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Loan from my 403B

Posted on: 07th Feb, 2009 08:22 am
I tried to take a loan from a 403b plan the investing co. rejected it saying it does not fall within IRS regulations . The Loan was to pay off my daughter's school susidised Loan hat charges high interest, she does'nt have enough income to pay it .. THX
Firstly, you can borrow upto a maximum of 50% of your 403B account balance or $50,000, whichever is lower and you can borrow the money from the account till the time you retire. Now, the reason for rejection may be because the loan amount you have applied have exceed the maximum amount permissible. You can check it out and apply again. You can borrow from your 403B account for any reason.
Posted on: 10th Feb, 2009 04:14 am
Hi,

The IRs has issued new rules for 403b plan. So, may be you didn't qualify under those rules. You need to talk to the investing company and find out which criteria you couldn't satisfy. You'll find the latest rules on 403b plan at http://www.irs.gov/retirement/article/0,,id=172433,00.html .

Good luck
Posted on: 10th Feb, 2009 04:25 am
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