Roll over 401K?

[savemachine]

I recently switched company. Actually let me restate that, the company I moved to is the same company, but this branch merges with a foreign company.

My old company offers pension, which has not yet been vested in my case. Their 401k funds are different than this company's funds. Another catch is that, my current company does not offer pension, but instead "an improvment to 401K" deal, which puts more money into your 401K plan at the end of the year depending on how much profit the company makes.

Should I roll over the 401K money from my old company to this one? I have about 13,800 dollars from the old company.

Sorry for bad grammar, punctuation, and flow of thoughts.
I'm a little sick, so I can't really comprehend too well at the moment.

Regards,

Also, I'm looking for a credit card that would give me a reasonably low interest. What's the best credit card out there today in your opinion? Rewards cards are good, but I don't need mileage etc. I currently have BofA credit card, and got my interest dow to 10. somthing percent. Not great, but better than my old 17%.

[sweeps]

First make sure you're allowed to roll over the 401k. If your company is doing a merger, you may not be eligible to roll over.

If you are eligible to roll over, consider rolling it into an IRA (and optionally converting that to a Roth IRA). You'll have a lot more investment choices available to you.

[vsjhoc]

Also, I'm looking for a credit card that would give me a reasonably low interest. What's the best credit card out there today in your opinion? Rewards cards are good, but I don't need mileage etc. I currently have BofA credit card, and got my interest dow to 10. somthing percent. Not great, but better than my old 17%.

There's no single card that's the best for everyone, plus the offers change frequently. Check cardratings.com and bankrate.com, each of which has lists of cards you can sort by interest rate, annual fee, etc. and then apply online.

[LuxLiving]

We did one of these rollovers and if you do, try to pick the brokerage with the most options. Be mindful of which offers the best funds and rates.

[safari]

It only makes sense to roll over into your new company's 401(k) plan if:
1) They offer good investment choices not available otherwise (for example, mutual funds with a proven record that are closed to new investors);
2) You like the simplicity of managing all your 401(k) savings in one account.

Personally, I'd consider rolling over that money into an individual IRA account, as sweeps suggested.

[disneysteve]

Also, I'm looking for a credit card that would give me a reasonably low interest.

Are you carrying a large balance? If so, see if you can qualify for a 0% teaser rate on a new card.

If you are not carrying a balance, pay no attention to the interest rate. Pay you bill in full each month and it doesn't matter a bit. I've got no clue what the rates are on our cards as we've never carried a balance so I really couldn't care less.

I'm a big fan of reward cards. Just make sure the other terms are reasonable and it is a reward that has value to you. Frequent flyer miles are worthless if you hardly ever fly. Maybe you want cash back or 5% off gas purchases or hotel points. Whatever works for you. And don't automatically eliminate cards with annual fees. Sometimes the rewards are worth far more than the fee charged.

[savemachine]

Thank you all for replying.

I will start looking further into the option of rolling into the personal IRA account.

As for the credit card. I do not like to carry any balance, so it's pretty much zero right now. I however, am planning a big purchase in the upcoming couple of months (close to 8k), and I would love the option of not having to pay interest on that for 12-15 months. I know that Discover and AMEX blue do offer that for 12 and 15 months accordingly. I just don't want to use those cards just for that purpose.

I'm also planning to get another card from EmigrantDirect (my saving account bank). When I get to 10k, I can get a card that gives you 1.4% cash back on any purchase.

If I can get a card that gives me back 5% on gas with a 0% intro APR for 12-15 months, another card to use after my "big" purchase in Emigrantdirect with 1.4% cash back I think I'm having a pretty good plan ahead.

Sorry for the possible confusion, but I really appreciate all of your help.

Regards.

[kv968]

Thank you all for replying.

I will start looking further into the option of rolling into the personal IRA account.

If you can roll over your 401k, make sure you do a direct rollover so you avoid any potential tax problems.

[LuxLiving]

AND be mindful of the wording you use...rollovers, transfers, etc. have differing meanings in the financial world. You want to be using the correct terminology if not things can get all bumfuzzled! Read and re-read any forms you get very carefully and be sure to ask lots of questions!!

This is the voice of experience who had the lesson learned the hard way!

[kv968]

AND be mindful of the wording you use...rollovers, transfers, etc. have differing meanings in the financial world. You want to be using the correct terminology if not things can get all bumfuzzled! Read and re-read any forms you get very carefully and be sure to ask lots of questions!!

This is the voice of experience who had the lesson learned the hard way!

Words from the experienced wise.