Anybody using "ATM fee reimbursement" accounts with Fido/VG ?

[Delawaredave5]

Anyone using "ATM fee reimbursement" accounts with Fido or Vanguard ?

Fidelity Investments

I'd love to get rid of my local bank. Only reason I have it is for free ATM access - which is less and less and I'm using cards for all transactions.


Well 2 other reasons just came to mind:

1. Getting rid of loose change (but I go to Community Bank and use their free machine)
2. Depositing paper checks someone gives me.

I guess I can endorse checks and mail to Fido or Vanguard - right ?

Any "hidden fees" or "gotcha's" with these accounts ? I know there's a monthly maximum of ATM transactions - but I'm below that.

Thanks.

 

[Delawaredave5]

So the Fido info says: "We automatically credit you all ATM fees at 1 million plus ATMs worldwide"

Then I read at bottom in fine print: "In addition, your mySmart Cash AccountSM will automatically be reimbursed for all ATM fees charged by other institutions while using a Fidelity Visa® Gold Check Card linked to your mySmart Cash AccountSM at any ATM displaying the Visa®, PLUS® or STAR® logos. The reimbursement will be credited to the mySmart Cash AccountSM the same day the ATM fee is debited from the account. Please note Visa does charge a foreign transaction fee of one percent that is not waived.

What does "foreign" mean ? Does foreign mean any non-Fido ATM in USA ? Or do they mean foreign as in "out of the country" ATM - like Europe ?

Banks suck.

 

[Animorph]

I have the Fido smartCash account. I've used the ATM card a couple of times and had the fees refunded automatically, no problem. You have to mail in your deposits, which takes a while. I have it connected to my brokerage account, with a minimum balance maintained by auto transfers and automatic overdraft protection, both from cash in the brokerage account. That also works fine. I have plenty of direct deposit and EFT debits/credits that work fine. No fees that I know of. I have three of these accounts, one of which has just $100 because it didn't play well with my trust accounts (had to use a joint registration to get everything working). I also got the credit card that rebates 1.5% cash into the account, which also works pretty well, though not automatically. I'm not aware of an ATM transaction limit, but I'm not likely to come anywhere near it. I use Quick Direct Connect to download the account transactions, with one little trick of creating it as a brokerage account and then telling Quicken to treat the cash as a separate checking account. I can't get it to auto-reconcile, but otherwise no problems there either.

I like it. Only mailing the deposits is a little awkward. For that reason I haven't completely closed out my local bank account.

 

[friar1610]

Banks suck.

I'm a big believer in credit unions. I've used the largest one in the world (or at least it used to be) for years as my primary "bank". When I moved to a rural area a few years ago, I continued to use the big, out-of-state CU as my primarily financial institution. But I opened a $2,000 savings account at the local bank. It pays a pittance for interest, but it gives me access to their ATM for quick cash, a place to cash checks (drawn primarily on my credit union which must annoy them) and the ability to have a local safe deposit box. But all my mainstream stuff goes through the CU. I also have a Vanguard card linked to my MMF; I guess I need to look into how I can use it for fee-free ATM withdrawals, but the arrangement above has worked well for me.

 

[cute fuzzy bunny]

I have a vanguard banking account which is basically a 'shim' over the prime money market account. The whole balance stays in the MM and they manage the check/deposit settlements on their own. Its free for flagship customers, I think its free for voyager too but I think they charge you for electronic bill payment below the flagship level.

Basically whenever I go grocery shopping and need a little wallet money I use the vanguard atm card and have them give me $100 or $200 cash back.

We also have a "free" account with the local credit union, Golden 1. I keep a couple of hundred in the checking acct and can use their debit card at any credit union atm with no fee. Sort of an emergency thing. I deposit my checks there because there are three of them within a half mile of my house. Have an electronic link between vanguard and them and after the checks clear, I transfer the money to the vanguard MM account.

Having the local credit union came in handy when we bought the house. I needed vanguard to wire the funds to the escrow account we were using to close and I needed it there within 2 days. Vanguard in true form decided they needed 7-9 days to mull it over before they'd send money to a financial institution I hadnt linked to them before. So I wired the money to the credit union (existing link, so no waiting period), and then walked in the next day and had them wire it to the escrow account. I felt like a money launderer, but it worked.

Vanguard will take checks signed over to them and mailed in. I did that a few times but frankly stuffing checks into the ATM on my way into the supermarket was easier.

 

[Alan]

So the Fido info says: "We automatically credit you all ATM fees at 1 million plus ATMs worldwide"

Then I read at bottom in fine print: "In addition, your mySmart Cash AccountSM will automatically be reimbursed for all ATM fees charged by other institutions while using a Fidelity Visa® Gold Check Card linked to your mySmart Cash AccountSM at any ATM displaying the Visa®, PLUS® or STAR® logos. The reimbursement will be credited to the mySmart Cash AccountSM the same day the ATM fee is debited from the account. Please note Visa does charge a foreign transaction fee of one percent that is not waived.

What does "foreign" mean ? Does foreign mean any non-Fido ATM in USA ? Or do they mean foreign as in "out of the country" ATM - like Europe ?

Banks suck.

