With a VestCred 7702, you can borrow from your plan any time after the first year. You decide what for. Whether you are interested in remodeling your home, taking a vacation, or putting money towards your children's college fund, you will have the option to borrow from your plan and decide when to repay it. And why shouldn't you be able to? After all, you are using your own money!

Use your funds for any purpose without worrying about penalties or restrictions. 

One of the most common questions the VestCred team gets from new customers is, "Can I borrow money out of my 7702 plan?" and the answer is yes!

Unlike the Vestcred 7702, you cannot borrow from other retirement savings plans without penalties. IRAs do not allow any borrowing at all. While you can borrow money from some 401(k) plans, it has to be written into your plan. And if you can borrow, most plans restrict how you use the money, like buying a home. Finally, all loans must be repaid within a short period.

Borrowing Against Your Retirement Plan

Your Money. No Restrictions.

Find out if you're a candidate.

Borrowing From A VestCred 7702 Vs. 401(K) Before Retirement:

Use funds for any purpose: buy a house, home improvements, start a business, or even buy a car!

Use of funds may be restricted by the plan. If your employer plan has restrictions, you may only borrow from your 401(k) for approved purposes. 

The 7702 loan does not ever have to be repaid during your lifetime. 

Must be repaid within 5 years (15 years if used to buy a house).

There is NO upper dollar limited on the amount that can be borrowed.

Typically limited to the lesser of $50,000 or 50% of the account balance.

The interest rate charged is typically between one and two points above the prime rate.

Interest does NOT have to be paid out of pocket. You can defer it over your entire life and have it paid using the 7702 death benefit, provided the death benefit is large enough to pay both the loan principal and the interest.  

No origination fees and no administration fees! This is a NO FEE loan.

Loan usually comes with origination fees and administration fees just like your bank!

VestCred 7702


Not everyone qualifies, but to see if you do costs absolutely nothing.

Borrowing From A VestCred 7702 and 401(K) After Retirement

VestCred 7702


The VestCred 7702 is designed to take loans after retirement to generate your retirement income. Loans are not considered taxable income and are not reported on your income tax return. By taking loans from your policy instead of withdrawals you create tax-free retirement income.

A VestCred 7702 Retirement Plan you do not pay any interest on these loans out of pocket. 

The loan principal and the interest on the loan gets paid out of the 7702 death benefit.

Unlike a 401(k), you’re not penalized for taking a loan! The VestCred 7702 Retirement Plan lets you earn full market gains even on the outstanding loan balance. Thus, 100% of your entire retirement savings is always working for you! 

Loan must be paid back by retirement 

With a VestCred 7702 Retirement Plan you do not pay any interest on these loans out of pocket.