DIRECTION LETTER c/o Polycomp Administrative Services, Inc., IRA Department

Transcription

1 IRA Owner s Information Name DIRECTION LETTER c/o Polycomp Administrative Services, Inc., IRA Department Account Number Acknowledgement: I have read and understand Prohibited Transactions in Self-directed IRAs (page 5). I will not personally benefit from this investment while it is held in my IRA. IRA Owner s Initials PURCHASE AN ASSET Name of Asset: Borrower(s) Name and Type of Note, Name of LP/LLC, Company Name for Stock Purchase, or Real Property address & APN Description of Asset/Units (LP/LLC) & cost per unit/number of Shares (private stock) & cost per share, etc. Purchase Amount $ Secured/Unsecured Note Purchase: Is the borrower and/or the seller a disqualified person, as described on page 5? No Yes Acknowledgement: I have read and understand the Loan Requirements (page 9) IRA Owner s Initials: Real Property Purchase: Is the seller a disqualified person, as described on page 5? Acknowledgement: I have read and understand the Real Property Requirements (page 8) IRA Owner s Initials: No Yes LP/LLC Purchase: Do any disqualified person(s), described on page 5, own an interest in the entity? No Yes, % owned Acknowledgement: I have read and understand the LP and LLC Guidelines (page 6) IRA Owner s Initials: Private Stock Purchase: Do any disqualified person(s), described on page 5, own an interest in the entity? No Yes, % owned Investment Contact Information Address Phone MAKE A PAYMENT Maintain the following Asset: Type of Payment: Capital call, foreclosure fees, property taxes, etc. Payment Amount $ METHOD OF PAYMENT Choose Make Check Payable To: One: Wire Funds: Wiring instructions attached. I have signed the wiring instructions as read and approved. Wire fees apply. SIGN the attached paperwork. All pages requiring Provident Trust Group, LLC's initials/signature have been initialed/signed by me as read and approved. Name of Asset: SELL the following asset: Name of Asset: Quantity: Delivery Instructions for Check and/or Executed Documents Mail FedEx* Name Hold for pickup at: Address Phone *FedEx requires a street address and phone number. Overnight service fee applies unless FedEx account number is provided. Additional Instructions I understand that additional fees may apply for special services. It is further understood that neither Polycomp Administrative Services (PAS) nor Provident Trust Group, LLC (PTG) will accept any liability for complying with the above instructions and that neither PAS nor PTG has recommended or rendered any advice with respect to this investment. The custodian is hereby authorized to execute all documents on my behalf to effect this transaction. I have read and approved the documents. IRA Owner s Signature Date Preparer /Provident Trust Group, LLC, Custodian s Signature Date Prepared /Date Signed 8880 W. Sunset Rd., Suite 250, Las Vegas, NV Direction Letter

2 Wires: Bank Information: First Foundation 2250 Douglas Boulevard, Suite 100 Roseville, CA ABA # Payment Instructions Beneficiary: Provident Trust Group, LLC Custodian for Self-directed IRAs 3000 Lava Ridge Court, Suite 130 Roseville, CA Account # Reference*: Provident Trust Group FBO (IRA Owner s Name) IRA (or Roth IRA) *Wires received without a reference will be rejected Checks: PLEASE NOTE - CHECKS WITH INCORRECT PAYEE INFORMATION OR MISSING INFORMATION MAY BE RETURNED TO THE ORIGINATOR. THE IRA OWNER, IF IDENTIFIABLE, WILL BE NOTIFIED OF THE RETURNED PAYMENT. Payable to: Provident Trust Group FBO (IRA Owner s Name) IRA (or Roth IRA) Mail to: Polycomp ATTN: IRA Department 3000 Lava Ridge Court, Suite 130 Roseville, CA Reference*: For Loan Payments - Borrower s name, loan amount, principal and interest breakdown For Other Investments -Investment name, indicate return of capital (full or partial) and/or earnings For Multiple IRA Owners - If submitting a single check, you must provide each IRA Owner s name, their allocated amount, and the name of the borrower or investment to which the allocated payment pertains. *If combining multiple payment items into one check, you must provide a breakdown. Non-Cash Assets (Transfer or Rollover): Assets assigned to: Provident Trust Group FBO (IRA Owner s Name) IRA (or Roth IRA) c/o Polycomp Administrative Services, Inc., 3000 Lava Ridge Court, Suite 130, Roseville, CA Tax ID # Assignments of assets are prepared, executed, and forwarded to the investment company by the present trustee or custodian. Please forward copies of the executed assignments, investment contact information, and evidence of ownership (original asset documents) to Polycomp. If you have additional questions, please contact the IRA Department at or IRASupport@polycomp.net. Rev Payment Instructions, RV

