Participants Get Errant Loan Text
An unspecified number of participants in plans recordkept by Vanguard were told their loans had been processed. But they hadn’t.
Furthermore, according to the Wall Street Journal
(subscription required) the loans hadn’t been requested.
The text message informed recipients that their loans had been processed and that they should allow several days for a check to be delivered or a bank transfer to be completed, according to the report.
article quotes a Vanguard spokeswoman as saying that a “small portion” of participants in 401(k) accounts administered by Vanguard received the message “in error” Tuesday evening as a result of a “systems issue” and that no loans were processed in error.
“No accounts were affected, but we apologize for any confusion this may have caused,” she said, according to the report.