearpoint Financial Solutions, a non-profit credit counseling service that helps people clear their debt and manage their finances. He said it's almost always best to leave your 401k put.

"There are just too many risks involved and it's certainly something that no one should ever enter into without really thinking through all of the possible consequences," Lombardo said.

Lombardo also said there are stiff penalties if you can't repay the loan, especially if you somehow lose your job. Also, if you borrow before the age of 59-and-a-half there's usually an automatic 10-percent tax penalty. Plus other penalties you should really explore.

“The thing you have to remember is that anytime you take out a loan against your 401k, you're losing that future interest that you would have been gaining on that income. That's probably the most important thing, is that you're borrowing against your future," Lombardo said.

Lombardo said there are a few times when borrowing against a 401k might be a good idea. These include if you're buying your primary residence, or if you're going back to school. He also said that there are other financing options for both of these investments that should be explored before you dip into your retirement.

Lombardo said he's glad to hear the Powells are now living debt-free, but wants to point out that their situation is unusual.

"It's pretty rare. Those individuals were really lucky because they had other retirement resources that they could fall back on. Unfortunately, most of us don't," Lombardo said.

The Powells are certain that they'll never be in debt again. Partially, they said because of budgeting advice from a counselor at Clearpoint Financial.

The Powells said without the financial advice they would probably have filed for bankruptcy.

Now the Powells have no more credit cards and only a cash visa.

"No more debt. No more credit cards. If you can't pay cash for it, don't buy it," the Powells said.

Everyone's financial situation is different. If you want to know your best option for getting out of debt Clearpoint is endorsed by the Better Business Bureau. Lombardo said they never turn away anyone because they're not able to pay a fee.

There are other credit counseling services out there, too, but be careful and check them out with the BBB to see what their fees are like -- before you end up owing them money, too!