N.J. Admin. Code § 17:3-4.9

Current through Register Vol. 56, No. 23, December 2, 2024

Section 17:3-4.9 - Eligibility for loan

(a) Only active contributing members of the Fund may exercise the privilege of obtaining a loan. The member's total outstanding loan balance shall not exceed the lesser of 50 percent of the accumulated deductions posted to the member's account or $ 50,000. The loan is subject to I.R.C. § 72(p) (2007) of the Internal Revenue Code.

(b) The rate of interest per annum for loans from the State-administered retirement systems shall be a commercially reasonable rate as required by the Internal Revenue Code to be determined by the State Treasurer on January 1 of each calendar year. An administrative fee in an amount set by the State Treasurer for each calendar year may be charged for any loan requested, pursuant to 18A:66-35.

(c) All other statutes and rules governing loans apply, including 18A:66-109.1 and 17:1-1.9, Bankruptcy; subsequent loans.

N.J. Admin. Code § 17:3-4.9

Amended by 47 N.J.R. 2876(a), effective 11/16/2015