To support the financial needs of American retirement investors affected by the COVID-19 outbreak, Empower Retirement is waiving fees for some transactions.
The Denver-based firm announced April 2 that it will not charge origination fees on any new retirement plan loans and will suspend charges for all hardship withdrawals. These changes cover all tax-qualified workplace retirement plans administered by Empower that permit such distributions and include new provisions allowed for under the Coronavirus Aid, Relief and Economic Security (CARES) Act enacted March 27.
“We must do everything we can to accommodate the immediate financial needs of our customers,” Empower Retirement President and CEO Edmund Murphy III said in a statement. “Some are already in financial distress right now and need access to their retirement savings to support their loved ones. We are taking these steps to help those families.”
The fee waiver will remain in place until further notice, depending on circumstances in the economy and financial markets. Empower observes that the downturn in the financial markets, related economic uncertainty and elevated jobless claims may foretell high levels of demand for loans and hardship withdrawals over the next several months.
In addition to other steps taken to support its customers and other stakeholders, Empower notes that it has bolstered all call center capacity and elevated the availability of one-on-one counseling sessions to meet the needs of retirement investors seeking advice.
