Under the MyPlanLoan Continuation Program, terminated participants have the ability to continue repaying their loan under the original terms, avoiding significant tax penalties associated with a default. BPAS handles all billing, payment processing and administrative functions – receiving monthly payments directly from participants, and depositing payments to each participant’s plan account.
The service is also available for the loans of active participants and the conversion of existing loans – providing flexibility while allowing human resources to exit the business of loan administration.
“This automated process eliminates the headaches of loan administration. It allows loans to be repaid more quickly and can boost overall plan participation," said Barry S. Kublin, president of BPAS. "Our prudent loan program allows plan sponsors to set loan limits below 72(p), preventing employees from borrowing more than they should, and protecting retirement savings. It’s a solution that benefits everyone.”
The MyPlanLoan Continuation Program is available for retirement plans administered by BPAS. The entire MyPlanLoan program is available to third party administrators and retirement service providers as a standalone service, with BPAS providing all back office support functions.
For more information about MyPlanLoan, contact Gwenn Paness, sales director, at (646) 285-4937 or firstname.lastname@example.org.