"Vanguard converting mutual fund accounts to brokerage?

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indexfundfan
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VBS upgrade roll out has started

Post by indexfundfan » Wed Nov 06, 2013 4:01 pm

I was just given the option to upgrade my Roth VBS account. Here's some benefits listed:

* Hold your Vanguard mutual funds, ETFs, and other brokerage securities in the same account.
* Use a simpler online process to buy and sell mutual funds and securities.
* Sell securities and immediately use the proceeds to buy Vanguard mutual funds—no more four-day wait.
* Get a single tax statement for your tax filing convenience.
Last edited by indexfundfan on Wed Nov 06, 2013 5:34 pm, edited 1 time in total.
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Kevin21
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Re: VBS Upgrade

Post by Kevin21 » Wed Nov 06, 2013 4:10 pm

I had heard that they were planning on something like this-- I'll be pleased if it works well.

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Re: VBS Upgrade

Post by indexfundfan » Wed Nov 06, 2013 4:12 pm

indexfundfan wrote: * Sell securities and immediately use the proceeds to buy Vanguard mutual funds—no more four-day wait.
I am kind of curious with this above benefit mentioned. Securities settle only in T+3. I wonder how Vanguard would implement this. Charge interest?
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Re: VBS Upgrade

Post by livesoft » Wed Nov 06, 2013 4:19 pm

They would implement it like other brokers: You would not be able to withdraw the money out of your account for T+3 days or until the last trade settles.
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Re: VBS Upgrade

Post by indexfundfan » Wed Nov 06, 2013 4:27 pm

livesoft wrote:They would implement it like other brokers: You would not be able to withdraw the money out of your account for T+3 days or until the last trade settles.
I am referring to the statement that let's you buy Vanguard mutual funds before the sale of securities (e.g. ETFs) settle.

Does other brokerages let you buy mutual funds before the sale of a stock settles?
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Re: VBS Upgrade

Post by nisiprius » Wed Nov 06, 2013 5:26 pm

Sure sounds like exactly what many of us were hoping would happen when Vanguard brought their brokerage operation in-house.

Quite apart from the virtues of low-cost index funds, Vanguard has also been pretty good when it comes to fixing obvious flaws and making obvious improvements... even if it seems to take them a while.
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Re: VBS upgrade roll out has started

Post by Jack » Wed Nov 06, 2013 5:58 pm

indexfundfan wrote:
livesoft wrote:They would implement it like other brokers: You would not be able to withdraw the money out of your account for T+3 days or until the last trade settles.
I am referring to the statement that let's you buy Vanguard mutual funds before the sale of securities (e.g. ETFs) settle.

Does other brokerages let you buy mutual funds before the sale of a stock settles?
Yes, other brokers allow this. Since they still hold on their books an asset with cash value, the ETF you sold, for the three days until settlement, their books are still in balance. The sold ETF held until settlement and the mutual fund purchase, balance each other out.

This is only because the assets of the brokerage and the mutual funds are now combined on one balance sheet. Previously Vanguard had to wait until settlement in order for assets to pass from the brokerage entity to the mutual fund entity because they maintained separate books.

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Re: VBS upgrade roll out has started

Post by Alan S. » Wed Nov 06, 2013 7:24 pm

I don't see any announcement on their website. How is this being implemented? Is is just in a trial phase at this time?

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Re: VBS upgrade roll out has started

Post by boater07 » Wed Nov 06, 2013 7:33 pm

When I logged in today, gave me the option and explanation to combine. I agreed and was informed it would take a day

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Re: VBS upgrade roll out has started

Post by stlutz » Wed Nov 06, 2013 8:22 pm

Curious what this would do to tax reporting? One small annoyance with only holding funds is that each holding is a separate line on the 1099 whereas in a brokerage account all dividends/interest from all holdings are combined together.

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Re: VBS upgrade roll out has started

Post by rustymutt » Wed Nov 06, 2013 8:27 pm

What's this so called upgrade going to cost me?
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Re: VBS upgrade roll out has started

Post by indexfundfan » Wed Nov 06, 2013 9:35 pm

rustymutt wrote:What's this so called upgrade going to cost me?
Are you asking if this upgrade will cost everyone as a whole (increase in expense ratios) or individually? Individually, there is no fee.

