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If I have paid off most of my previous 401k loan ....can I pay the rest of and apply for another loan ?

I borrowed 4000 about a year ago and I owe around 1500 left... I want to pay this off and apply for another loan ...is this possible?

May 03, 2017 in  |  Flag
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Simon Sun Level 1

Hi, It depends on the policy of the company. Some companies have the gap period from the repayment of the last 401K loan to the next loan. You should be able to find out the detail in the your 401k plan disclosure.

However, I do not recommend taking out money from your 401K unless it's for a legit reason because 401K is the money you are going to use for retirement. How are you going to retire if you don't have any money saved for that goal.

Comment   |  Flag   |  May 10, 2017

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