NYC man lost $114K - his entire 401(k) - after his physical check from Paychex was stolen. So why do 43% of retirement savers still have to deal with this 'outdated' and 'insecure' method?

A recent survey by Capitalize found that 43% of individuals still rely on paper checks for 401(k) rollovers, which many find frustrating. With over 80% preferring a seamless bank transfer process, the reliance on manual methods leads to issues like fraud, lengthy wait times, and a lack of transparency. Challenges persist due to outdated systems and regulatory issues. The case of Hardy, suing Paychex over lost savings, highlights the severe risks of these processes, including difficulties in tracking checks and limited financial protections under laws like ERISA.

‘More than 80% of savers say rolling over a 401(k) should be as simple as making a bank transfer.’

Read at Moneywise