Chase Private Client

[Another Reader]

I have gotten solicited for this a couple of times over the last few years, but not recently. I am not turning money over to them to invest, so they lose interest quickly. Recently Wells Fargo has become more difficult to deal with, so I am looking at options.

I don't see much there, except free wire transfers and generally easier transactions with higher limits without getting a "banker" involved. B of A is even more difficult than Wells and I hated their mortgage servicing so they are out. Any opinions on these allegedly higher service level accounts?

 

[Act2]

I’ve been very pleased with Chase Private Client. I think a lot depends on your particular banker and mine is excellent. I have had a number of transactions that required either Medallion or other bank officer certifications, as I’ve had to handle trusts and estates and complex asset distributions for three senior family members who passed away these past several years. That said, I always have more than one bank, I just feel better that way, so I also have a small local bank I like very much. And, a work related credit union. I remain a Vanguard fan and customer, also.

Chase Private Client runs some specials where if you deposit a large sum (different amounts for different promotions) they will add a bonus amount to your account if you keep it there awhile, usually 90 days. So check online for those promotions before switching over, if you have a considerable amount. You may need to have a promo code in hand before the transfer for that to work, which you might get in a mail solicitation or you can get online.

As to their related JPMorgan brokerage and financial advising, I am just getting to know them so while I have a good impression so far I cannot form a complete opinion yet.

I believe you can do better on fees elsewhere but fees weren’t the primary reason I ended up with Chase. Having a nationwide bank that could help with asset transactions for family members in several states, most of whom have Chase accounts, got me there. My banker’s professionalism and helpfulness keeps me there.

As an aside, I never had great experiences with WF but my brother really likes them, so again that’s probably a factor of individual offices/bankers.

 

[Starsky]

We've been with Chase for 10+ years as Private Clients. It was very good in the beginning, when they provided free financial advice with good quality guidance. They have made lots of changes (and turnover) to their investment assistance over the years - [they say] due to fiduciary rules - and now it's very bland and typical. I'm not impressed by their advisory services, but I don't need much. We do our own self-directed investing in our IRA for zero fees. It's fine if you are self-sufficient doing trades. Their research could be a lot better, but there are lots of other sources these days.

In retirement, they have been far less willing to lend to us than they were when we were working, and the relationship has changed somewhat. They were extremely helpful in financing while we were in earning mode, but have probably decided over the years that we're not worth as much as we used to be as customers. We got turned down for a HELOC, but to be fair, it was just weeks before COVID shutdown hit - but still....

The value of their package of benefits has lessened due to COVID since they offer an excellent travel credit card and other travel-related benefits that we used to use a lot but can't right now. The website is OK, DW doesn't complain about it, but I don't have a current comparison. They do provide great personal service and are really excellent for taking care of wire transfers, notary, cash requests and other unusual or infrequent banking needs. They seem to take good care of the Private Clients, who are obviously their larger depositors and that's why they market hard to those potential customers. It makes total sense from a business perspective.

As far as a too-big-to-fail bank, they're quite good service-wise, and Private Client gives you most of what they do for free if you hold enough deposits/investments. Since we need somewhere to hold our IRAs, it makes it a no-brainer.

 

[DrRoy]

We have had Chase as our bank for many years, and see no reason to change. However, when I gave them an opportunity to do Private Client, the guy was terrible, and I never transferred any money over. Just one data point.

 

[Another Reader]

I have been a Wells Fargo customer for over 40 years, since they bought out a local bank in the Bay Area. Overall, few problems. The frightening attempt by one of their "bankers" to make me his personal customer without my permission almost lost them my business. The branch manager responded promptly and appropriately, and my local branch recently reopened so I don't see him any longer. However, customer service in the larger branches in the less affluent neighborhoods is spotty at best and I do my banking in the branches I like.

The closest B of A branch was adjacent to the large retirement community in the area, and they provided decent service. That branch closed permanently. Charging fees for electronic transfers, poor mortgage servicing, and some other behaviors were not customer friendly. I have cards with them and a reserve checking account.

Chase Mortgage was impossible to deal with over the mortgage on an inherited property. They would not allow me to assume the loan without probate paperwork. Ummm...the trust avoided probate. Nope, I must provide the probate documents. They never tried to call the mortgage, but they did try to force me to buy insurance that I had in my name a few times.

Need to look at FDIC insurance to see how it works if money is split between a trust and an individual account. I may have to shuffle some money based on that. Sigh...

 

[jim584672]

What do they actually do that is special about Chase Private Client? I have been solicited as well, but don't understand why I would want to deal with them.

 

[calmloki]

We've been Private Clients for the last 7 years. Don't find anything special about it, but don't use it like Act2 does. The PC bankers down south seem to be little newby clerks in glass cubical offices that pitch hard - easier and faster and more competent staff out in the pool of clerks in open cubes. We self-manage our funds there, though the financial advisor seems like a nice guy - he doesn't push at all.
That said - wires are easier through Ally online at $20 vs. free. We make the wire fees up in the interest Ally pays. Our little podunk community bank up north did a medallion guarantee for us a few times, no problem. The biggest Chase advantage is it's omnipresence - branches everywhere. Also real good about credit card bonus'.
Wells Fargo I dislike. BofA I'm trying to like - could/should be using their 2.6% on everything card, but can't bring myself to it - they are just no fun to deal with.

Guess I'd say Chase is fine but PC is nothing special for our use style.

 

[Another Reader]

I know this has been discussed many times, but my Covid brain malfunctions a lot and I want to make sure, with all the t's crossed and i's dotted. Based on the FDIC website, https://www.fdic.gov/resources/deposit-insurance/brochures/deposits-at-a-glance/, an individual can be insured up to $500,000 by keeping $250,000 or less in an account in their name as an individual and $250,000 or less in a second account in the name of a revocable trust, with the individual as the named trustee. Am I missing anything?

