Permalink Submitted by Jose Morales on Wed, 2012-09-12 16:34
From looking at their website they do not appear to be an IRA Custodian. They state they are a third party administrator, which may sound like “IRA Custodian” to those not in the retirement plan world, but is not the same thing. I also checked the IRS Approved Nonbank Trustees and Custodians list and they are not listed: http://www.irs.gov/Retirement-Plans/Approved-Nonbank-Trustees-and-Custod…
Always check the IRS Approved Nonbank Trustees and Custodians list when dealing with a company that infers they are an IRA Custodian but is not a Bank or Insurance company. If a company insists that they are an approved custodian but are not on the list, demand to see their written approval from the IRS. If they say that they have an approved IRA Custodian to hold your funds demand to know who they are.
In the “self directed IRA” world it is very common for third party administrators to not make it clear that they are not approved IRA Custodians and will make vague references to holding your uninvested cash in “approved” FDIC insured banks. In many cases the banks are in no way serving in the capacity of an IRA Custodian.
Permalink Submitted by Jose Morales on Wed, 2012-09-12 16:34
From looking at their website they do not appear to be an IRA Custodian. They state they are a third party administrator, which may sound like “IRA Custodian” to those not in the retirement plan world, but is not the same thing. I also checked the IRS Approved Nonbank Trustees and Custodians list and they are not listed: http://www.irs.gov/Retirement-Plans/Approved-Nonbank-Trustees-and-Custod…
Always check the IRS Approved Nonbank Trustees and Custodians list when dealing with a company that infers they are an IRA Custodian but is not a Bank or Insurance company. If a company insists that they are an approved custodian but are not on the list, demand to see their written approval from the IRS. If they say that they have an approved IRA Custodian to hold your funds demand to know who they are.
In the “self directed IRA” world it is very common for third party administrators to not make it clear that they are not approved IRA Custodians and will make vague references to holding your uninvested cash in “approved” FDIC insured banks. In many cases the banks are in no way serving in the capacity of an IRA Custodian.
Permalink Submitted by Richard Brewer on Thu, 2012-09-13 01:10
Thanks for your reply.