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Improper Accounting of 401K

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M

MSimler

Guest
What is the name of your state? NJ

Our 401K is handled by the local branch of a major brokerage firm. Recently, I realized that my contributions have been accumulating in a money market fund rather than being distributed to the mutuals I had selected (since 1/01)! I should've caught this sooner, but as soon as I did I called to ask them why my money was just sitting in a near-zero interest account and not building shares. They couldn't explain how this change was effected, my broker actually went so far as to suggest that 'maybe I called and told them to do that'. I asked if he wouldn't require something from me in writing to make changes to my account, and he said 'not necessarily'. Well, I am positive I never requested (orally or in writing) for them to do this. A quick cost analysis proves I have lost money by not buying the funds on their way up. They are no longer taking or returning my phone calls. My question is this: Do I have any recourse? Can they really go ahead and change my allocations without written authorization? If so, it's my word against theirs which means I'm S.O.L.

Thanks, MS
 



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