3 Assets Administered by Provident Trust Group, LLC (PTG) Investor Choice IRA While IRAs can hold many different investments the Internal Revenue Service (IRS) specifically excludes two types of investments: collectibles (artwork, rugs, antiques, gems, stamps, most coins, etc.) and life insurance. An IRA also cannot invest in Subchapter S corporations as it does not meet the requirements of an eligible shareholder. The range of assets acceptable for investment is nearly unlimited; the IRA Trustee or Custodian determines the type of investments they will accept. The IRA Owner should initiate appropriate due diligence prior to selecting an investment. PTG accepts the asset types listed below. Other assets would need to be reviewed by PTG prior to acceptance. Secured Note A secured note is a Promissory Note that is guaranteed by an interest in an asset that is worth as much or more than the amount of the loan. If the borrower defaults on the loan, the IRA may become the owner of the asset securing the note. Notes can be secured by property, vehicles, mobile homes, accounts receivable, etc. As with an unsecured note, the note spells out the terms of the loan, such as interest rate, loan amount, payment schedule, etc. A Deed of Trust, a Mortgage, or a Uniform Commercial Code (UCC1) filing with the Secretary of State may be used to place a lien against the secured asset. For most vehicles, the IRA would be placed on the title as lien holder, just like any other lender. Note and Deed of Trust: A Deed of Trust involves three parties: the trustor (borrower), the beneficiary (lender: the IRA), and the trustee (may be a title company or third party, but the trustee cannot be a disqualified person). When the loan is repaid the title is reconveyed back to the trustor. A Note and Deed of Trust is the preferred financing instrument in California because of the ease of foreclosure. When a loan is in default, the beneficiary can order the trustee to hold a trustee s sale where the property can be sold. The process takes about 4 months. Note and Mortgage: A mortgage involves just two parties: the mortgagor (borrower) and the mortgagee (lender). The mortgage places a lien on the property, but legal title remains in the name of the borrower. If the borrower defaults, court proceedings are required, which may take up to two years: one year to foreclose and an additional year in which the borrower has the right to redeem the property. Note and UCC1 filing: The Uniform Commercial Code (UCC) provides for the filing of certain financial statements, agricultural liens, and other lien documents with the Secretary of State. Filing with the Secretary of State s Office serves to perfect a security interest in the named collateral and establishes priority in case of default or bankruptcy. A UCC filing can be used when a lien is attached to certain real property, such as mobile homes, a business inventory, etc. Please note that UCC1 filings are generally effective for 5 years and may need to be re-filed for loans with terms over 5 years. Unsecured Note Sometimes called a Promissory Note or a Straight Note, an unsecured note is only guaranteed by the borrower s promise to pay. The borrower signs a note, which may be as simple as a hand written agreement. The borrower s signature must be notarized and a W-9 must be completed by the borrower. The note spells out the terms of the loan, such as interest rate, loan amount, and payment schedule. The loan may be amortized, interest only, or a balloon note, receiving full payment and interest at maturity. The Custodian holds the original note in safekeeping. Real Property Real property or real estate includes raw land, pre-development, commercial, residential, etc. Property can be owned directly by the IRA or the IRA can hold an interest in an LP/LLC that holds title to the property or an interest in real estate investment trusts. For further information, please refer to our Investor Choice IRA Frequently Asked Questions (FAQs) and Real Property Requirements, available on our website or upon request W. Sunset Rd., Suite 250, Las Vegas, NV Assets Administered by PTG

