What happens during a plan conversion blackout period?

Participants cannot take distributions or change investment selections during the blackout, but paycheck contributions continue. ERISA requires advance notice to participants before any blackout. Once the wire from the prior recordkeeper clears and Betterment's compliance team completes its review of transfer files, assets are allocated and participants are notified. The goal is to wrap up the blackout within 10 business days of receiving transfer files.