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Can my self directed IRA make loans to a friend?

April 26, 2017directed friend IRA Loans self

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Can my self directed IRA make loans to a friend?

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Of course. Friends are not “disqualified persons” under the IRS Code so the self directed IRA can make loans to them for any purpose whatsoever (boat, hot tub, home improvements, etc). Of course, you will want to make sure there are proper terms and formalities since this is your retirement.