Home Storage IRAs: Risky New Trend May Leave Retirees Liable
Tarzana, CA (PRWEB) June 25, 2015 -- With mixed signals continuing on the economy, Americans saving for retirement are becoming increasingly anxious. Will they be able to retire when they had hoped? Will their savings support them, even through inevitable setbacks?
In response, many are investigating IRA investment options that offer greater protection from precarious markets, including safe haven assets gold and silver. But unlike with traditional stock market investing, which treats gold as a virtual commodity represented by paper in the form of Exchange Traded Funds (ETFs) and gold certificates, people looking to invest in precious metals in their IRAs typically want coins and bullion, known as “physical gold.”
Unfortunately the advice they’re being given by certain IRA providers focused more on quick sales than their customers’ well-being, amounts to financial malpractice, says one Los Angeles-area Gold IRA provider.
“’I’ve seen what’s happening and decided I had to speak out,” says Trevor Gerszt, investment specialist and CEO of Goldco Precious Metals.
“I’ve cautioned people in the past about so-called ‘home storage IRAs,’” he says. “Unscrupulous providers tell consumers the law allows them to store gold and silver held in their IRAs at home, when it’s clear the IRS codes forbid that.”
Now, says Gerszt, these same fast-buck Gold IRA providers are deliberately fueling consumer anxiety by telling them these legally precarious “home storage IRAs” are the only way to get the protection of physical gold. “They’re telling vulnerable, worried people the only way they can have actual coins and bullion, time-tested hedges against a volatile stock market, is to risk IRS penalties by keeping it at home.”
Simple research performed using Google AdWords shows that as of June 24th 2015, the number of searches for the terms "Home Storage IRA, Self Storage Gold IRA & Chekbook IRA" have all exploded by more than 45% showing interest in these options are rising.
Such providers exploit consumer confusion between traditional IRAs, which generally only offer precious metals via gold certificates held in ETFs; and Gold IRAs, which do allow account holders to invest in physical gold coins and bullion.
“When you’re stressed and worrying about your future, it’s easy for opportunists to exploit any knowledge gaps,” says Gerszt. “You can tell an ethical provider by their willingness to educate and empower clients. When someone calls us the first thing we do is help them assess how precious metals fit into their personal retirement plan, and then we lay out several options for them to invest in physical gold and silver.” Gerszt cautions against providers who exploit consumer anxiety. “If you offer a real solution you should be able to allay people’s fears, not increase them.”
About Goldco Precious Metals
Goldco Precious Metals (goldcopreciousmetals.com), located in Los Angeles, CA, is a privately held retirement services firm specializing in wealth and asset protection. They offer a range of retirement investment accounts including traditional, self-directed and Self Storage IRAs; as well as IRA, 401(k) and 403(b) rollovers. Founded in 2006 by finance and precious metals authority Trevor Gerszt, Goldco also offers direct sales of precious metals coins and bullion to collectors and investors.
Maggie Byrne, Goldco Precious Metals, http://GoldcoPreciousMetals.com, 855-465-3472, [email protected]
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