4 Interest in Limited Partnership (LP) or Limited Liability Company (LLC) LPs and LLCs have become a popular instrument to hold investments as a result of the liability protection that they may provide. Investors in LPs are called partners, while investors in LLCs are called members. The partners/members pool their funds to invest in trust deeds, real property, etc. Any income generated by the investments flows back into the LP or LLC to be reinvested by the LP/LLC or distributed to the limited partners/members. The LP/LLC files a K-1 each year reporting each partner s/member s share of the earnings. When IRA funds are used to invest in LPs/LLCs, the partner/member is Provident Trust Group FBO (IRA Owner s Name) IRA (or Roth IRA) and the tax ID number is that of the custodian. Usually, an LP/LLC will have an Operating Agreement, an Investor Questionnaire, and/or a Subscription Agreement. The IRA Owner reviews all documents, answers any investor questions, and signs each page requiring the investor s signature or initials as read & approved. The IRA Custodian signs as the new partner/member/investor. The IRA cannot be the General Partner of an LP or the Managing Member of an LLC. In addition, once the LP/LLC is funded, no further contributions or capital calls may be allowed if the IRA, IRA Owner and any disqualified persons combined own 50% or more of the LP/LLC. For further LP/LLC requirements refer to our LP and LLC Guidelines, available on our website or upon request. Normally earnings on investments held within an IRA are not taxed until the IRA Owner takes a distribution. However, sometimes the LP or LLC generates unrelated business taxable income (UBTI). If an LP or LLC generates UBTI it may be reflected on the K-1. If an IRA investment has UBTI the IRA must file IRS Form 990-T and pay unrelated business income tax (UBIT). This tax must be paid from cash held in the IRA. The IRA Owner s tax advisor or CPA prepares the 990-T; PTG signs as custodian. For further details, refer to our Unrelated Business Taxable Income Policy & Procedure, provided upon request. Privately Held Stock Privately held companies are companies whose stock is not traded publicly, i.e., the stock cannot be bought and sold on a public stock exchange. Often these companies are just forming or are owned by a single family. To invest IRA funds in a privately held company, the IRA Owner and his or her lineal descendents combined must own less than 50% of the company at the time of purchase, or a disinterested third party must own the company. A corporation can issue two general types of stock: common stock and preferred stock. When purchasing privately held stock a subscription or purchase agreement is required. The Custodian holds the original stock certificate(s) in safekeeping, if stock certificates are issued. For a rollover, transfer in-kind, or purchase of stock from a current shareholder, additional documents will be required. S-Corporations can only have individuals as shareholders; therefore, an IRA cannot invest in S-Corporation stock. Precious Metals Precious metals include certain gold, silver, platinum and palladium coins and bullion. Precious metals purchased in an IRA must adhere to applicable fineness and/or bullion standards as described in the Taxpayer Relief Act of 1997 and must NOT be collectibles as described in IRS Publication 590. PTG uses Delaware Depository Services Company (DDSC), a Division of Depository Trust Company of Delaware, LLC, for storage of precious metals. An IRA Owner cannot personally hold or store precious metals owned by the IRA. Foreign Investments PTG may hold investments in U.S. based companies whose holdings include foreign investments, and may hold foreign property, if the asset can be valued annually in US dollars. PTG will only hold titled property directly or through a corporation. PTG will not hold property through a Right of Possession (ROP). Refer to our Real Property Requirements, available on our website or provided upon request. Foreign assets must be reviewed and approved by PTG on a case by case basis. Please note: PTG does not evaluate assets as to merit or appropriateness as an investment. Assets Administered by PTG

