What is the difference between a rollover and a transfer?

A rollover typically refers to the process of “rolling over” a 401(k) into an IRA. Your 401(k) administrator writes a check for the balance of your 401(k), which you can then deposit (“roll over”) into an IRA. Read more about rollovers here.

A transfer typically refers to an electronic transfer of an IRA or taxable investment account from one institution to another. Read more about transfers here.


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