A portion of the argument against borrowing from the bank away from an excellent 401(k) is actually lost financial support come back. The bucks borrowed try reduced that have a fixed quantity of appeal rather than a possibly high return regarding inventory and bond expenditures. Although this is commercially correct to the desire payments into 401(k) financing, that it argument try nonetheless irrelevant. Financing is actually paid down with immediately following-tax dollars no matter whether he is 401(k) finance or bank loans (mortgage and you will domestic equity loans is actually exclusions).