What is the maximum I can borrow?
With our Self-Employed 401K or the 403(b) you can borrow up to $50,000, or one half of your account balance, whichever is less. However, these limits will be reduced if, during the prior 12 months, you had loans from your account and any other plans with the same employer (please refer to the Terms and Conditions of the loan brochure for more details). The minimum investment to open an account thru us is $10,000 either from a rollover or other source.
The maximum amount that one can borrow is a function of many factors, which include the purpose of the loan, whether for purchase of property, or improvement or purchase of land for development. In addition, one’s residential status whether resident Indian or non-resident Indian will also have a bearing on the maximum quantum of loan that one can borrow. Typically, if one is a Resident Indian, then he can borrow upto 85% of the cost of the property, including cost of land, subject to a maximum of Rs 5,000,000.
