Did you know there's a 401k Debit Card?
There is proposed legislation--the Seal 401k Savings Account --that would change the way loans are done from your retirement savings account, with a 'seal' on current leaks.
Cynthia Scott, from OMC financial, outlined two of the major changes:
>The proposal would allow an employee to continue contributions to the 401k, after a hardship withdrawal.
(right now, you have to wait six months, so, if you have an employer contribution, you lose that 'extra' money)
>The proposal would ban the use of 401k debit cards. Right now they are not widely used, and are mostly offered online, but they tap into savings in exchange for high user fees.
see the May 23rd story (below) for more Seal Act proposed changes