5 Provident Trust Group, LLC (PTG) Prohibited Transactions PTG is committed to providing professional services within the applicable guidelines of federal and state statutes and regulations. PTG will not accept, process, or hold any investment that is a prohibited transaction as defined in Internal Revenue Code (IRC) Section 4975 or Internal Revenue Service (IRS) Publication 590. In addition, PTG reserves the right to refuse to hold an investment that may potentially be considered a prohibited transaction or an indirect prohibited transaction. Any improper use of your IRA by you, your beneficiary, or any disqualified person is considered a prohibited transaction. Prohibited transactions include the direct or indirect: Sale, exchange, or leasing of any property between the IRA and a disqualified person. For example, an IRA cannot buy an investment currently owned by the IRA Owner. Lending of money or other extension of credit between the IRA and a disqualified person. For example, the IRA cannot loan money to the IRA Owner or a disqualified person. Furnishing of goods, services, or facilities between the IRA and a disqualified person. For example, an IRA Owner cannot pledge the IRA assets as collateral for a personal loan. Transfer of the income or assets of the IRA to a disqualified person, or use by or for the benefit of a disqualified person. For example, the IRA cannot loan money to a third party who uses the funds to benefit the IRA Owner or another disqualified person. Any act of the IRA Owner by which income from the IRA or assets of the IRA are used for his or her own interest. For example, the IRA Owner cannot benefit from an asset owned by the IRA. The receipt of consideration by the IRA Owner for his or her account from any party dealing with the IRA in a transaction that involves IRA income or assets. For example, the IRA Owner cannot receive compensation for any transaction involving the IRA. A disqualified person includes: You Your spouse Ancestors Lineal descendants Spouses of lineal descendants An entity (i.e., partnership, trust) in which any disqualified person(s) holds a combined interest of 50% or more The consequence of engaging in a prohibited transaction in an IRA is generally a total disqualification of the IRA, resulting in a taxable distribution of the entire value of the IRA to the IRA Owner, which may also incur penalties. We recommend that questionable transactions be reviewed by an ERISA attorney, who specializes in retirement law. If you would like to review these rules, please call us. Please note: PTG does not evaluate assets as to merit or appropriateness as an investment W. Sunset Rd., Suite 250, Las Vegas, NV PTG Prohibited Transactions

6 Provident Trust Group, LLC (PTG) Limited Partnership (LP) and Limited Liability Company (LLC) Guidelines How to complete the LP/LLC Documents : PTG as Custodian signs all documents as the limited partner/member/investor/subscriber. All pages requiring PTG s initials/signatures must also be initialed/signed by the IRA Owner as read and approved. If required by the LP/LLC, the IRA Owner completes and signs/initials the investor questionnaire pages in the agreement. If the investor questionnaire is a separate document please complete, sign and return the questionnaire to PTG with the agreements and the Direction Letter, so that a complete document can be sent to the LP/LLC. The limited partner/member/investor/subscriber is Provident Trust Group FBO (IRA Owner's Name) IRA (or Roth IRA). Contact Polycomp for correct vesting for an Inherited IRA or an Inherited Roth IRA. The tax ID number of the limited partner/member/investor/subscriber is that of the custodian: Documentation required to invest in an LP or LLC: Completed and executed PTG Direction Letter Limited Partnership Agreement or Operating Agreement or equivalent document Subscription or Purchase Agreement (if not included in the documents above). o Note: A Subscription or Purchase Agreement (or similar documentation) is required for additional purchases and capital calls. Once the LP or LLC investment is funded, the IRA Owner must provide a copy of the fully executed document(s) evidencing the IRA s ownership, including the Subscription Agreement or Purchase Agreement signed by the general partner or manager accepting the IRA as an investor. IRA Owner s Responsibilities and General Guidelines: If you, your IRA, and other disqualified persons and/or entities combined own 50% or more of an existing LP/LLC your IRA will not be able to invest in the LP/LLC. The IRA cannot be the general partner of an LP or a managing member or manager of an LLC. The IRA and the IRA Owner cannot guarantee loans to the LP/LLC; loans to the LP/LLC must be nonrecourse. Provident Trust Group FBO (IRA Owner's Name) IRA (or Roth IRA) must be shown on all documents as the limited partner/investor/subscriber/member. Contact Polycomp Administrative Services, Inc. for correct vesting for an Inherited IRA or an Inherited Roth IRA. The IRA Owner must provide an annual 12/31 fair market value (FMV) from the general partner/manager or a reliable third party by May 1 st of the following year. This year-end value must be provided before calculating age 70½ required minimum distributions (RMD). An updated FMV, dated within the last month, must be provided when requesting the distribution of a LP/LLC interest or the Roth conversion of a LP/LLC interest in-kind. Foreign investments will be reviewed on a case by case basis to determine if it is a type of asset that PTG will hold as Custodian. The asset must be valued annually in U.S. dollars Lava Ridge Court, Suite 130 Roseville, CA Tel (916) Fax (916) Ventura Boulevard, Suite 200 Encino, CA Tel (818) Fax (916) Camino Del Rio South, Suite 608 San Diego, CA Tel (619) Fax (619) PTG LP and LLC Guidelines

7 For single member LLCs (your IRA will own 100% of the LLC): The assets of the LLC are considered assets of the IRA. The Operating Agreement or Subscription Agreement must require that the manager appoint a qualified professional such as a CPA or attorney to either serve as the manager or to conduct a review of each transaction before execution. Note: The IRA Owner may be required to provide documentation of all transactions upon audit. If the manager is the IRA Owner or other disqualified party no compensation can be paid to the manager of the LLC. If the manager is the IRA Owner or other disqualified party the manager s activities are restricted to administrative and investment oversight, i.e., the manager cannot physically work on property owned by the LLC. Capital calls are allowed and expenses of the LLC can be paid directly from the IRA. If disqualified persons/entities combined will own 50% or more of the LLC: The Operating Agreement or Subscription Agreement must require that the manager appoint a qualified professional such as a CPA or attorney to either serve as the manager or to conduct a review of each transaction before execution. Note: The IRA Owner may be required to provide documentation of all transactions upon audit. If the manager is the IRA Owner or other disqualified party no compensation can be paid to the manager of the LLC. If the manager is the IRA Owner or other disqualified party the manager s activities are restricted to administrative and investment oversight, i.e., the manager cannot physically work on property owned by the LLC. Additional investments, capital calls, and payment for expenses in the LP or LLC may be prohibited; the Operating Agreement or Subscription Agreement should not require these types of additional funding. We recommend that you seek legal counsel regarding additional contributions or investments into multimember LLCs made after the formation or initial investment into the LLC by the IRA. Plan Asset Regulations: If the LP/LLC is an investment company and the LP/LLC is owned 25% or more by IRAs and employee benefit plans (retirement plans) then Plan Asset Regulations prohibit new investments by retirement plans or additional contributions or capital calls from existing retirement plan investors. If the LP/LLC is an operating company the 25% restriction does not apply. The general partner/manager should determine if this regulation applies. Please note: PTG does not evaluate assets as to merit or appropriateness as an investment. Provident Trust Group, LLC, 8880 W. Sunset Rd., Suite 250, Las Vegas, NV PTG LP and LLC Guidelines

8 Provident Trust Group, LLC (PTG) Real Property Requirements PTG will hold property subject to the following: The property must be for investment purposes only. The IRA Owner and disqualified persons (i.e., children, spouse, parents) may not use, live in, rent, or benefit from the property while it is held in the IRA. The IRA Owner must make the initial offer to purchase the property in the name of Provident Trust Group FBO (IRA Owner s Name) IRA or (Roth IRA) as the buyer/purchaser. The earnest money deposit must come from the IRA. The property must be titled directly in the name of PTG (or through an entity in which PTG holds an interest; PTG will not hold Rights of Possession). The IRA must obtain title insurance at the time of purchase. If title insurance is not available in the country where the property is located the IRA Owner will be required to sign a waiver. For residential or commercial property the IRA must have an agreement with a third party property manager (vacant land excluded). o Any income generated by the property must be payable directly to PTG as custodian or to the property manager. o o o o If payments are made to the