Some details:

* You can no longer transfer dividends to the bank automatically. Dividends are now either reinvested or go to the settlement MMF.
* Previously, there is a $20 fee for every Vanguard mutual fund less than $10k (unless waived). Now, the entire account balance is combined.

I am not sure if you can permanently "refuse" the upgrade.
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Re: VBS upgrade roll out has started

Post by stan1 » Wed Nov 06, 2013 9:46 pm

Sorry for having a glass half empty attitude, but I can't wait to hear what disasters this will bring about on cost basis and Quicken downloads. I hope I'm proven wrong and suddenly everything in Vanguard IT works great.

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Re: VBS upgrade roll out has started

Post by mikep » Wed Nov 06, 2013 11:54 pm

I didn't get the option when I logged in. Where does it come?

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Re: VBS upgrade roll out has started

Post by Cash » Thu Nov 07, 2013 12:30 am

I didn't see the option either, but I imagine they're rolling it out rather than giving everyone the option all at once and then crashing their system.

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Re: VBS upgrade roll out has started

Post by JamesSFO » Thu Nov 07, 2013 12:47 am

I wonder if this was at the heart of the Quicken problems?

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Re: VBS upgrade roll out has started

Post by TheGreyingDuke » Thu Nov 07, 2013 12:49 am

stan1 wrote:Sorry for having a glass half empty attitude, but I can't wait to hear what disasters this will bring about on cost basis and Quicken downloads. I hope I'm proven wrong and suddenly everything in Vanguard IT works great.
I can't imagine it will do anything to cost basis calculation (I assume you mean the calculation, rather than the true cost basis.) I have transferred assets between broekrages ML to Vangaurd) and the cost basis carried over no problem.

As to Quicken... one of the motivations for me tossing Quicken some years ago was the crazy way MMF and Advantage balances were figured, there was never an easy way to get these totals correct. SO, there may be a fix in for that that may cause other problems for others.
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Re: VBS upgrade roll out has started

Post by Doc » Thu Nov 07, 2013 12:36 pm

I got the message when I logged on yesterday. I called to see if I should wait for pending transactions to clear. Was told by the third or fourth rep that I shouldn't have gotten the message at all. It's being "rolled out". And besides I didn't have any eligible accounts. The message disappeared. I got it back with another log in and tried to "sign up" (different user) and was told I had no eligible accounts because of pending transactions.

Today I couldn't get the message back without a "hack". But now it doesn't let me try to signup before telling me I am not eligible yet.

Better that they go slowly so they can get some of the bugs fixed before even phone banks crash.

You are supposed to get an e-mail when you can switch. I think the screen coming up on sign is a bug. You are probably suppose to get a link in the email.
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Re: VBS upgrade roll out has started

Post by Alan S. » Fri Nov 08, 2013 2:08 pm

Once any bugs are corrected, this should be very beneficial for both investors and Vanguard. Reducing the number of accounts and thereby the number of tax documents issued should save Vanguard a considerable amount once the one time transition costs are offset. Phone calls should also be reduced and other back room costs. This also makes their brokerage accounts appear the same as virtually all major brokerage or mutual fund companies such as Schwab, Fidelity, TRP etc. In my estimation it is the best single improvement Vanguard could have made.

It would also be a natural evolution to cross training all the reps instead of having two sides of the house.

