Dear Bruce: I damaged my car on two separate occasions. My insurance is a $500 deductible, and the estimate to fix it is $1,655. I can hardly afford the $500, let alone $1,000, as it will be two deductibles. My son says I should pay the car off with my CD ($5,000), which would just about cover the cost. Then I could put the monthly payment into my savings. The interest rate on the car is more than the 2 percent that I'm getting on the CD. If I did this, it would leave me with no backup, but I've always had to live payday to payday anyway. I could trade in the car, but I probably won't get $5,000 toward a trade, even if I get it fixed. I'm 75, and I don't want to be in debt anymore. Should I pay the car off and drive it as long as I can? My only worry: a large bill if something goes wrong. — P.S., via e-mail

Dear P.S.: You've put yourself between a rock and a hard spot for a number of reasons. First, if you place the two minor claims, there's a strong likelihood that will probably raise your premium substantially. On the other hand, you technically have a legal obligation when the collateral for your loan is damaged to have it repaired. Furthermore, since you are only getting 2 percent on the CD, I tend to think that your son is correct — get rid of the CD, pay off the car and put those monthly payments into a savings account to get your principal back. All the way around, there are no good alternatives, but that is probably best.

Dear Bruce: I am 26, and I have a job that provides housing. The problem is when I retire in 30 years, I will have to find my own housing. Right now, 6 percent of my salary goes into a retirement account. I will withdraw it when I retire at 53, at about 50 percent of my highest three years' salary. I doubt I will ever earn more than $35,000. Should I try to buy my house now, or wait until I retire? — Reader, via e-mail

Dear reader: It's unlikely that you'll be doing the same thing in 30 years. Since you are saving a certain portion of your salary for retirement, you are on the right track. Understand that very few of us keep the same job for 30 years. I would just make your plans year to year and not worry about the distant future, other than to contribute to your retirement account.

Dear Bruce: My father-in-law, 96, is living with us. His wife passed away six months ago, and they have two wills, which read the same, all going to the surviving spouse. Do we need to go to probate? Does he have to make a new will? He lives in California. — J.M., via e-mail

Dear J.M.: You didn't mention what assets were involved, but it would be safer to probate the will in the appropriate California county court. The overwhelming likelihood is that there will be no federal or state taxes unless the estate is huge. If that's the case, it must be probated. The father should draw a new will. Even if the original one provides for alternate beneficiaries, it would be cleaner. It should clearly state how real estate and any personal property, etc., will be shared. It is so much easier to sort it out before someone passes away.

— Send your questions to Smart Money, P.O. Box 2095, Elfers, FL 34680. E-mail to bruce@brucewilliams.com.