Another Reader
Thinks s/he gets paid by the post
- Joined
- Jan 6, 2013
- Messages
- 3,471
I learned something about Schwab and uninvested cash today. With Fidelity or Vanguard, you select a default money market account and your uninvested cash goes into that fund. It can be a different fund for each account. With Schwab, your funds default into an area called "cash and cash investments." I discovered that all the cash that is sitting there is earning 0.2 percent, and has been doing so since the account was opened years ago. It never occurred to me to look into this.
I'm considering moving away from Schwab, as I consider this a deceptive nondisclosure practice. Thoughts? What are others doing with uninvested cash at Schwab?
I'm considering moving away from Schwab, as I consider this a deceptive nondisclosure practice. Thoughts? What are others doing with uninvested cash at Schwab?