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Re: VBS upgrade roll out has started

Post by Alan S. » Fri Nov 08, 2013 2:21 pm

Cash wrote:I didn't see the option either, but I imagine they're rolling it out rather than giving everyone the option all at once and then crashing their system.
You mean like "Healthcare.gov" ? :P

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Re: VBS upgrade roll out has started

Post by Doc » Fri Nov 08, 2013 5:01 pm

Alan S. wrote: It would also be a natural evolution to cross training all the reps instead of having two sides of the house.
I believe that there are different registration/licensing(?) requirements for stocks vs. mutual funds. Salary costs could increase.
In the United States, a stockbroker must pass both the Series 7 and Series 63 exams in order to be licensed. In most English speaking venues, the two word term stock broker, like stock brokerage, normally applies to the brokerage firm, rather than to the individual.
http://en.wikipedia.org/wiki/Stockbroker
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Re: VBS upgrade roll out has started

Post by stlutz » Fri Nov 08, 2013 6:14 pm

I believe that there are different registration/licensing(?) requirements for stocks vs. mutual funds. Salary costs could increase.
You could buy mutual funds at VBS before; you just couldn't buy Vanguard mutual funds.

As I understand it, this change is simply to allow one to hold VG mutual funds in their brokerage account (if they have one). I'm sure it's not required. For people with no VBS account, I'm assuming there is no change(?).

Allowing one to buy funds from one additional fund company shouldn't blow costs out of the water at VBS.

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Re: VBS upgrade roll out has started

Post by Doc » Fri Nov 08, 2013 7:00 pm

stlutz wrote:
I believe that there are different registration/licensing(?) requirements for stocks vs. mutual funds. Salary costs could increase.
You could buy mutual funds at VBS before; you just couldn't buy Vanguard mutual funds.

As I understand it, this change is simply to allow one to hold VG mutual funds in their brokerage account (if they have one). I'm sure it's not required. For people with no VBS account, I'm assuming there is no change(?).

Allowing one to buy funds from one additional fund company shouldn't blow costs out of the water at VBS.
I didn't make myself clear. I was trying to address the question of all the reps doing everything. The Vanguard Mutual side CSRs don't have the credentials required to execute trades of stocks & ETFs. So in order to get all the reps on both sides of the house together the mutual fund side CSRs would need to get added credentials and then they would want to be paid more. In theory if Vanguard mutual fund investors switched their investments to the brokerage side you would need more of the more highly trained/licensed people and that would cost more. If all the Vg mutual fund customers transferred to the brokerage side then all the mutual fund CSRs would need to upgrade their credentials or be laid off.

I think the way Vg is making this change is a cost effective way to accomplish the "one account" platform that many of us would like.

I don't know if selling non-Vanguard funds even enters into the calculus.
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Re: VBS upgrade roll out has started

Post by stlutz » Fri Nov 08, 2013 11:47 pm

Doc: How much support time (and money) has VG had to spend because of this weird distinction between the fund and the brokerage side? Given the size of their client base, I'm sure it's not insubstantial. So, yeah, they'll probably need to add a few higher paid people on the brokerage side. But they will probably reduce their call volume overall.

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Re: VBS upgrade roll out has started

Post by bargainhuntingking » Sat Nov 09, 2013 2:06 am

It's about time. I sold an ETF last week with my Vanguard account and it was ridiculous how long it took to clear (...the whole week). When I do the same with my Schwab account, my transaction is instantaneous and I can redirect funds to another fund/etf within seconds.

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Re: VBS upgrade roll out has started

Post by JoMoney » Sat Nov 09, 2013 2:30 am

I upgraded my Traditional IRA account.. So far I like the combined view and features.
It does not appear that they will let me upgrade my regular taxable account (yet), I hope this is an option being added.

You can initiate the upgrade here:
https://investor.vanguard.com/info/account-upgrade
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Re: VBS upgrade roll out has started

Post by stan1 » Sat Nov 09, 2013 5:13 am

JoMoney wrote:I upgraded my Traditional IRA account.. So far I like the combined view and features.
It does not appear that they will let me upgrade my regular taxable account (yet), I hope this is an option being added.

You can initiate the upgrade here:
https://investor.vanguard.com/info/account-upgrade
Thanks for the link. When I log in to my account I get:
"None of your accounts can currently be upgraded." so it is indeed a rolling implementation.

I have one non-Vanguard ETF along with several Vanguard ETFs so perhaps people who only have Vanguard ETFs will be implemented first?

