So this 'rollover' that would equal the unpaid loan balance can be paid by simply sending a check (or wire or similar) to someone (Fidelity) and saying this either needs to be a rollover into my new 401k plan here or a brand new IRA? Is that pretty universal? Would you anticipate any problem with this? Is there a risk Fidelity would not accept even an IRA rollover in this fashion?
If this seems to be fine to do, then it seems there is no specific loan-related reason to keep existing funds in my old 401k. And rolling over those funds into my new company's 401k should have no bearing on repayment of the loan?
Then what are your thoughts on rolling the balance over, then taking out a new loan from the new 401k, and then rolling over that money into an IRA? Doable in theory? I am not aware of any specific reasons this would not work, considering 401k loans can be made for any reason. The only difference would be that I'd have 5 years to repay the loan balance rather than the original 15 years I had before.
