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Level 2
April 25, 2020
Solved

Borrow and repay IRA

  • April 25, 2020
  • 4 replies
  • 35 views

I am buying a new home (not my first home). Can I borrow/use funds from my Traditional IRA and/or ROTH IRA and repay the monies in a certain timeframe so they are not treated as distributions?

Best answer by Critter

Yes it applies to both HOWEVER you can only do this ONCE in a 365 day period  so make ONE distribution only.

4 replies

DoninGA
Level 15
Level 15
April 25, 2020

You cannot borrow from an IRA.  You can only make a distribution from the IRA.

VolvoGirl
Level 15
April 25, 2020

You have 60 days to put it back (plus any withholding taken out).  

sandsinvAuthor
Level 2
April 26, 2020

Thanks for the response...Does the 60 day window apply to both a Traditional IRA AND a ROTH IRA???

Really want to use ROTH IRA funds until my house closes...

Thanks,

Randy

Critter
CritterAnswer
Level 15
April 26, 2020

Yes it applies to both HOWEVER you can only do this ONCE in a 365 day period  so make ONE distribution only.