How to Take a Loan from Your Retirement Account
If your plan allows for loans, you can make a loan request through your online retirement account or via the paper form that’s available through your employer.
Here are steps for requesting a loan online...
- Log into your online retirement account at https://www.erisa.com/login
- Click the Loans menu option located under Loans & Withdrawals
- Click the Model/Request a Loan button
- Select your loan specifications and click Calculate Payment
- Click the Request Loan button and follow the rest of the prompts
- One the last page, click Submit
- You will receive a DocuSign email to e-Sign your promissory note and your employer will be emailed to sign next.
- Once the documents are signed, your loan will be issued and loan repayments will be setup in your company’s payroll system to automatically deduct loan repayments each payroll cycle.
Keep in mind that your loan available amount is limited to the lesser of either 50% of your vested account balance or $50,000. Your highest outstanding loan balance in the past 12 months cannot exceed these limits either. So you may notice that your amount available may be less than expected if you have other outstanding loans.