401 K default question

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therocker1028	401 K default question	Lead	[-]
Posts: 1 (03/03/08 17:34:07) Reply Quote More My Recent Posts Message Me Connection Blocking Invite Ignore User's Posts	I received notice that my 401 K loan was defaulted. I never received any kind of warning that I was late on payments or about to default. The plan administrater never provided any kind of monthly statement,etc to notify me of my payment that was due,I just had to remember to pay on a regular basis. It appears that somehow,several of my payments sent were mailed,but never received/and or processed for some reason.I had no knowledge that anything was wrong. Do I have any legal recourse in this situation? Is the plan administrater required by law to notify you,if and when you might be close to a default.etc? Help! Thanks.
jdnay		#1	[-]
Posts: 338 (03/13/08 09:30:08) Reply Quote More My Recent Posts Message Me Connection Blocking Invite Ignore User's Posts	The plan administrator is not required to inform you if it looks like you are going to default on a loan. I assume they do provide you with a statement which you could check to ensure that payments were being processed. If you can send them copies of your canceled checks for the missing payments, you should be able to avoid the default.

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