Opening a LendingClub IRA
Hypothetical. For illustrative purposes only. Your results may vary.
Many investors choose to open a LendingClub IRA because they can combine the potential benefits of investing in LendingClub Notes with the tax treatment of a retirement account.*Open a LendingClub retirement account
LendingClub offers a variety of individual retirement accounts (IRA), including: Traditional IRA, Roth IRA, SEP IRA, SIMPLE IRA, and Inherited IRA.
Which Type of IRA is Right for You?
Retirement accounts are one tool investors can use to potentially grow their money until they reach retirement age. It has been suggested* that retiring with enough to replace 80% of your annual salary is a good goal to maintain your pre-retirement lifestyle. If you’re not planning to retire for a number of years and are looking to continue building your nest egg to hit that replacement salary goal, a LendingClub IRA could be right for you.
IRAs Available Through LendingClub*
What Goes into a LendingClub IRA?The assets you’re investing in with a LendingClub IRA are Notes, which correspond to fractions of personal loans. Learn more about Notes.
Open an IRA
How to open and fund your LendingClub IRA
The minimum to invest through a LendingClub IRA is $5,500. While you open your IRA through LendingClub, LendingClub pairs with a custodial bank, IRA Services Trust Company (ISTC),4 to hold your account. Like many platforms, ISTC has an annual account fee. By investing the minimum of $5,500, LendingClub will pay the $40 ISTC annual fee on your behalf, which means it’s not eating away at your potential investment return. Read more about the fees related to partner custodians.
Depending on the type of IRA you choose, there are three ways to fund your account:
- Annual Contributions – Either full or partial.
- 401(k) Rollovers – Contact your existing plan administrator to determine how to complete a rollover from their organization to LendingClub.
- IRA Transfers – If you have an existing IRA with another provider, you can initiate a direct trustee-to-trustee transfer.
Eligibility to Open a LendingClub IRA
To open an IRA with LendingClub, you must be a U.S. citizen and meet the requirements of our State and Financial Suitability Policy.
Required Minimum Distributions:
Investors may take required minimum distributions from their LendingClub IRA, but please keep in mind that you as the investor are responsible for ensuring there’s enough cash available in your account for withdrawal, and for knowing the tax and other financial implications of taking a distribution.* To request a required minimum distribution from your LendingClub IRA, send an email to email@example.com.