 

[OldShooter]

I switched from Wells to Schwab Bank five years ago and have never looked back. We are "Pinnacle," which is $1-10M assets there, but I don't know if that affects the bank service. All ATM fees worldwide are reimbursed, no FTF, very difficult to overdraft because we have specified that our cash brokerage account is the overdraft backup. With Pinnacle we have a dedicated rep and, even though the bank is not the same corporate entity, he willingly helps with the rare administrivia issues. Biggest problem we have had in five years is getting the check blanks printed correctly because we are nonstandard with two home addresses listed but their vendor is to blame for that.

A Schwab weakness is their card is Amex, which is often refused outside the US due to its high merchant fees. So I have a USBank Visa, also no FTF.

I also like Schwab's fraud protection: "Schwab will cover 100% of any losses in any of your Schwab accounts due to unauthorized activity."

That said DW is staying at Wells. That gives us local teller lines for cash transactions and a second debit card/different bank for backup when traveling. Our rare $ transfers between Wells and Schwab are just a couple of mouse clicks and IIRC one business day.

 

[CaliKid]

I know this has been discussed many times, but my Covid brain malfunctions a lot and I want to make sure, with all the t's crossed and i's dotted. Based on the FDIC website, https://www.fdic.gov/resources/deposit-insurance/brochures/deposits-at-a-glance/, an individual can be insured up to $500,000 by keeping $250,000 or less in an account in their name as an individual and $250,000 or less in a second account in the name of a revocable trust, with the individual as the named trustee. Am I missing anything?

I never want it to come down to an interpretation of the rules if there is ever a bank failure so I just do $250k at a bank. Also, I NEVER listen to a banker who tells me it's fine.

 

[Bossman]

I switched from Wells to Schwab Bank five years ago and have never looked back. We are "Pinnacle," which is $1-10M assets there, but I don't know if that affects the bank service. All ATM fees worldwide are reimbursed, no FTF, very difficult to overdraft because we have specified that our cash brokerage account is the overdraft backup. With Pinnacle we have a dedicated rep and, even though the bank is not the same corporate entity, he willingly helps with the rare administrivia issues. Biggest problem we have had in five years is getting the check blanks printed correctly because we are nonstandard with two home addresses listed but their vendor is to blame for that.

A Schwab weakness is their card is Amex, which is often refused outside the US due to its high merchant fees. So I have a USBank Visa, also no FTF.

I also like Schwab's fraud protection: "Schwab will cover 100% of any losses in any of your Schwab accounts due to unauthorized activity."

That said DW is staying at Wells. That gives us local teller lines for cash transactions and a second debit card/different bank for backup when traveling. Our rare $ transfers between Wells and Schwab are just a couple of mouse clicks and IIRC one business day.

I have included the entire Schwab policy regarding fraud protection. It has several "holes" and not as all inclusive as you may believe.

Schwab will cover 100% of any losses in any of your Schwab accounts due to unauthorized activity.
The highest levels of security are only possible when we work together. To ensure your protection under this guarantee, it is your responsibility to:

Safeguard your account access information.1
If you share this information with anyone, we’ll consider their activities to have been authorized by you.
Report any unauthorized transactions to us as quickly as possible.2
If you suspect you are a victim of fraud, please contact us immediately at 888-3-SCHWAB.
There may be other individuals to whom you grant authority in your account. Their activities in your account will also be considered authorized.3

1. "Account access information" includes your login ID, password, or any other information used by Schwab to authenticate you; as well as payment devices such as credit cards, debit cards and checks. We may hold you responsible if we determine that you shared this information, or unauthorized activity was caused by your fraudulent conduct or gross negligence.

2. Reimbursement under the guarantee requires your timely reporting of unauthorized activity to Schwab. Schwab will not be liable for additional or increased losses resulting from a failure to report unauthorized activity in a timely manner. Different transactions have different reporting deadlines. More details are available in your account agreements, statements and trade confirmations.

3. "Authorized" refers to transactions and other activity initiated by third parties (who are not Schwab employees or Schwab companies), you have given permission to access your account. This includes any authority you have granted to manage your account, to act under any other power of attorney, or to access your account information for any reason. "Authorized" also includes the employees or agents of your authorized persons (whether individuals or businesses) and their actions. This includes activity initiated by your employer, your plan trustee (other than Schwab Bank), your third party plan administrator (other than Schwab Retirement Plan Services, Inc.) and their employees, representatives or agents that have access to your Employee Benefit Plan Account. Schwab will also not be liable for the failure of those third parties to safeguard your information or for any actions they take in connection with accessing your account.

 

[OldShooter]

I have included the entire Schwab policy regarding fraud protection. It has several "holes" and not as all inclusive as you may believe. ...

I'm not worried. I have read that stuff. IMO the main possible "hole" is if a successful phishing attack is construed as my "sharing" my information rather than the phisher's obtaining unauthorized information.

The real question, though, is how Schwab's policy compares to whatever alternative company policies might be chosen. I have not worried too much about this. From a quick look, Fido's policy is similar but maybe not quite as comprehensive.

 

[Bossman]

I use Fido and agree that the policy is similar. But, if you share your password with a confidant (eg. child) and they get hacked, both Fido and Schwab would make our lives difficult. I prefer Fido as they provide a "money transfer lockdown" feature that effectively prevents money (other than scheduled and authorized transfers) from being withdrawn from the accounts.

PS> We love our children, but don't give them the passwords.