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Re: VBS upgrade roll out has started

Post by SpringMan » Sat Nov 09, 2013 5:44 am

I am getting the same message as stan1 above. I wonder if VBS has fixed the issue of non Vanguard mutual funds not updating until the overnight computer run. Merging things together is a good first step but stale data will make the totals incorrect. Currently refreshing VBS only refreshes Stocks/ETFs not non Vanguard mutual funds even though the closing NAV is known from sites like Yahoo Finance etc.
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Re: VBS upgrade roll out has started

Post by Doc » Sat Nov 09, 2013 8:11 am

stlutz wrote:Doc: How much support time (and money) has VG had to spend because of this weird distinction between the fund and the brokerage side? Given the size of their client base, I'm sure it's not insubstantial. So, yeah, they'll probably need to add a few higher paid people on the brokerage side. But they will probably reduce their call volume overall.
The big cost comes if they try to move everyone to the new brokerage platform. In that case all the existing CSRs on the mutual side would have to be upgraded. Vanguard is not trying to combine all their clients and that is a good thing because that would raise their cost significantly. Migrating only those brokerage clients who also to have Vg mutual funds to a single platform will probably cost less in the long run as you implied.
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Re: VBS upgrade roll out has started

Post by thepommel » Sat Nov 09, 2013 8:44 am

stan1 wrote:
JoMoney wrote:I upgraded my Traditional IRA account.. So far I like the combined view and features.
It does not appear that they will let me upgrade my regular taxable account (yet), I hope this is an option being added.

You can initiate the upgrade here:
https://investor.vanguard.com/info/account-upgrade
Thanks for the link. When I log in to my account I get:
"None of your accounts can currently be upgraded." so it is indeed a rolling implementation.

I have one non-Vanguard ETF along with several Vanguard ETFs so perhaps people who only have Vanguard ETFs will be implemented first?
I have a taxable MF account linked to a taxable brokerage account which only has Vanguard ETFs in it and I get the same message:
"None of your accounts can currently be upgraded."

Maybe they are doing it in phases with retirement accounts first?

Kind Regards,

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Re: VBS upgrade roll out has started

Post by JamesSFO » Sat Nov 09, 2013 11:24 am

Anyone with Quicken problems try this update to see if it fixes things?

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Re: VBS upgrade roll out has started

Post by ResearchMed » Sat Nov 09, 2013 11:53 am

stlutz wrote:
I believe that there are different registration/licensing(?) requirements for stocks vs. mutual funds. Salary costs could increase.
You could buy mutual funds at VBS before; you just couldn't buy Vanguard mutual funds.

As I understand it, this change is simply to allow one to hold VG mutual funds in their brokerage account (if they have one). I'm sure it's not required. For people with no VBS account, I'm assuming there is no change(?).

Allowing one to buy funds from one additional fund company shouldn't blow costs out of the water at VBS.
"You could buy mutual funds at VBS before; you just couldn't buy Vanguard mutual funds."

Interesting.

Maybe it's different for 403b plans (or other Employer-affiliated plans)?

We can purchase any of the Vanguard mutual funds within the VBO except those in the restricted "core holdings" (where a small percentage of the Employer's contribution total must be kept), and that's just the Life-cycle style funds, etc., plus Total Stock, Total International Stock, and Total Bond, IIRC.

All other Vanguard mutual funds MUST be purchased in the VBO, just like mutual funds from other fund families.

But it WILL be great not to have that ridiculous delay.
Because I always keep some "cash", that delay didn't stop things like selling one fund, and purchasing another the same day, but it was just a silly bookkeeping delay, and it caused "Transaction Notifications" to be showing up scattered throughout the next few days. Those done on the same day could generate Transaction Notifications on several different days.

RM

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Re: VBS upgrade roll out has started

Post by SpringMan » Sat Nov 09, 2013 12:04 pm

I have a taxable MF account linked to a taxable brokerage account which only has Vanguard ETFs in it and I get the same message:
"None of your accounts can currently be upgraded."

Maybe they are doing it in phases with retirement accounts first?
This isn't the case, I have tIRAs, Roth IRAs, and taxable accounts at Vanguard with the VBS option and am getting the same message.
Best Wishes, SpringMan

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Re: VBS upgrade roll out has started

Post by SpringMan » Sat Nov 09, 2013 12:13 pm

ResearchMed wrote:
"You could buy mutual funds at VBS before; you just couldn't buy Vanguard mutual funds."

