Thank you in advance for any advice!
Pretty simple question:
- I have an existing plan with my previous employer, I am no longer with them.
- I have a outstanding loan on that plan.
- I am setting up a new plan under my own LLC, a Solo 401k.
- current plan will not let me transfer the loan, and will also no longer allow me to make payments against it....so it IS going to default and there seems to be nothing I can do.
- Can I borrow money to pay off the current plan (from my HELOC), move all the funds, then take out a new loan from the new plan to pay off the HELOC?
The original loan was opened in Sept 2023 for 50kDo I have to wait until after sept of 2024 to take out a loan from the new plan?It seems that if it is with a different company completely maybe not....?
I have researched this a lot but cannot seem to find it.