Expert: Allen - 4/30/2006

Question
After 6/29/06 Verizon will no longer fund our pension. We have the option to roll our existing penson over to our 401k. My question is, once I do that, are those funds available to borrow on?

Answer
This will be governed by the provisions of the 401k plan. If there is a loan provision and the document treats rollover amounts the same as other amounts, then you'll be able to borrow up to 50% of your vested account balance but no more than $50,000. If there is no loan provision or rollover amounts are excluded from the loan provision, then you won't be able to borrow.
I would check the Summary Plan Description for the 401k plan. If you don't have one, I would ask the plan administrator for that plan.