I know that when you buy your first home you can you use 401 ira towards the down payment of your first home.With my existing home can i use 401k money towards paying an existing home loan without being penalized or the whats the lowest penalty??
Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!
You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!
You should call your plan administrator. I think many plans would allow a loan for financial hardship reasons etc...
Taking a loan like this is really a bad idea and if you separate from your employer for any reasons you have to repay the full amount outstanding on the loan.
I highjacked a rainbow and crashed into a pot of gold - Bon Jovi
RED ALERT! Taking a loan from your 401(k) is generally not a good idea. Besides the fact that you have to repay the loan in full usually within 60 days if you leave the job, you may be seriously limiting your retirement finances.
Suggest you visit the 401khelpcenter for more information. Here's a link:
This community was started in 2002 as an alternative to a then fee only Motley Fool. The focus of the discussions is on topics related to early retirement and financial independence. The community is moderated to ensure a pleasant experience for our members.