All Forum Posts by: Lisa Eisenhauer

Hi Shaz,
Okay, I have some good news.  You had me panicking there for a minute when you said that Titan Bank is a Nigerian bank! I looked it up and saw it too, but then realized that they were referring to Titan Trust Bank.  The bank that I have is called Titan Bank and was established in 1907.  Here is their webpage:  https://www.titanbank.com/about-us

As for Solera, yes, the main reason I chose Titan Bank over them is because Solera's webpage didn't have a professional enough look and feel to it compared to Titan Bank.  I had been through so much hassle already with the other banks that I wasn't in the mood for a bank that looked as if it would likely have sales reps with newborn babies crying in the background. :)

I wanted to go with Chase bank too for the same reasons you did, however, my attorney warned me that he has had multiple clients who had to go through endless hassles to accomplish their goals with them.  

So now my complaints about Titan's new portal system seem completely trivial... I recommend you call them today!  Overall, the setup and funding process was extremely straight-forward and the customer service was great.  I went through none of the headaches or hassles like I did with the other banks.  And the best part of all is that it is NOT Nigerian!

Good luck!  Take a deep breath!  I remember how stressful this was... it just felt like an endless saga that would never end.  

Given your workload and travel schedule, I personally feel that you'll be much happier passive investing.   It seems like a much better fit.  This will give you a chance to learn the right way by watching at an arm's length how seasoned professionals do it, rather than through trial-and-error where you're stressed and anxious all of the time over knowing that you don't know what you don't know and never being quite sure what to do about it.

I would recommend checking out the video library on Advanta IRA's website.  I just saw in my email that they had a webinar about passive investing today.   https://www.advantaira.com/event/self-directed-investing/?ut...

Once you find an investing method you'd like to learn more about, in addition to webinars, maybe check online for some books on the topic.  That's what I do these days.  As a heads up, if you do start going to REIA meetings, stay away from the infomercial crap they will try to sell you for the "low, low price of $997" if you sign up within the next 20 minutes.  They don't have any secret information in their binders of CD sets and illegible, photocopied forms from the 1980s that they're still reusing that you can't find online or in a book.

Good luck!  Don't burn yourself out!  That will defeat the purpose of what you're trying to do.  

Hi Shaz M. - Compared to what I went through before, it's working out extremely well because I finally got to fund my investment and move on with my life! 

Well,for the most part, anyway.  Their new online system is really confusing, and I have had to call customer support for help each time I needed to wire/ACH funds because I could never figure it out on my own (and their customer service chat box isn't set up yet).  One of my attorneys just sent me a bill reminder a couple of weeks ago for a fee I had already paid back in June/July, which never went through, and that I sent again in August.  Titan was able to track the funds to verify that the second attempt did in fact go through (with no need to try for a third time!) however, I noticed that I had still incurred a $150 late fee from the attorney along the way.  I'm still not exactly sure what happened... I was still confused when I went online to check my history, but in the end, it did go through and Titan's staff was helpful so I'm not blaming Titan for any wrongdoing.

So, overall, I like the bank and all of the people I've interacted with so far (except for the one guy who gives the same blanket response of "speak to your attorney or accountant" no matter what I ask... I could ask him what today's date is, or what his favorite color is, and that's how he would respond.) 

Honestly, however, aside from what I just mentioned I haven't logged in or dealt with Titan much lately.  So as time goes on, I will give updates. 

In the end, I got to successfully set up an account and fund my investment, which is much further than I would have gotten with any of the other banks/credit unions I tried. Therefore, I definitely recommend Titan Bank to anyone on this forum who wants to invest through an IRA.

Check out Titan Bank: https://www.titanbank.com/  

Someone on this forum recommended both Titan Bank and Solera Bank.

I just set up an account with Titan Bank and the application process included specifying percent ownership within the LLC. Based upon my very recent experience with them, I feel confident that they will understand exactly what you are trying to do, and why, and will be able to help you.

Good luck!  

Quote from @Dmitriy Fomichenko:

@Lisa Eisenhauer, 

Yes, this is known issue, most local banks will not be able to help you. Go to Solera National Bank or Titan bank, both of them specialize in accounts like this. 

Who established an IRA LLC for you? Didn't they provide you with the guidance on how to open bank account for the LLC?

Dmitriy, THANK YOU, THANK YOU, THANK YOU for responding to my question and for suggesting some banks!  You are officially my hero!  Thank you Tom and Dawn for sharing your experiences with Solera too.  I really appreciate it!

I went to my local credit union, Wells Fargo, and United Bank and each one turned me down after "checking with legal."  For anyone interested, here's what happened at each bank:

1) The credit union turned me down because 1) the LLC isn't local, 2) they had no way to enter an IRA as the owner of the account in their system, and 3) they were concerned about not being able to control my appropriate use of the funds as manager.

