For instance, an escrow account need to be recognized on a higher-priced home finance loan loan secured by a primary lien over a made home, boat, or trailer employed as the consumer's principal dwelling. SeeNo prepayment penalty: When you pay back your loan off early, you won’t have to shell out a prepayment penalty. DisadvantagesHardship system:

The Bottom Line The rule of 55 could make early retirement fewer taxing economically, as you can tap into your 401(k) devoid of early withdrawal penalties. Whether it makes sense to take advantage of this rule can depend upon irrespective of whether you intend to return to work later on, as well as just how much revenue you have saved and invested