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TSP In-Service Withdrawals

Loans and in-service withdrawals offer means to access a TSP account while still employed. They serve different purposes and have unique rules. One primary difference is that while money drawn out as a loan must be repaid into the TSP account, money taken out as an in-service withdrawal may not be repaid. Thus, an in-service withdrawal permanently depletes the account while a loan does not. Both loans and in-service withdrawals are distributed proportionately from each TSP fund in which you are invested.

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