Important Notice: Our web hosting provider recently started charging us for additional visits, which was unexpected. In response, we're seeking donations. Depending on the situation, we may explore different monetization options for our Community and Expert Contributors. It's crucial to provide more returns for their expertise and offer more Expert Validated Answers or AI Validated Answers. Learn more about our hosting issue here.

I see some websites talking about checkbook control. What is it?

April 26, 2017checkbook CONTROL talking Websites

0

Posted

I see some websites talking about checkbook control. What is it?

1 Answer

0

Posted

We do not recommend this option unless you have a knowledgeable CPA to help you comply with a ton of IRS regulations covering “Checkbook control”. Quite simply it means that you are the signer of the checks. With this you can make an immediate decision, sign the contract and then write the check. This truly puts you in control. Some of these websites claim that you if need to make a snap decision, going back through the Custodian to do it right may cause you to lose a deal. This could be true, but we have found that any deal worth doing also provides the time for proper due diligence before rushing into something. It also can put the tax deferred or tax free status of your IRA in jeopardy if you mess up. Our approach does not require that you have checkbook control so your chances of having some regulatory problems are close to, if no nil.