I'm confused. Why would you borrow from your 401k just to pay yourself back on your 401k loan? That doesn't even make sense. You might read the following article to get another perspective.
http://www.401klookup.com/401k-articles/borrow-from-401k/
Now that I"m over 59.5 , can I withdraw from my 401k just to repay a loan from my 401k?
That wouldn't make any sense.