The Vanguard Group said new data showed around 13% of its customers took out a loan on their 401(k) retirement funds in 2023. Elizabeth O'Brien, senior personal finance reporter at Barrons, joins CBS News to discuss the pros and cons of tapping into
When you take out a loan from your 401(k) plan, you’ll get terms like you would with any other type of loan: There’s a repayment plan based on how much you borrow and the interest rate you lock in. According to IRS rules, you have five years to pay back the loan, unless the...
Taking Out a 401(k) Loan? Be Ready to Repay if You lose Your Jobdoi:urn:uuid:efe26434752a2310VgnVCM100000d7c1a8c0RCRDThe costs of taking out a 401(k) loan.Gary ForemanFox Business
Loans and withdrawals from workplace savings plans (such as 401(k)s or 403(b)s) are different ways to take money out of your plan. A loan lets you borrow money from your retirement savings and pay it back to yourself over time, with interest—the loan payments and interest go back in...
However, our concern is whether a TSP loan is the correct source of capital, not whether the borrower should be taking out a loan. Under Scenario 1, if there are no other reasonable ways to borrow money (outside of consumer debt, credit cards,TSP hardship withdrawal, and other high-intere...