Hardship Distributions


To locate new hardship requests:

  • Sort by "Distribution Type" for requests containing "Hardship."
  • Filter Notarized Signature Received by "Is Null,", Review Start Date by "Is Null," and Administrator as "Is Null."


For each new request in PlanConnect do the following steps:

  • Add the cover sheet PDF to the documents tab in PC, titling the document "Trading Instructions". Found here: R:\CAPITALOperations\Distributions\Cover Sheets
  • Open cover sheet PDF to confirm it was generated correctly. If it is missing the account data, create a new cover sheet in Crystal Reports using this file: "Transactions-Internal-CoverSheetNewDistributions181001" and add cover sheet to PC.
  • Review Plan Specs in PC for the Adopter to confirm if plan allows for self-certification or if a prior loan is required. If a prior loan is required, cancel the withdrawal request in PC and Relius and notify the participant in FreshDesk using the "Hardship - Prior Loan Required" canned response.
  • Review the cover sheet and plan specs to verify if participant has an alternate withdrawal, such as a unrelated rollover (listed as "Unrestricted Withdrawal" in MPC) or if they are over the age of 59.5 and have an in-service available.  Participants are required to exhaust all available withdrawals before they may take a hardship. Ensure to check if the plan has a minimum request amount or max # of hardships allowed per year.


If you have confirmed self. cert is allowed and a prior loan or withdrawal is not required, proceed with the below steps.


  1. Update the Security Review column in the PlanConnect distribution detail based on our current security requirements for DLs, notaries, call outs, etc.
  2. Mark address match/verified as yes.
  3. Email Available: check yes if email is listed on cover sheet.
  4. Update Appropriate Job Status and Vesting Ok fields. (Please note that Review Start Date, submission type, and all pages rec'd fields should ONLY be marked once request is ready for sponsor approval.)
  5. Update Trading Instructions column with amount requested and 1099 Code. (Please note that the Amount Request field is what generates the automated notification to go out to participants containing the Self-Certification form.)


For self-certification requests, transactions will complete the admin review section in PC when the FreshDesk ticket containing form is processed so that request may move forward.



Review documentation once received to confirm if it appears to be sufficient for approval. 


  • Use Hardship Guidelines PDF to determine if documents are sufficient. Guidelines are located here: CAPITALOperations\Distributions\Hardships\HardshipGuidelines_v20221006.pdf
  • If documentation is sufficient compile documentation into one PDF file with all of the required information highlighted. 
  • Save the file in this location, R:\CAPITALOperations\PARTICIPANT FORMS\Hardships , under the appropriate year, using the following naming convention; PlanID_LastName_Last4ofSSN_YYMMDD_HardshipRequestPackage.
  • Upload file to PlanConnect detail titling it, "Hardship Request Package" 
  • Create Hardship Review Form Document & Upload to PlanConnect
  • Open file, HardshipDistributionReviewForm.pdf, located here; R:\CAPITALOperations\Distributions\Hardships.
  • Add your name to the Administrator Name field, Updated the rest of the fields on the first page of the PDF according to the request you are working on. (If the eligible sources are different from the three listed update the text in the PDF of one so it is correct)
  • Save the file in this location, R:\CAPITALOperations\PARTICIPANT FORMS\Hardships , under the appropriate year, using the following naming convention; PlanID_LastName_Last4ofSSN_YYMMDD_HardshipReviewForm
  • Upload file to PlanConnect detail titling it, "Hardship Review Form"
  • Update Admin Review section of PC so that Review Complete field is populated (this causes sponsor approval request notifications to go out).
  • For plans without self-certification, ensure to add DMC alert with approved amount.


Hardship Loans


To locate new requests: 

  • Sort by "Approved By" field ~ Enter "Not Required" - Does Not Contain
  • Sort by "Request Date" so most recent requests are at the top of the page


For Residential Loans:

  • Look up the PPT's email addresses in MyPlanConnection. Then through FreshDesk email PPT at email addresses on record using the "Principal Residence Loan - Documents Needed" template.
  • Note the PC detail indicating "Supporting Documents Requested - FDT# XXXXXX"
  • We need a completed purchase agreement and an official loan estimate. The loan amount is not affected by the documented need. Review the purchase agreement and official loan estimate to ensure they contain the PPT's name, the property addresses and sale price match between the two documents, and the purchase agreement must be signed by all parties involved. 
  • If documentation is sufficient and the "Approval Required" field is not checked in PC, approve the loan in MPC.
  • If the "Approval Required" field is checked, do not approve the loan in MPC, update the "Approved By" field to "Ready" and skip the next step.
  • Add a note to the PC detail - "Documentation is Sufficient - Approved in MPC". 


For Hardship Loans:


Emails are automatically sent requesting supporting documents, but if it is a residential hardship loan, email the PPT as mentioned above for residential loans.

  • Once documents are received update the "Loan Schedule Reviewed" field in the PC detail with the current date. This stops the automatic emails requesting documents from being sent.
  • Review hardship documentation to confirm the documents meet the requirements and the loan amount is not more than the documented need. If the loan amount exceeds the documented need check with PPT to see if they have further documentation or if they would like to proceed with a lesser loan amount. If they go with the lesser loan amount, cancel the current loan and instruct the PPT to enter a loan for the documented need amount.
  • Update the PC detail's "Approved By" field to "Ready". The PS will now receive notifications to approve the hardship loan.


Please note that for Round Room hardship loans, you will need to email the plan contact to advise them the loan is ready to approve. Please see FD 420094 for ongoing chain.