I set up a Self-Directed Roth IRA
I set up a Self-Directed Roth IRA, LLC. through Madison Trust Company. They were very helpful when I was setting up the LLC. Was told that they would be there to help me along the way. Overall they were good but unfortunately I had a recent experience which has made me reconsider how helpful Madison Trust really is.
There are prohibited investments which are not allowed within the Self-Directed IRA, LLC. One such prohibited investment is in regards to collectibles which includes, art work, trading cards, etc.
On Monday April 27, 2026, I sent an email to Madison Trust's support section an email asking if buying shares in artwork was a prohibited investment or not? I was not actually buying the artwork rather only buying shares in the piece of art.
I received responses telling me Madison Trust could not provide investment advise. That I needed to speak to an investment advisor, or that there were videos for me to watch or articles to read on their website. NOT AN ANSWER TO THE SIMPLE question I had.
I wrote an email response stating that I was not asking about investment advise, I just wanted to know if buying shares in artwork was prohibited within an LLC?
Again, I was advised that Madison Trust does not give investment advise.
My response was first that perhaps I need to move account to another custodian and my second email stated that if I did not have a checkbook LLC then I would have to RECEIVE APPROVAL FROM MADISON TRUST STAFF MEMBERS BEFORE I COULD MAKE AN INVESTMENT. THE STAFF THEN WOULD INFORM ME IF BUYING SHARES IN ARTWORK WAS A PROHIBITED OR NOT. So, why couldn't someone find out this information for me in the first place?
On Tuesday April 28, 2026, I received two (2) phone calls from Madison Trust staff who stated in their voice mail messages that the responses that I was give by support staff members was "unsatisfactory".
I contacted Mr. W. Osborne via phone on Wednesday April 29, 2026. He informed my situation was brought to his attention by support staff. That I was given a unsatisfactory response to my question. Investing in shares of artwork was not prohibited, I appreciated the assistance Mr. Osborne gave by providing me information.
He stated he was not in support and did not normally deal with these things. What I did not appreciated or like was Mr. Osborne telling me several times that Madison trust is a PASSIVE custodian. That the support section doesn't give investment advise because of compliance issues. I understand not giving investment advise. But what about other questions? If a support staffer doesn't know answer to a question, wouldn't good customer service mentally say, gee let me find? Rather than just give some canned response that is nowhere near the right or satisfactory response?
I know...., Madison Trust is a "PASSIVE CUSTODIAN".
Well going from a very satisfied customer to a highly disappointed customer, I am starting to see how Madison Trust really works.
Thank You again Mr. Osborne for going outside of your normal wheel house to answer my question but I now have more questions about Madison Trust's true customer service. I am looking into other custodians at the moment.