If you want to go that route, borrow the money from your 401k, take it to the bank, deposit it in a 12 month CD, take out a signature loan for the same amount using the CD as collateral. No bank will turn you down. You can even probably deduct the interest on the 401k loan because you invested the money. You'll have to pay the interest cost of course, but that's it. Marvin wrote: ------------------------------- If I borrow money from my 401k plan, is it possible to have the payments shown on credit report?
How do CDs work? What's usually the minimum % you get return and how much is the min. for the amount to get one and what is the length of the term?
401k loans have to be for specific reasons, education, medical, and house purchase (as far as I know)...unless you are 62+ or 65+ (what ever today's retirement age is...)
Not True You can take a loan out for any reason, as long as you pay it back. If you fail to pay it back, they will take it out of you're 401k, and sock you with 20% taxes, and 10% penalty. Some employers my make restrictions on the loans, but I can take a loan out on mine over the internet, and nobody even asks me what it's for.
