Vanguard money market?

[Murf2]

I know they are changing from Prime to Federal as settlement account. Just wondering when it should show up in the new Federal MM. Mine left my Prime MM account on the 17th. Is everyone else's still in limbo or should I talk to them?

I know I'm a worry wart!
Murf

 

[braumeister]

I had to do an exchange from Prime to Federal, and it showed up in Federal the next day.

 

[Murf2]

In my best Ms. Emily Litella voice,

" Never Mind".

I was a bit confused as to how the process worked. I called and they straightened me out. Thanks!

 

[Sunset]

I did find their process sort of stupid, must mean it was dictated by law.
What I expected and wanted was, my settlement fund would change and all my $$$ that was in there would still be there.

Of course I can understand it's probably the law, that since it was in a money market fund, that it stay in that fund, and a new empty fund (Federal one) became my settlement fund.
Meaning I had to transfer my $$$ out of the old MM fund to the new Federal settlement fund.
I did it today, so I'll see if it got there next week.

 

[Another Reader]

You have to change where the dividends and capital gains for your old settlement account go. Otherwise you will end up with pocket change in the old settlement account after you think you closed it out. Then you have to transfer in the minimum needed to "invest" in the new settlement account, after you change the destination of the dividends.

Fidelity was much better in implementing this. No orphan balances in old accounts.

 

[braumeister]

You have to change where the dividends and capital gains for your old settlement account go. Otherwise you will end up with pocket change in the old settlement account after you think you closed it out. Then you have to transfer in the minimum needed to "invest" in the new

I don't think so.
Once you close the old (Prime) account, it no longer exists, and Federal is the only settlement account.

 

[euro]

I did find their process sort of stupid, must mean it was dictated by law.
What I expected and wanted was, my settlement fund would change and all my $$$ that was in there would still be there.

Of course I can understand it's probably the law, that since it was in a money market fund, that it stay in that fund, and a new empty fund (Federal one) became my settlement fund.
Meaning I had to transfer my $$$ out of the old MM fund to the new Federal settlement fund.
I did it today, so I'll see if it got there next week.

Yes, I think you are right - I stepped into that same problem at Fido some time ago. Had to initiate a separate transfer and then, again separately, close the old account.

 

[Another Reader]

I don't think so.
Once you close the old (Prime) account, it no longer exists, and Federal is the only settlement account.

Tried that and $3.89 appeared in the account instead. Apparently it could not be closed while dividends were pending.

 

[braumeister]

Funny, that wasn't my experience. I also had a few bucks in dividends pending, and two days after I closed the Prime account, they appeared in the Federal account. Must have been just good luck on my part.

 

[mickeyd]

When my switch from PMMF to FMMF occurred recently, I drained all of my PMMF cash (<$100) into my bank account leaving a zero balance in the PMMF. This generated a fat two cent (yes 0.02) check from VG that I quickly mailed to my bank. I don't plan on using my PMMF again, but will continue with the FMMF as my brokerage transfer acct.