retirement

6 reasons not to roll over your 401(k)

Protection from lawsuits
Protection from lawsuits © iStock

Protection from lawsuits

Federal law protects the money in 401(k) plans from most law suits, says Slott. But IRAs are protected by state law, "so you have to know what's protected in your state," he says.

If law suits, judgments or collections are a concern, a quick phone call to your attorney should let you know if your IRA is shielded from creditors and up to what amount, he says.

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