For all too many workers, taking a loan against the balance of a 401(k) or 403(b) account seems like a good deal. After all, you reason, the money you pay back, including the interest, goes right back into your account. Before you succumb to the 401(k) or 403(b) loan temptation, however, it pays to take a long hard look at just how bad a deal it actually is.

There are a number of important reasons why borrowing money from a 401(k) or 403(b) plan is the worst deal in town. The reasons to leave the 401(k) or 403(b) plan intact and seek a loan elsewhere are many, and they include:

Double Taxation