Schwab's new policy

[FIREd_2015]

Quote:

Originally Posted by Bruno I move my VG and EJ accounts to Schwab. For sure have noticed somethings I dont like. Having to move money ALL the time is one of them. I will keep buying my Tbills at Fido but i did buy a CD in my IRA at Schwab. I was also suppose to get a BONUS for the transfer but I have not got it YET. Maybe you have to Keep the fiunds at Schwab for a certain time period before getting the BONUS?

Email from Schwab bonus offer:

How we calculate net deposits.
Net transfers are transfers into the account that are initiated with a paper or online Schwab Transfer of Account request (TOA) minus assets withdrawn from the account and transferred out of Schwab.

When you'll receive your cash bonus.
Net transfers will be calculated as of the 45th day after enrollment and Schwab will deposit the corresponding cash bonus into the account within approximately one week.

[Koolau]

As a non-schwab customer, I must say it's kinda nice to hear anyone whine about someone other than Vanguard.

[FIREd_2015]

Did some online research and it sounds like the ability to buy securities in my Schwab IRA account without sufficient funds in the cash account depends on whether the account was setup as a Limited Margin IRA account or not. I remember checking the box that I wanted a Limited Margin IRA account when I opened the account so I'll have to test this when one of my T bills matures.

https://www.sofi.com/learn/content/ira-margin-account/

[GhostofTomJoad]

Quote:

Originally Posted by Car-Guy Looks like the banks are playing every angle now. Posted this a few minutes ago in the CD thread.

you said it. They can "kite" all that money, but they really don't want to let you or me overdraw, eh? Or, we could PAY for overdraft protection. Nope. Not going to do that.

[imnontrad]

Yes, you have obligated that money for a purchase, even though the purchase has not gone through yet.

[pb4uski]

I just did a trade without sufficient funds in my settlement account... in fact, my settlement account had a balance of $0. I received this message when doing the trade:

Quote:

1.Caution: This buy order was accepted without sufficient settled funds to trade in your account. If you subsequently sell this security without first delivering sufficient cash by settlement date, you may incur a trading restriction requiring settled cash up front for future purchases. (SBS-ORDR-2057) 2.Caution: This buy order was accepted without sufficient settled funds to trade in your account. If you subsequently sell this security without first delivering sufficient cash by settlement date, you may incur a trading restriction requiring settled cash up front for future purchases. (AC176) 3.You are placing an order without sufficient free cash to cover it. Please remember to deposit sufficient funds or sell shares of your Schwab Purchased Money Funds to cover this order. (AC3165)

The order filled and then I sold SWVXX to cover the trade.

[FIREd_2015]

Quote:

Originally Posted by pb4uski I just did a trade without sufficient funds in my settlement account... in fact, my settlement account had a balance of $0. I received this message when doing the trade: The order filled and then I sold SWVXX to cover the trade.

Good to hear it works. I have a CD maturing in a couple of weeks. I was thinking of buying some T bills the week before. In theory this should work since the CD matures the day before settlement date.

[silvor]

Quote:

Originally Posted by Another Reader I have had money at Schwab for a few years as an alternative to Fidelity and Vanguard. I have index funds, a few ETF's and more recently money market funds. I started buying CD's and treasuries and found it very difficult to follow the money. I am never really sure what is available for purchases. Not really impressed with their money market funds, overall Fidelity and Vanguard have higher yields. I will probably direct more new cash to the other two, and stop volume purchases of cash instruments.

I thought Schwab was pretty good for that.

[lawman]

Just checked my Schwab account and noticed that the summary day change on my brokerage account does not agree with the day change total in the columns.
Spent 15 minutes on the phone with rep who ultimately told me he had no clue why there was a discrepancy but he would try to get an answer and call me back tomorrow..This stuff does not make me feel too warm and cozy..

[Bruno]

Quote:

Originally Posted by FIREd_2015 Email from Schwab bonus offer: How we calculate net deposits. Net transfers are transfers into the account that are initiated with a paper or online Schwab Transfer of Account request (TOA) minus assets withdrawn from the account and transferred out of Schwab. When you'll receive your cash bonus. Net transfers will be calculated as of the 45th day after enrollment and Schwab will deposit the corresponding cash bonus into the account within approximately one week.

