General Question

tia29's avatar

Can you borrow from an IRA?

Asked by tia29 (184 points ) June 18th, 2008 from iPhone

I’m about to leave my current job and have decided to roll my Thrift Savings Plan (gov’t) over into an IRA. I can borrow from the tsp and then pay back the loan over time. Can you do that with a traditional IRA?

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5 Answers

reed's avatar

I believe it depends on your IRA plan administrator but I don’t think there is a statutory rule against it. I borrowed from my IRA many years ago for a down payment on a house. Check with your plan administrator to be sure.

reed (848points )“Great Answer” (0points ) Flag as…
tia29's avatar

thanks reed

tia29 (184points )“Great Answer” (0points ) Flag as…
marinelife's avatar

Many plans allow it, but it is not advisable on a routine basis. It may also have tax implications so you should check carefully.

marinelife (55308points )“Great Answer” (0points ) Flag as…
osullivanbr's avatar

Frightened the life out of me there. For an Irish person at first glance, that question means something entirely different.

osullivanbr (3611points )“Great Answer” (0points ) Flag as…
marinelife's avatar

@osullivanbr I just bet! You gave me a chuckle, although I am aware the historical situation was not funny.

marinelife (55308points )“Great Answer” (0points ) Flag as…

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