Interesting.

Maybe it's different for 403b plans (or other Employer-affiliated plans)?

We can purchase any of the Vanguard mutual funds within the VBO except those in the restricted "core holdings" (where a small percentage of the Employer's contribution total must be kept), and that's just the Life-cycle style funds, etc., plus Total Stock, Total International Stock, and Total Bond, IIRC.

All other Vanguard mutual funds MUST be purchased in the VBO, just like mutual funds from other fund families.

But it WILL be great not to have that ridiculous delay.
Because I always keep some "cash", that delay didn't stop things like selling one fund, and purchasing another the same day, but it was just a silly bookkeeping delay, and it caused "Transaction Notifications" to be showing up scattered throughout the next few days. Those done on the same day could generate Transaction Notifications on several different days.

RM
Employer 403b plans would be different. I assume by VBO you mean VBS (Vanguard Brokerage Service). I had a 401(k) that had Vanguard options in the past as well as some other options. VBS was not involved in my case and the readout of current holdings were presented as one account even when non Vanguard options were present.
Best Wishes, SpringMan

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Re: VBS upgrade roll out has started

Post by stan1 » Sat Nov 09, 2013 12:15 pm

JamesSFO wrote:Anyone with Quicken problems try this update to see if it fixes things?
I'll have to wait and see what the new account structure looks like, but I'm expecting that I'll have to do some manual administrative "clean up" in Quicken. I'm expecting I'll need to make a decision on whether to transfer my current holdings from my old VBS Quicken account to my Quicken mutual fund account (using the "shares transferred between accounts" transaction), or cut and paste transactions from my VBS Quicken account into the Quicken Vanguard mutual fund account. Unfortunately its not possible to cut and paste multiple transactions from one investment account to another (you can do this with other types of accounts). I'm leaning towards doing the latter so that my Quicken file stays cleaner years into the future but will have to wait and see how Vanguard actually implements this and how best to keep my cost basis current in Quicken.

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Re: VBS upgrade roll out has started

Post by Calm Man » Sat Nov 09, 2013 2:41 pm

So as I am reading, the basic idea is that EVERYTHING in taxable, be it stocks, bonds, 1 or 100 mutual funds, etc appear under 1 account #. Then the 1099 is easier. When I briefly had an account at Fidelity a few years ago and only had a few mutual funds, I freaked when the guy told me it would be in a brokerage account. He told me to relax and I wouldn't even notice it. And I didn't. The difference is we will see something like:
Taxable Account # xxxxxxxx:
Prime money market
Intermediate tax exempt bond fund
Total stock market
100 shares Apple.

SImilarly for ROTH IRA holdings, TIRA holdings, etc.

This is probably good, particularly the 1 Form 1099 per account or IRA distribution, etc.

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Re: VBS upgrade roll out has started

Post by nisiprius » Sat Nov 09, 2013 5:02 pm

thepommel wrote:...You can initiate the upgrade here:
https://investor.vanguard.com/info/account-upgrade
When I log in to my account I get:
"None of your accounts can currently be upgraded...
Me, too. At that point, the only available option is "Cancel:"

Image

When I elect the only available option--"Cancel"--it asks me "Are you sure?" :?: :?: :!: :P :P :P

Image

It invites me to provide feedback, and when I click that link, it wants to know, 0-10, "Overall, how would you rate the experience of attempting to upgrade your brokerage account?" 0, obviously.

Here's the funny part: it then asks me
Why did you choose not to upgrade your account at this time?

:?: :?: :!: :D :D :D

What other answer could I possibly give, but this?

