So you have requested your Withdrawal so what is next?
As your withdrawal request is received, we will review the request before your funds can be issued. Our review process consists of the following:
- Validation: Your request will be reviewed to confirm your request is valid and complies with all plan rules. This step also includes a fraud verification depending on the type of loan/withdrawal request. (This step can take up to 5 days from submission to complete)
- Approval: Once verification has been made an approval can be issued.
- Investments: After an approval is granted your investments will be traded and sold in order to generate the requested amount of funds. (After approval, instructions are sent to the custodian on the same day, and if prior to 2pm EST, trades will be placed that day)
- Payment: After funds are generated payment will be issued. (After a 2 day settlement time, the cash is sent to the payment processor for sending. If via ACH, it will take another 2 business days to reach the bank account. If by check, please allow for another 5 days for USPS processing)
A total processing timeline of 10 business days should be expected from the moment that the form has passed verification and fraud checks.
Why do I need approval to access my money?
Any request for a loan, distribution or withdrawal of any type must be evaluated for authenticity to confirm that the distribution request was submitted and authorized by you this is to prevent any fraudulent requests.
What are the fees and potential tax implications?
There is a $100 fee for most withdrawal types ($125 for hardship withdrawals), as outlined in our annual fee disclosure notice. This fee covers the cost of processing your request.
Your withdrawal request may have tax implications. Vestwell is not a tax advisor; we recommend that you consult a professional if you have any concerns.