Custodia Financial

Executive Team of Custodia Financial Enhances Company Performance

About Custodia Financial

Through its Retirement Loan Eraser solution, Custodia Financial protects investors in 401(k) plans and the assets in those plans from default or leakage. Headquartered in Texas and helmed by chief executive officer Tod Ruble and chief financial officer Kevin Smart, Custodia Financial provides security regarding retirement assets within a challenging financial landscape.

Company CEO Tod Ruble is a former real estate entrepreneur. He previously co-founded a commercial developer, Harvest Partners, which engaged in projects with value in excess of $600 million. He is an alumnus of the University of Texas at Austin and a board member of the Cotton Bowl Athletic Association. Ruble’s CFO, Kevin Smart, also attended UT Austin and moved on to the University of Oklahoma for his MBA. He later acquired experience in the financial sector from such companies as Deloitte & Touche and i2 Technologies.

Together, these two leaders compel Custodia Financial to offer exceptional service to its clients. Individuals with assets in 401(k) plans often lose value in their accounts through preventable defaults, and the company offers solutions to mitigate these losses. For more information on Custodia Financial and its services, visit the company website,

A 401(k) Glossary

Located in Dallas, Texas, Custodia Financial offers innovative solutions to protect Americans in times of financial difficulties. Custodia Financial is a leader in debt-protection products for 401(k) loans and the developer of the Retirement Loan Eraser.

Retirement plans like the 401(k) deferred-tax savings program can be confusing. Here is a glossary of some of the most common terms used in regard to 401(k) plans.

401(k): A United States institution, the 401(k) retirement savings plan is a way for employees to save money for retirement without having to pay taxes on the money first. Taxes are deferred until after the account holder retires and has lower net income with a correspondingly lower tax rate.

Contribution: This refers to the money that is put into the 401(k).

Withdrawal: This is money taken out of a retirement plan. Withdrawals are subject to tax like ordinary income, but subject to a higher tax if withdrawn before the participant is 59 and a half years old.

Beneficiary: The beneficiary is the person elected by the participant to inherit the retirement money should he or she die. Beneficiaries have to pay income tax on money withdrawn from the 401(k) or other retirement savings plans.

Reducing Retirement Plan Leakage

Serving the financial needs of professionals, Custodia Financial provides an affordable protection plan to 401(k) participants and their beneficiaries called the Retirement Loan Eraser program. Through this service, Custodia Financial lessens the account leakage problem in the United States.

A growing issue amid the business community, retirement plan leakage is caused when an employee withdraws funds from their investment portfolio in the form of loans and hardship withdrawals and defaults on repayment. As reported in a 2013 research study by Aon Hewitt, a global firm specializing in risk management and human resource, nearly $300 billion is contributed by employers and employees each year to retirement savings. Of this balance, more than 25 percent is withdrawn to pay for non-retirement expenses, such as eviction notices and medical bills.

Among the participants that remove funds from their retirement savings, a large majority default on payments due to termination of employment. Aon Hewitt suggests providing a modified loan repayment option following termination to offer flexibility and increase repayment from plan participants. In addition, promoting financial education will help individuals fully understand the financial impacts of not repaying a loan.

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