Buyer BEWARE at SCHWAB... When I called about moving investments to Schwab, i was asked if I have a friend that has a Schwab account and gave them his name. If i get that referal offer and move $500k to schwab i could get a $1000 bonus. I told him I had a IRA at VG and a inherited IRA at EJ that would be make it over $500k. Great let me setuip up the account for you. I finally get the bonus the other day but only $500. I called inand as was told the $500k had to be in only 1 account and since it took 2 accounts I only got $500. Please BEWARE when dealing with Schwab salesman!! I guess its my fault for not reading the fine print... but where i come from you take a person for his WORD. So my buddy refers me to Schwab and I get a BONUS and he gets NOTHING.. What a another GREAT Schwab deal. It looks like another move to FIDO is down the road. dont want to pay me the offered BONUS then will move the extra to FIDO.

[Koolau]

Quote:

Originally Posted by Bruno Buyer BEWARE at SCHWAB... When I called about moving investments to Schwab, i was asked if I have a friend that has a Schwab account and gave them his name. If i get that referal offer and move $500k to schwab i could get a $1000 bonus. I told him I had a IRA at VG and a inherited IRA at EJ that would be make it over $500k. Great let me setuip up the account for you. I finally get the bonus the other day but only $500. I called inand as was told the $500k had to be in only 1 account and since it took 2 accounts I only got $500. Please BEWARE when dealing with Schwab salesman!! I guess its my fault for not reading the fine print... but where i come from you take a person for his WORD. So my buddy refers me to Schwab and I get a BONUS and he gets NOTHING.. What a another GREAT Schwab deal. It looks like another move to FIDO is down the road. dont want to pay me the offered BONUS then will move the extra to FIDO.

Heh, heh, refreshing (again) to hear someone besides Vanguard being criticized. Keep up the good w*rk.

[Texas Proud]

Quote:

Originally Posted by lawman The $105,000.00 came out as soon as I placed the order and the c.d. appeared on my positions page..It's is there now even though it will not settle until next week..

You might be earning interest right now but the cash settle is the 24th

[lawman]

Quote:

Originally Posted by Texas Proud You might be earning interest right now but the cash settle is the 24th

Based on maturity date of 2/23/24 I don't think so

[Bruno]

Quote:

Originally Posted by Bruno Buyer BEWARE at SCHWAB... When I called about moving investments to Schwab, i was asked if I have a friend that has a Schwab account and gave them his name. If i get that referal offer and move $500k to schwab i could get a $1000 bonus. I told him I had a IRA at VG and a inherited IRA at EJ that would be make it over $500k. Great let me setuip up the account for you. I finally get the bonus the other day but only $500. I called inand as was told the $500k had to be in only 1 account and since it took 2 accounts I only got $500. Please BEWARE when dealing with Schwab salesman!! I guess its my fault for not reading the fine print... but where i come from you take a person for his WORD. So my buddy refers me to Schwab and I get a BONUS and he gets NOTHING.. What a another GREAT Schwab deal. It looks like another move to FIDO is down the road. dont want to pay me the offered BONUS then will move the extra to FIDO.

I BASHED Schwab on my BONUS problem. When i clicked on my history i notice that SCH had taken back the $500 bonus but yesterday i got from my local office telling me SCHWAb had review my PM and had decided to give me the Bonus of $1000 but would have to be left in account for 12 months. THANK YOU Schwab for correcting this ISSUE.

[Koolau]

Quote:

Originally Posted by Bruno I BASHED Schwab on my BONUS problem. When i clicked on my history i notice that SCH had taken back the $500 bonus but yesterday i got from my local office telling me SCHWAb had review my PM and had decided to give me the Bonus of $1000 but would have to be left in account for 12 months. THANK YOU Schwab for correcting this ISSUE.

Sounds like some of the Vanguard issues. Who woulda thunk it. Maybe ALL the Big Houses have issues. After all, they're all run by those fallible things called people.