MindyB
Expert Alumni

Retirement tax questions

Probably not - most plans only allow in-service employees to utilize loans.  Once you separate from service the loan needs to be paid back or else it will be considered a distribution.  You typically have 60 days to repay the loan before a deemed distribution will occur, but I suggest checking with your 401(k) administrator.

 

Here is some more information:  What is a 401(k) early withdrawal?