New Loan, Withdrawal Options on Tap

Other changes related to the new computer system include: there is no longer a limit on the number of times a loan can be re-amortized; general purpose loans can be taken out for up to five years rather than four; partial repayments of loans are allowed; repayments can be made with personal checks and not just with guaranteed funds; the process for applying for a financial hardship in-service withdrawal has been simplified; one-time partial withdrawals after retirement or separation are allowed for those who did not take an age-based in-service withdrawal; mix-and-match withdrawals are allowed, replacing a requirement that a withdrawal be for the entire amount in an account; the option to take “substantially equal” monthly payments according to a set number of months has been ended; those who take “substantially equal” monthly payments according to a set dollar amount will be able to change that amount at the end of each year; and those who take “substantially equal” monthly payments according to life expectancy will be able to make a one-time switch to a set dollar amount.