There is a fixed set of rules that have to be followed in order to open a gold IRA. If these rules would not exist, people would get ripped off. While the consumers are protected by the rules, it can get a little tricky for the investors to understand how the gold IRA market works. You have to understand and follow the set of rules in order to make sure you still have advantages and benefits from your gold IRA. In order to protect you, each rule has consequences. If you don’t follow them, you can lose money and this the last thing you want. Https://www.focusontheuser.org/gold-ira-rollover/ for details.
The basic rule is that your IRA gold that must be held by a qualified custodian who knows what this is all about. The custodian can protect your funds from frauds or illegal transfers. You should not think that a custodian can protect your earnings from going down in value or bad market conditions.
Government made coins
The gold coins that you want to invest in have to be government approved. On some websites, you can find collector value coins, but you can’t be sure of the amount of gold used to make those coins. You can find yourself in the position to achieve only gold plated coins and not real gold coins. You can store in your gold IRA only government made coins.
Ninety nine percent purity
Another rule is that all gold coins have to be 99% percent pure to have tax advantages. Even if you only pay taxes when you reach the retirement age and withdraw your earnings, if you don’t have such pure coins you can lose the tax advantages.
Withdrawal of your funds
The last rule implies that you can withdraw your funds, without any penalties, when you reach the age of 59 and a half. If you withdraw earlier, you lose the tax advantages.