property manager only a small portion should be retained for ongoing expenses. The balance must be forwarded to Provident Trust Group FBO (IRA Owner's Name) IRA (or Roth IRA) via check as soon as administratively feasible. The check must be accompanied by detailed instructions as to how the funds should be applied, i.e., deposit, rental income, etc. The property manager is responsible for ensuring that all expenses, such as property taxes, insurance premiums, homeowner s association fees and maintenance expenses are paid in a timely manner from the property management trust account. If the expenses exceed the retained cash the property manager must forward the bills/invoices to PTG for payment. Expenses cannot be paid by the IRA Owner with personal funds. A Direction Letter signed by the IRA Owner is required for Polycomp to pay expenses. The property manager must provide an accounting of the income and expenses for the property and a year-end cash balance of the management account annually by May 1st. The management account cash balance will be reflected on the IRA statement and included in the FMV of the IRA which is reported annually to the IRS. The IRA Owner must provide the 12/31 Fair Market Value (FMV) of the property by May 1st of the following year. For further information, refer to the Fair Market Value (FMV) Requirements, available on our website or upon request. Each parcel purchased will be held as a separate asset and separate administration fees will apply. To fund the earnest money deposit for a new purchase, PTG requires the following documentation: Direction Letter for Earnest Money Deposit: Completed and executed by the IRA Owner. Purchase Agreement (PA): A copy of the fully executed PA showing Provident Trust Group FBO (IRA Owner s Name) IRA or (Roth IRA) as the purchaser (contact Polycomp for the correct vesting for an Inherited IRA or an Inherited Roth IRA). To fund the final purchase, PTG requires the following documentation: Direction Letter: Completed and executed by the IRA Owner. Proposed preliminary title report (or chain of title) with full property description (legal description and street address) or executed waiver if title insurance is not available. Purchase agreement, independent escrow and closing documents, including a copy of the Grant Deed, drafted in the name of Provident Trust Group FBO (IRA Owner s Name) IRA or (Roth IRA). o The IRA Owner signs/initials all documents as read and approved and PTG signs/initials the documents as Custodian/buyer. If annual property tax bills were mailed prior to the sale of the property, the new owner (the IRA) may not receive a reminder when the remaining payment is due. It is the IRA Owner s responsibility to confirm when property taxes are due to avoid penalties. Please contact our office if you have questions. Please note: PTG does not evaluate assets as to merit or appropriateness as an investment W. Sunset Rd., Suite 250, Las Vegas, NV PTG Real Property Requirements

9 Provident Trust Group, LLC (PTG) Loan Requirements PTG will hold secured and unsecured notes/loans subject to the following: A third party loan servicing agent is required for all secured and unsecured notes held by PTG as custodian. o Neither PTG as a directed custodian nor Polycomp Administrative Services, Inc. (PAS) as administrator acts as a loan servicer for the notes held in your IRA. We do not track payments or provide notices of default. The maturity date of your loan will be shown on your quarterly statement and we will take no other action to notify you regarding loans past maturity. o A loan servicer typically collects and forwards all payments to PTG as Beneficiary of the note, maintains records of payments, interest and principal, collects past due payments and penalties, takes action to notify of default and/or other duties as agreed between the IRA Owner and the agent. A loan servicer can also be the Trustee of the Deed of Trust and foreclose the security. o A separate loan servicing agreement is required for each note. o The loan servicing agent cannot be a disqualified person, such as the IRA Owner s spouse or child, or an entity owned 50% or more by the IRA Owner or disqualified persons. o An executed copy of the Loan Servicing Agreement must be provided prior to funding the loan. A minimum balance must be maintained in the cash account of the IRA. Based on the terms of the note, we can help the IRA Owner determine the required minimum balance and the appropriate cash reserve needed prior to funding. The IRA cannot