Image

It's my own fault, of course, for jumping the gun using a link someone posted, but I still think it's pretty funny.
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Re: VBS upgrade roll out has started

Post by CABob » Sat Nov 09, 2013 5:32 pm

It sounds as if the upgrade only applies to those who hold both a VG mutual fund account and a VBS account of the same type (tax treatment and ownership). If one has only a VG mutual fund account the upgrade would not be offered or allowed.
Is this a reasonable assumption?
At one time I was asked by customer service if I was interested in opening a VBS account when he found out I had some individual stocks in another brokerage account. I chose not to at the time. Is there anything about this upgrade that makes it more advantageous to have a VBS account?
Bob

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Re: VBS upgrade roll out has started

Post by Cash » Sat Nov 09, 2013 5:42 pm

CABob wrote:It sounds as if the upgrade only applies to those who hold both a VG mutual fund account and a VBS account of the same type (tax treatment and ownership). If one has only a VG mutual fund account the upgrade would not be offered or allowed.
Is this a reasonable assumption?
I have three such sets of accounts and none of them are eligible.

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Re: VBS upgrade roll out has started

Post by tetractys » Sat Nov 09, 2013 6:08 pm

Why not wait patiently a little longer. It's been about a year since we first heard that this is coming for certain, right? And a week or a month isn't going to change your life, is it?

Here we have some similarities to purchasing the latest software,... or signing up for the ACA. Ram your head through that brick wall, or "don't worry, be happy."

On my end though, I've always had my personal accounts integrated, since this larger integration is the obvious progression. My Vanguard brokerage and mutual fund accounts have always been in one register, as have been my taxable accounts. -- Tet

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Re: VBS upgrade roll out has started

Post by nisiprius » Sat Nov 09, 2013 6:24 pm

Cash wrote:
CABob wrote:It sounds as if the upgrade only applies to those who hold both a VG mutual fund account and a VBS account of the same type (tax treatment and ownership)....
I have three such sets of accounts and none of them are eligible.
I have two, and ditto.
tetractys wrote:Why not wait patiently a little longer. It's been about a year since we first heard that this is coming for certain, right? And a week or a month isn't going to change your life, is it? ...Here we have some similarities to purchasing the latest software,... or signing up for the ACA. Ram your head through that brick wall, or "don't worry, be happy..."
Oh, I agree. The last time I personally was inconvenienced by T+3 settling, selling a non-Vanguard fund in VBS to buy a Vanguard fund, was in 2009. And I do mean inconvenience--it didn't matter at all. Just the nagging itch to make sure the transaction has actually completed.

The time they cut the Admiral threshold to $10,000 I swore to myself I would NOT fuss about it, I would just do nothing and wait for their computers to take care of it... and then after three weeks I couldn't stand it any more and called Vanguard to nudge them.
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Re: VBS upgrade roll out has started

Post by sperry8 » Sun Nov 10, 2013 8:19 am

Im a Flagship customer and have eligible accounts and didn't see the offer to upgrade. Surprised they didn't start with Flagship.
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bertilak
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Re: VBS upgrade roll out has started

Post by bertilak » Mon Nov 11, 2013 6:17 am

Does anyone who has gone through the upgrade have an Advantage account? This is a feature that allows checkwriting and on-line bill-pay from the brokerage account.

I noticed the following:
For some services, such as checkwriting, you may need to take action before using the options in your upgraded account.
I don't know if that is referring to Advantage accounts or to the limited checkwriting allowed even without an Advantage account or both.

BTW, My accounts are still being reported as: "None of your accounts can currently be upgraded." I'm just looking ahead.
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indexfundfan
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Re: VBS upgrade roll out has started

Post by indexfundfan » Thu Nov 21, 2013 11:47 am

I provided the following feedback to Vanguard regarding my upgrade:

1. The upgrade checklist says I need to apply for new check writing. However, since I already have check writing attached to the original VBS account (VanguardAdvantage), this isn't necessary. VG will look into fixing this checklist which will confuse people who already have VanguardAdvantage check writing capability.

2. Billpay is somehow inactivated after the upgrade.

3. The partially accumulated VG bond mutual fund dividends were reinvested on the day of the upgrade, contrary to my instructions to have them go into the settlement fund. VG will investigate and see if they can "reverse" the re-investments. Hopefully they will also fix this issue for the upgrades in future.

