Products November 2, 2010

Primax Provides Plan Loan Administration Services

November 2, 2010 (PLANSPONSOR.com) - Primax Payment Systems, a credit card processor, has partnered with Northeast Retirement Services and Union Center National Bank of Union, New Jersey, in the launch of a new optional service aimed at providing solutions relating to the administration and recordkeeping of loans under retirement plan programs.
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As part of this service, two new loan options will be available to 401(k), 403(b) and 457 Plan Sponsors: Installment Loans (IL’s) and Revolving Line of Credit Loans (RLOC’s). RLOCs are initiated using a VISA Loan Card.   

According to a press release, both options provide for:  

  • Monthly Billing Statements for participant repayment, 
  • 24/7 Access to Loan information, 
  • Summary Loan info on participant quarterly statements via a link with the plan vendor, 
  • Loan repayment collections via ACH or check, 
  • Flexibility in repayment amounts above the IRS mandated minimum repayment schedule, 
  • Handling leaves of absence, defaults, and repayments post termination of employment, and 
  • No specific reason needed for the loan (enhancing the privacy of the transaction for the participant, and eliminating the need for participant falsification re: loan reason).   

 

For more information, visit www.ERALOANS.com or contact Howard Phillips at 973-575-1100.

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