American IRAs Blog Warns Know the Self Directed IRA Rules and Be Aware of Self-Dealing

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This blog addresses some of the intricacies of the Self Directed IRA rules. What individuals can do in an IRA is fairly straight forward still there is one of area that many people make a mistake on, read on to discover what this area is and how to avoid it.

American IRA CEO

American IRA CEO, Jim Hitt

Jim Hitt says "The law is clear on Self-Directed IRA rules and to whom your Self-Directed IRA can do business with. Still there is area that many people make a mistake on. This blog helps clarify that area."

Jim Hitt says "The law is clear on Self-Directed IRA rules and to whom your Self-Directed IRA can do business with. Still there is area that many people make a mistake on. This blog helps clarify that area."

As the blog states, the usual documents list prohibited individuals as the IRA owner, the owner’s spouse, antecedents and decedents, anyone who is advising the owner on the IRA in a fiduciary capacity, and any entities controlled by any of the above prohibited counter-parties.

An additional point noted in the blog is that the Self-Directed IRA rules in the law spell out these counter-parties listed above as prohibited individuals for IRA transactions, specifically. But there’s a bit more to it than that: The law not only prohibits IRA owners from conducting business directly with those prohibited individuals; it also prohibits self-dealing. This means that the list of people who would be problematic for an individual's IRA to deal with is broader than a lot of people – even experts in the field – may realize.

Finally, the blog suggests that if an individual is tempted to engage in transactions with people who are close to them in some way, they should think about it this way: If they were to hire an outside board of directors of totally disinterested experts to approve their IRA’s transactions, with the sole fiduciary responsibility of maximizing its value, would they approve the transaction? Individuals that proceed on that basis will be wiser for it.

To read the entire blog, click here.

About American IRA, LLC:

American IRA is committed to providing every client with gold-level service, regardless of account size. Experience their expertise through their certified IRA services professionals. Enjoy the value with one low annual fee of $285 with unlimited assets and unlimited account values. American IRA clients love the benefit of no charge for "All Cash" accounts. The performance of the American IRA staff is unmatched, with quick and efficient processing within 48 hours.

American IRA services thousands of clients and has over $300 million in assets under administration.

American IRA was built by investors for investors, and brings their successful investment experience to the table, providing excellent educational material showing the public that their Self-Directed IRA account can invest in a variety of assets such as real estate, private lending, limited liability companies, precious metals and much more.

American IRA is conveniently located in Asheville, NC and Charlotte, NC, and serves clients nationwide.

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Sean McKay
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