While a solo 401k offered by Fidelity Investments does not allow for solo 401k participant loans, A self-directed solo 401k from My Solo 401k Financial allows for solo 401k participant loans.
You will be able to access the solo 401k participant loan funds by wire once the solo 401k loan documents have been drafted. To access the solo 401k loan funds, you will need to complete and submit to Fidelity Investments their wire form directed titled “One-Time Withdrawal-Investment-Only Retirement Account,” which gets submitted directly to Fidelity.
Using Fidelity Investments Form to Access the Solo 401k Participant Loan Funds
The solo 401k participant loan proceeds can be wired from the Fidelity brokerage account to your personal bank account. Make sure the funds are liquid in the solo 401k brokerage account.
CLICK HERE to download the Fidelity form.
How to Complete Fidelity Investments Form
Under Section 1-Plan and Trust Information
Account Number: Enter your self-directed solo 401k Fidelity brokerage account number.
Name of Trustee: Enter your name.
Name of Employer Plan: Enter the name of your self-directed solo 401k plan.
Name of Plan Participant: Enter your name.
Daytime Phone: Enter your phone number.
Under Section 2-Distribution Instructions
Select “only the following amount of cash in your account” and enter the solo 401k participant loan amount as referenced on the loan payment schedule.
Under Section 3-Distribution Method
Choose 3d “Bank wire to a bank or credit union account (cash only)…” and enter your receiving bank’s information.
Under Section 4-Signature and Date
Print Trustee Name: Enter your name.
Trustee Signature: Sign your legal name.
Date: Enter today’s date.
Submitting the Completed Form to Fidelity Investments for Processing
Important Notes
- REQUIRED: A medallion stamp is required.
- You can upload Fidelity’s form after you complete and have your signature medallion guaranteed at your local bank or local Fidelity Investments branch.
- Upload: Once the medallion signature has been obtained, you can upload the signed form to Fidelity. Click here to view the upload instructions.
