After struggling with my weight for years (I can't ever remember not being overweight), I have decided to pursue a lapband procedure. The leads me to my biggest problem....

My insurance won't cover it (waiver) and it will likely be very, VERY difficult for me to obtain a loan. My credit isn't good at all. I started thinking about options and remembered that 401k accounts allow a withdrawal for medical care.

Has anyone tried this approach? How difficult would be it to convince the 401k company that this is a necessary procedure (hence warranting the withdrawal)?

Any feedback/suggestions on financing would be greatly appreciated.

Thanks much!

Does the procedure have to be "necessary" to approve a withdrawal? Seems to me you can do what you want with YOUR money, but to avoid the penalty/fee/tax whatevers you simply have to show the receipt for a medical procedure. ??? Great question. I'm anxoius for the replies also!

You might want to check with your company because you can take a loan against your 401k, the interest is VERY low, no credit checks or anything. I know with my company you just call type in how much you want if it's available tell them when you want to pay it back and it comes out of your paycheck each month. I had enough to buy a car, I have the title and the payment comes right out of my pay check. It's worth checking into....

It also depends on if you are still working for the company and participating in the 401k. If you 401k allows loans probably no problem. If you have to make a hardship withdrawal you may have to stop participating for a predetermined amount of time - usually 6 months. I think the biggest drawback to that is you would loose your employer match if there is one.

Look through your paperwork on your 401k. It will indicate what is allowed and what isn't. If you do take a hardship withdrawal most 401k's don't require any more documentation than your signature attesting that everyhting indicated is true.

You also need to be prepared for any tax liability.

I actually do know someone who did this. She got the necessary information from her doctors office with the amounts of surgery and then sent that to 401k. Had her check in a few weeks.

Good Luck!

http://www.401khelpcenter.com/mpower/feature_121902.html

Check out this website and article. It will outline some of the guidelines and rules. Just remember, just like your insurance, a lot of these options are determined by your employer.

Good luck!

I don't know anything about a 401K but I am using assets from my IRA for the Lap Band surgery. I talked with ETRADE just this morning and they said that you can use your assets for major medical expenses at anytime without a penalty.

I did it. Didn't even have to tell them what it was for. You can take up to 1/2 out as a loan with no questions asked. So that's what I did. The rest I put on credit cards that I got a 0% interest rate on.

We did this. We didn't have to tell them why we were withdrawing the money and we got it within about a week. It was the greatest investment ever!

i did it too. could take up to 1/2 the amount, no questions asked, got it quickly, have 5 years to pay it back. FYI, if I had done it for a first home downpayment, it would have been 10 years to repay)