Self Directed IRA Promissory Notes
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Alternative Investments > Promissory Notes
A promissory note is a form of debt that can sometimes be held in a self directed IRA. The borrower, through the note, promises to return the IRA owner’s funds, and make fixed-interest payments to the IRA owner in exchange for borrowing the money. Promissory notes have set terms, or repayment periods, ranging from a few months to several years. The
self directed IRA owner or a third party will have the responsibility of collecting the principal and interest due on behalf of the
self directed IRA.
Investors need to know that promissory notes are marketed almost exclusively to sophisticated investors with the expertise and information to determine if the investment is appropriate. Millennium Trust does not recommend any particular investment or asset category. Investors are urged to speak with a tax or investment advisor before investing
self directed IRA funds.
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