Maximum loan amount on multiple loans

[Guest PensionAdministrator]

In calculating the Maximum Regulatory Amount available for a Loan, does a Participant's "Current Vested Balance" include or exclude the current outstanding loan balance?

[Belgarath]

Included. So, for example, participant has vested account balance of 50,000, with a 5,000 outstanding loan. When calculating the maximum loan allowable, you'd use 50% of 50,000, not 50% of 45,000. So maximum would be 25,000, reduced by highest outstanding balance in the last 12 months, etc...