2) Wells Fargo - I went to the local branch who didn't have availability to meet with me and sent me to the next town over 40 minutes away for an appointment with a "specialist" who could help me. Wells Fargo ultimately turned me down because my specialist was completely clueless in general, and because she failed to accurately relay what I was telling her to her "internal contact" on the phone. She wouldn't put her on speaker phone and wouldn't let me speak to her on the phone directly. This created a mess because I was trying to correct what she was saying. The local branch manager got involved, couldn't understand what I was explaining either, didn't want to admit it, and got defensive and shut down when I tried having my attorney explain it to her in a different way. She actually refused to talk to him and so I put him on speaker phone so she could hear what he was saying. It was an awful experience. They had ZERO interest in learning about something new. My attorney asked the bank manager for a contact for a business account specialist (since this is Wells Fargo, after all) and they gave a number for another branch over an hour away. The big hangup for them was entering the IRA as the account owner, and me as the manager. They had never been asked to do this before and, like the credit union, met a roadblock based upon how the field in their system was worded or set up.

3) Union Bank - This bank was actually the best. The manager has worked there for over 37 years and said she has never heard of anything like this before, but she was willing to listen, learn something new, and work with me. She called legal directly and tried to convince them but they said no. They said they couldn't identify an IRA as the owner of an account and were uncomfortable with this unconventional request. They too had some issue with a field entry in their system. (I might call her back to ask her to remind me why this made legal so uncomfortable.)

I ended up going with Titan rather than Solera only because when I called another law firm, they said they have a close working relationship with Titan and would recommend them.  So when I got off the phone with the attorney's office, I called Titan, had a good experience on the phone with them, and went ahead with setting up an account.  So I didn't choose Titan over Solera, I just contacted Titan first, they worked out, and I never even called Solera. 

So for anyone reading this, the difference between Titan (and Solera) vs. other national banks is that their application for a business checking account specifically asks if you are trying to set up an LLC checking account for an LLC owned by an IRA, and if you check "yes," then you have the opportunity to enter the IRA custodian's contact information and clearly identify that the IRA is the owner and that the manager of the account has 0% ownership interest of the LLC. National banks do not do any of this, and do not even know what an IRA custodian is.

Oh! I forgot to mention that the thing that seemed to spook all of the national banks I went to the most was the "FBO" in the "IRA custodian's name FBO my IRA, acct. no. 12345678." There was something about that "FBO" that none of them liked. The women at Wells Fargo didn't know what "FBO" stood for. (It's "For Benefit Of" in case you're reading this and don't know either...)

I watched YouTube videos on this topic where they say not to mention that the LLC is owned by an IRA when you're trying to set the checking account up, or else you'll receive the push back that I received. However, I'm not sure how this is possible to not mention the IRA... As a disqualified person, it's important to me that it be 100% clear that I am merely the manager of the LLC and not the owner. Thankfully, Titan Bank addressed all of these concerns and I don't have to worry about it anymore.

I did hear that Chase Bank will do it but that their process is a pain and requires a bunch of workarounds in order to make it happen. 

Anyway, I hope this helps anyone reading this! Bottom line: Skip the regular banks!

Thanks again to everyone who responded to my post!  You have NO IDEA how much you helped me!  
 

Hi,

I am having the hardest time finding a bank that will open a checking account for an LLC because it is owned by my Roth IRA.

Apparently this is an issue that other investors have faced as well, because it requires a bank manager to do a minor workaround with a field entry in the system in order to make it work.  This requires a series of phone calls where someone along the way always shuts it down. 

Rather than continue this agonizing trial-by-error approach, I would appreciate if someone would please refer me to the specific bank branch and bank manager that set up your LLC checking account for you so that I can give them a call. I live near Richmond, VA, but if you have a national bank then I thought I could just have my local branch call the bank manager you used so that s/he can walk my rep through the steps required to make it happen.

Thanks! -Lisa 

Thank you, Patti!  I guess it's because I'm new to investing in syndications, know there's UBIT, which I've never dealt with before, and figured that it would be good to hire someone who is familiar with both.  The IRA custodian is helpful, yes, but in the end, I seem to be the one who holds the responsibility for anything I don't know I don't know. :)

Thanks, Greg.  I am just investing as an LP but it's my first time doing it and I would like some professional hand-holding, I guess.  I have a custodian already, but of course while they can help explain the steps of the process, everything is always couched with, "talk to your legal and tax professionals."  Aside from getting their nod of approval on the merits of the investment itself, I would also like their help with UBIT, and on creating an overall investing strategy long term.  I am looking for someone I can have an ongoing relationship with.  Are you suggesting that I line up more investments to make it worth their while to take me on as a client?  I guess I could do that.  Thanks again, -Lisa 

I am looking for an attorney and CPA with commercial multi-family syndication and self-directed IRA investing experience who can review a PPM over the next few weeks and professionally advise me through the process. This is proving to be much harder than I expected and I'm starting to get worried; anyone I can find who has the type of expertise I need is booked solid for months and usually not taking any new clients.
 
I have gone through the professional resource lists on the websites of the various self-directed IRA custodians and contacted any that seem to have the necessary expertise.   I live in Virginia and everyone I have contacted so far has been from out-of-state.  How important is it that I work with licensed professionals in the state I live in?

I am on FindLaw now, which feels like searching for a needle in a haystack.  Can anyone refer me to someone, and/or provide me with some ideas on where else to look?  I'm ideally trying to find someone I can establish a long-term relationship with for investing through my self-directed IRAs.

Thanks! -Lisa