The company I work for switched from a PEO (place of employment organization (where technically I worked for this group in order to get better benefit) to a standard payroll company so now I technically work for my employer. The payroll company has a different 401K company that we now work through but the loan won't transfer over. The financial agent says it's a Trust to Trust so it won't go over. He says in the eyes of the financial world I quit one job and started working at another. He suggests I borrow the money from someone to pay the origional loan and then take a loan once the money transfers and then pay that person back. Or just let the loan default and let the company keep the money (along with taxes and pentalites). Is this right? If I didn't do anything why should I get screwed?
2006-08-11 06:50:44 · 2 answers · asked by butnozzle 2 in Business & Finance ➔ Personal Finance
He's right. You should borrow the money otherwise you are going to owe $$$ at the end of the year. See if you can borrow for 2 months until you get your new plan/loan set up.
2006-08-11 17:03:48 · answer #1 · answered by personal_finance_101 3 · 0⤊ 0⤋
yes, you get screwd. he is right. a LOAN is a LOAN and it demand to pay it back. that the lesson learn. Before changed jobs, you should pay the loan back first. Just a lesson learn in life
2006-08-11 16:03:38 · answer #2 · answered by Hoa N 6 · 0⤊ 0⤋