dagilbe and graceful are correct indeed.
Here is the bad thing with a Prosper IRA though.
Once you get your funds sent to Sterling Trust who will forward them to your Prosper IRA account, you can start buying Prosper notes from within your IRA.
Sounds great right?
The problem comes in if you ever decide to get your investment back out of your Prosper IRA. Once you buy a note from within a Prosper IRA, there is no way for you to sell that note early to convert it back to cash. If you buy a note in your Prosper IRA you own that note until maturity.
You can transfer your cash balance back to Sterling Trust in order to move it somewhere else, but you cannot sell your notes in your IRA.
If your not sure you want to tie your funds up for a full 3 or 5 years, I would suggest using Lending Club.
Lending Club lets you buy and sell notes in an IRA account through Folio just like they let you buy and sell in a normal account.
You still need to use a trustee to transfer the funds between yourself and Lending Club, but at least in an emergency you could sell your notes, transfer the cash back to the trustee, and get your funds back.
Just my .02 cents.
Jeff
Here is the bad thing with a Prosper IRA though.
Once you get your funds sent to Sterling Trust who will forward them to your Prosper IRA account, you can start buying Prosper notes from within your IRA.
Sounds great right?
The problem comes in if you ever decide to get your investment back out of your Prosper IRA. Once you buy a note from within a Prosper IRA, there is no way for you to sell that note early to convert it back to cash. If you buy a note in your Prosper IRA you own that note until maturity.
You can transfer your cash balance back to Sterling Trust in order to move it somewhere else, but you cannot sell your notes in your IRA.
If your not sure you want to tie your funds up for a full 3 or 5 years, I would suggest using Lending Club.
Lending Club lets you buy and sell notes in an IRA account through Folio just like they let you buy and sell in a normal account.
You still need to use a trustee to transfer the funds between yourself and Lending Club, but at least in an emergency you could sell your notes, transfer the cash back to the trustee, and get your funds back.
Just my .02 cents.
Jeff