Other than that, the cost basis appears to be intact. And, after I submit a request to ACH money in, the money is listed as "available" immediately. This is a nice change.
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bertilak
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Re: VBS upgrade roll out has started

Post by bertilak » Thu Nov 21, 2013 11:59 am

indexfundfan wrote:I provided the following feedback to Vanguard regarding my upgrade:

1. The upgrade checklist says I need to apply for new check writing. However, since I already have check writing attached to the original VBS account (VanguardAdvantage), this isn't necessary. VG will look into fixing this checklist which will confuse people who already have the VanguardAdvantage check writing.
Thanks. That answers my question just above.
2. Billpay is somehow inactivated after the upgrade.
I'm sure they will fix that but, just to let you know of an alternative, I was able to activate Quicken BillPay for my Advantage account. I just set this up in the last few days. So far, I find it simpler to send checks via Quicken as opposed to logging in to Vanguard.
... This is a nice change.
Looks like it will be a welcome improvement overall!
May neither drought nor rain nor blizzard disturb the joy juice in your gizzard. -- Squire Omar Barker, the Cowboy Poet (AKA S.O.B.)

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indexfundfan
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Re: VBS upgrade roll out has started

Post by indexfundfan » Thu Nov 21, 2013 12:05 pm

bertilak wrote:
indexfundfan wrote:I provided the following feedback to Vanguard regarding my upgrade:

1. The upgrade checklist says I need to apply for new check writing. However, since I already have check writing attached to the original VBS account (VanguardAdvantage), this isn't necessary. VG will look into fixing this checklist which will confuse people who already have the VanguardAdvantage check writing.
Thanks. That answers my question just above.
Yes, the rep confirms that I do not need new checks. They just need to fix the checklist message.

But all check writing attached to individual Vanguard bond mutual funds and MMFs will be phased out (VG will try to honor these checks for up to 45 days after the upgrade).
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CABob
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Re: VBS upgrade roll out has started

Post by CABob » Thu Nov 21, 2013 12:47 pm

indexfundfan wrote: But all check writing attached to individual Vanguard bond mutual funds and MMFs will be phased out (VG will try to honor these checks for up to 45 days after the upgrade).
Will this be true for all accounts or only those that get the upgrade? I don't use the checkwriting from my MMF often, but, is is convenient when I want to use it.
Bob

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Re: VBS upgrade roll out has started

Post by indexfundfan » Thu Nov 21, 2013 12:57 pm

CABob wrote:
indexfundfan wrote: But all check writing attached to individual Vanguard bond mutual funds and MMFs will be phased out (VG will try to honor these checks for up to 45 days after the upgrade).
Will this be true for all accounts or only those that get the upgrade? I don't use the checkwriting from my MMF often, but, is is convenient when I want to use it.
Only if you upgrade.

It is not clear at this time if Vanguard will enforce the upgrade all accounts in future.

If all accounts are upgraded in future, VG might start offering check writing for free. This will make the VG brokerage account similar in many aspects to a Schwab or Fidelity brokerage account -- you can hold mutual funds (including VG funds), stocks, ETFs all in the same account, and you can have check writing attached to it.
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Re: VBS upgrade roll out has started

Post by Doc » Thu Nov 21, 2013 1:54 pm

Having check writing or Quicken BillPay tied to a brokerage account scares the daylights out of me.

It just makes me sleep much better knowing that if some fraud occurs with all those payments that I make to entities all over the country (world) my loss is limit to a few $k even if the bank does not make it good.
A scientist looks for THE answer to a problem, an engineer looks for AN answer and lawyers ONLY have opinions. Investing is not a science.

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Re: VBS upgrade roll out has started

Post by MnD » Thu Nov 21, 2013 2:19 pm

tetractys wrote:Why not wait patiently a little longer. It's been about a year since we first heard that this is coming for certain, right? And a week or a month isn't going to change your life, is it?
They are only lagging the industry by 30 years or so on this so I agree - a few months isn't going to kill anyone if you've been OK till now.
Schwab launched the Mutual Fund Marketplace integrated with their brokerage accounts in 1984. :mrgreen:

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