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Showing posts with the label 401kloancheck

401k Loans Explained (You Should Take them More Often Than You May Think)

Should You Borrow against your 401(k)? In this video, CERTIFIED FINANCIAL PLANNER™ Professional Colin Exelby discusses this controversial topic. Some people think 401k loans are great planning tools and others say they are horrible. Which is it? Have you ever been told never, ever borrow against your 401k? Were you taught this by your parents? Did some financial advisor tell you that? Did you ask why? In my opinion, taking a 401k loan or TSP loan can be a good call in certain situations. Mostly when money is needed quickly and the repayment period is short. Like an emergency! Stick with me, and I’ll give you the ins and outs of 401k loans, when it makes the most sense, and why you shouldn’t follow old, outdated advice! TIME STAMPS : 00:00 Should you borrow against your 401(k)? 02:51 Ways to take money out of your company retirement plan 03:58 How does the loan work? 05:23 What happens to your investments when you borrow from them? 06:26 How do you pay it back? 08:08