On June 26, 2012, the Board of Supervisors adopted Resolution 2012/298 amending the Deferred Compensation Plan to include a Loan Provision. This amendment and loan provision are effective July 1, 2012. The following is a summary of the loan provision:
- Loan type: General Purpose Loans
- Loan term: 1 to 5 years
- Loan minimum: $1,000
- Loan maximum: The loan may not exceed the lesser of $50,000 or 50% of the participant's vested account balance
- Loan interest rate: Prime plus 1%
- Loan Repayment: Occurs via payroll deduction on or about the 10th of each month
- Outstanding Loans: Each participant is limited to one active loan at a time
Please refer to the Board Order to determine if your bargaining unit has approved participating in the Deferred Compensation Loan Provision.
Please review the FAQ's and Pros & Cons to determine if the Deferred Compensation Loan Provision is the right decision for you.