Stash026 Posted April 1, 2020 Posted April 1, 2020 One of my plans limits the number of loans to 3. Does the CARES Act override that or can the Plan continue to limit the number of loans under the law?
mattmc82 Posted April 1, 2020 Posted April 1, 2020 i see nothing that overrides that. cares act provisions are discretionary so the employer could decide on changing loan policy Ebplans 1
RAH401(k) Posted April 2, 2020 Posted April 2, 2020 I agree with mattmc82. The CARES Act does not impact if/how many loans are allowed by the plan document. If the plan does not allow loans, it could choose to allow them at this time, or not. If a plan only allows three loans (or one loan), the CARES Act doesn't change that. A Plan Sponsor could certainly choose to amend the number of loans allowed at one time, but the CARES Act does not do this automatically. Ebplans 1
Recommended Posts
Create an account or sign in to comment
You need to be a member in order to leave a comment
Create an account
Sign up for a new account in our community. It's easy!
Register a new accountSign in
Already have an account? Sign in here.
Sign In Now