i401k - Credit Union not understanding

[Jerry K.]

Just blowing off steam here, I opened an i401k with SunWest Trust. I thought it might be difficult. However, very simple and easy to work with.

Then I thought the easy part would be to open a savings account at my Credit Union for the i401k Plan. Boy was I wrong.

They have all my business checking savings accounts, but they couldn't grasp this was just another savings account that had it's own FEIN number. They kept thinking they had to open a 401k plan for me.

I gave them the documents that showed the SunWest trust opened the plan, the credit union just had to open a savings account. It finally reached the Credit Union attorney. I gave them the name and number of SunWest Trust to talk with about any questions.

After 3 weeks, I just got an email that the credit union attorney turned it down. Said they couldn't open up that kind of account.

It's a Savings account! No different than if I opened a window washing business with an FEIN.

Now I'll just walk over to a bank and open the account there. Sheesh!

[Will Barnard]

Oh, and next time, you can leave the term 401k out of the initial conversation. Goes like this: Hi, I want to open up another business savings account and I already have my EIN number for it. Then proceed from there. They don't find out it is a 401k plan until you provide the vesting name to the account.