401k Loan Defaulted, Still time to pay back?

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Mysticcal
Posts: 15
Joined: Wed Jan 28, 2015 11:25 am

401k Loan Defaulted, Still time to pay back?

Post by Mysticcal » Wed Oct 09, 2019 9:08 pm

Forgive me as I thought my foolproof plan was covered through auto-payments. Apparently this wasn't.

Loan origination, 03/'16

I left my company in April of 19', continued making payments monthly on my 401k loan only to find out it defaulted for being below the amoritized balance by Oct 1, 19.

I would rather not pay taxes and penalty on this money and was hoping to make a lump sum payment to pay it off. Am I misinterpreting the tax cuts and jobs act states I have until April 2020 to pay off this loan despite the default?

Edit: Apparently it's eligible for rollover? Awesome, now to just scrounge up 20k.

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