I'm sure this applies to withdrawals from ATM's in other countries. I've used an internet bank for years. I mail in checks for deposits, no problems, it just takes a little longer.

 

[cute fuzzy bunny]

Yep, they mean if you use the card as a Visa card to make charges outside the US.

 

[Sarah in SC]

My Schwab debit card has a feature where they waive the foreign transaction fee when used overseas. It was the one I used at the ATMs in Mongolia for that reason.

 

[Alan]

My Schwab debit card has a feature where they waive the foreign transaction fee when used overseas. It was the one I used at the ATMs in Mongolia for that reason.

Mongolia?? Name dropper

My debit card refunds foreign atm fees and does not charge a 1% foreign transaction fee. Some banks do and some don't, it's always wort checking with them before traveling overseas.

 

[walkinwood]

Does the Vanguard Advantage account reimburse ATM fees? My reading indicated that you are entitled to free withdrawals from ATMs affiliated with PNC Bank - and that's it.

From their site: https://personal.vanguard.com/us/accounttypes/general/ATSVAACashMgmtFeaturesContent.jsp
Visa Gold debit card

Use your Visa® Gold debit card at any ATM worldwide wherever the Visa or Plus® System logos are displayed. Vanguard never charges a fee for an ATM transaction. However, you may be charged a surcharge by the bank that owns the ATM. All transactions from PNC-affiliated banks are free.


Would someone with an Advantage account please confirm/ deny? Thank you.

 

[mathjak107]

havent paid an atm fee since im with fidelity in 20 years

 

[Sarah in SC]

Mongolia?? Name dropper

Sarah's Mongolian Adventure

 

[ziggy29]

I have a similar arrangement in a USAA asset management account which serves as my primary checking account. Once a month, I see the ATM fees rebated to my account together with 0.5% of my debit card purchases which run through as CC transactions (i.e. no PIN).

 

[walkinwood]

My online bank also reimburses ATM fees for up to 4 transactions per month to a max of $2.50 per transaction.

Its a shame that Vanguard's Advantage account doesn't seem to provide a similar feature.

 

[CitricAcid]

Schwab for me, 2% interest no minimums no yearly fees, all the internet bill pay and checking features you would need. Also, they reimburse all of your ATM fees (actually it may be 3 per month, but I don't need cash that much so never has affected me)

 

[DJRR]

Fidelity smart cash for me. Works really well so far. I get my ATM reimbursement about 2 days after the withdrawal. I have used it all over the US. No fees and it has the full Fidelity bill pay. I also have a Fidelity branch about 15 minutes from my office, so I can turn in paper checks there if I need to. Very convenient for me.

 

[clifp]

Schwab for me, 2% interest no minimums no yearly fees, all the internet bill pay and checking features you would need. Also, they reimburse all of your ATM fees (actually it may be 3 per month, but I don't need cash that much so never has affected me)

I believe Schwab limits you to $35 month in ATM reimbursements which at $2 a shot is 15+ a month.The other nice feature is there is no limit to cash withdrawals. This came in very handy when I was in Turkey at got offered a 10% discount for cash on a Turkish rug.

Also the Schwab Bank is linked to your Schwab account so any time you exceed your bank balance money is automatically transfered to the bank.

 

[Alan]

Sarah's Mongolian Adventure

Awesome - thanks for the link

 

[Coach]

Schwab bank ATM fee reimbursement is unlimited for the "High Yield Investor" checking account. No minimum balance, and it currently pays about 2%.

Coach

 

[tjon72]

Both Schwab and E-Trade fully reimburse my atm fees

 

[Delawaredave5]

Thanks for all info.

Is there much additional risk I am assuming by putting my "daily cash" management with Fido or VG were I have investment accounts ?

If someone got their identity stolen is it "extra risky" to have your checking / ATM at same institution as portfolio investments ? If someone got your ATM card and PIN, could they get at your investments, etc.

Thanks

 

[Alan]

Thanks for all info.

Is there much additional risk I am assuming by putting my "daily cash" management with Fido or VG were I have investment accounts ?

If someone got their identity stolen is it "extra risky" to have your checking / ATM at same institution as portfolio investments ? If someone got your ATM card and PIN, could they get at your investments, etc.

Thanks

Good question. I am interested in the answer, although I don't have my cash with Fido or VG apart from MM funds.

With the VG MM funds I do have check books and if they were stolen I can't see that there would be increased risk to the portfolio. I would expect that if I had a cash account with ATM card that only those accounts would be at risk if I lost my card or had it stolen.

 

[jphripjah]

E-Trade used to reimburse ATM fees worldwide, but for the last year or so, they only reimburse the fees nationwide. If you us your E-Trade ATM card in a foreign country, and the foreign bank charges a fee, you will no longer be reimbursed.

 

[Animorph]

Thanks for all info.

Is there much additional risk I am assuming by putting my "daily cash" management with Fido or VG were I have investment accounts ?

If someone got their identity stolen is it "extra risky" to have your checking / ATM at same institution as portfolio investments ? If someone got your ATM card and PIN, could they get at your investments, etc.

Thanks

That certainly could be a larger risk if you keep lots of cash or money market shares in your brokerage account and tie it into your cash management account. It's all accessible via checks or debit card. I don't think they could access your equities without your online account ID and password.