make a loan to the IRA Owner or any disqualified person, i.e., spouse, lineal descendents or ascendants. The interest charged must be based on an arm s length transaction and at a fair market rate to be in compliance with the Exclusive Benefit Rule (IRC 408(a)). Special treatment because of a relationship to the IRA Owner will always violate the Exclusive Benefit Rule. A current FMV from the loan servicer or reliable third party knowledgeable and trained to assess the value of the asset is required at the time of any taxable distribution, including Roth conversions, and before calculating the required minimum distribution. The IRA Owner is responsible for ensuring that documents required to secure collateral for a loan are titled in the name of Provident Trust Group FBO (IRA Owner s Name) IRA (or Roth IRA) and properly recorded. Unsecured Note/Loan Documents and information required before funding: A current Polycomp Direction Letter completed as required. The original executed Note with the borrower s notarized signature. Polycomp will hold the original Note in safekeeping. The Note must show the lender as Provident Trust Group FBO (IRA Owner s Name) IRA (or Roth IRA). Contact PAS for correct vesting for Inherited IRAs. An IRS Form W-9 completed and signed by each borrower. The SSN/TIN will be used to confirm each borrower s identity and it may be used to report any forgiven debt to the Internal Revenue Service (IRS) if the note is distributed at an impaired value. If required, the Tax ID number used is that of the Custodian: If an existing note/loan is being purchased from a third party, the IRA Owner must provide the original executed Assignment of Note and a copy of the original executed Note. Rev Lava Ridge Court, Suite 130 Roseville, CA Tel (916) Fax (916) Ventura Boulevard, Suite 200 Encino, CA Tel (818) Fax (916) Camino Del Rio South, Suite 608 San Diego, CA Tel (619) Fax (619) PTG Loan Requirements

10 All pages requiring PTG s initials/signatures as custodian require the IRA Owner s initials/signatures as read and approved. Secured Note/Loan Documents and information required before funding: A current Polycomp Direction Letter completed as required. A draft copy of the Note and Deed of Trust or Mortgage showing the lender/beneficiary as Provident Trust Group FBO (IRA Owner s Name) IRA (or Roth IRA). Contact PAS for correct vesting for Inherited IRAs. If required, the Tax ID number used is that of the Custodian: For a line of credit (LOC) or construction loan, the full amount of the loan must be available in the IRA to assure that funds will be available for each draw. A new Direction Letter will be required for each draw. If an existing loan is being purchased from a third party the IRA Owner must provide draft copies of the Assignment of Note and Assignment of Deed of Trust or Mortgage showing the lender as Provident Trust Group FBO (IRA Owner s Name) IRA (or Roth IRA). A copy of the original Note and recorded Deed of Trust or Mortgage and all historical documents are also required. Original documents should be returned to Polycomp after recording to be held in safekeeping. o Exceptions may be made for multi-beneficiary notes and original documents held by loan servicing agents; however, a copy of the executed, recorded documents must be provided to Polycomp. The IRA Owner is responsible for ensuring that the Deed of Trust or equivalent document is recorded. If no title company is involved the IRA Owner must provide the name and contact information of the person who will be responsible for recording the Deed of Trust or equivalent document and sending the original executed documents to PTG. For loans secured by assets other than real property, draft copies of a UCC1 Financing Statement or other appropriate documents designating Provident Trust Group FBO (IRA Owner s Name) IRA (or Roth IRA) as beneficiary are required before funding. The IRA Owner is responsible for ensuring that the UCC1 Financing Statement is filed with the appropriate Secretary of State. A copy of the filed document is required to complete the loan file. Please note that UCC1 filings are generally effective for 5 years and may need to be re-filed for loans with a term greater than 5 years. All pages requiring PTG s initials/signatures as custodian require the IRA Owner s initials/signatures as read and approved. Please note: PTG does not evaluate assets as to merit or appropriateness as an investment. Provident Trust Group, LLC, 8880 W. Sunset Rd., Suite 250, Las Vegas, NV PTG Loan Requirements