Re: The Final, Definitive Thread on Brokerage Transfer Bonuses
Posted: Sat Sep 15, 2018 1:27 pm
Investing Advice Inspired by Jack Bogle
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I would hold back, as Schwab sometimes has large bonus offers and if you opt for the $100 one, you won't be eligbile for a larger bonus to bring more funds. I learned the hard way that they only offer a bonus "once per lifetime"FunnelCakeBob wrote: ↑Sat Sep 15, 2018 1:27 pmNope. Just enter the offer code when you open the account.
Did you get a check book? You can write any amount using the check. OR, you can also pull the money out from Merrill Edge from an external account.zeugmite wrote: ↑Wed Sep 19, 2018 6:34 pm Today I found out Merrill Edge has a $25k limit on daily withdrawal of settled cash when performed online (okay... have to call), and also a $50k daily limit on transferred in cash being made available (what?). Caveat emptor. Are other brokers equally ridiculous in setting limits? I know I've never hit such low limits with TDA.
I did not get a checkbook since I didn't intend to use it for daily transactions, but thanks for the suggestion. That would indeed give a "bank" account number for ACH pulls for withdrawals. Maybe that could also overcome the incoming limit via ACH pushes, maybe.indexfundfan wrote: ↑Wed Sep 19, 2018 7:36 pmDid you get a check book? You can write any amount using the check. OR, you can also pull the money out from Merrill Edge from an external account.zeugmite wrote: ↑Wed Sep 19, 2018 6:34 pm Today I found out Merrill Edge has a $25k limit on daily withdrawal of settled cash when performed online (okay... have to call), and also a $50k daily limit on transferred in cash being made available (what?). Caveat emptor. Are other brokers equally ridiculous in setting limits? I know I've never hit such low limits with TDA.
Edge works best is you have Preferred Rewards anyway, so I've had that for a long time. The credit card rewards boost is worth it.michaeljc70 wrote: ↑Sun Sep 23, 2018 10:07 am The Merrill reward is decent, but I really don't need or want to open a checking account. It adds another step to get the reward and another step to close down when I move on. The reward drops by 1/3 if you don't open the checking. I've been able to move my stuff since April, but haven't done anything yet due to poor rewards, too many hoops or limitations (some exclude IRAs).
Sometimes you can get a $100 or $300 bonus for opening the checking account, which is a nice little bump. I don't know if there are checking offers available right now.Earl Lemongrab wrote: ↑Sun Sep 23, 2018 11:00 amEdge works best is you have Preferred Rewards anyway, so I've had that for a long time. The credit card rewards boost is worth it.michaeljc70 wrote: ↑Sun Sep 23, 2018 10:07 am The Merrill reward is decent, but I really don't need or want to open a checking account. It adds another step to get the reward and another step to close down when I move on. The reward drops by 1/3 if you don't open the checking. I've been able to move my stuff since April, but haven't done anything yet due to poor rewards, too many hoops or limitations (some exclude IRAs).
Are your referring to the link that whodidntante posted? When I click on it, the page lists options to open either a brokerage or retirement account. So, I’d think both types of accounts are eligible, though I’m not positive. Could someone clarify? I’m interested in the offer to transfer $25k for $250.drk wrote: ↑Sun Sep 30, 2018 1:57 pm It looks like they didn't make the same change for retirement accounts. That's good for my regret minimization (I just transferred my Roth IRA a few months ago) but disappointing for new transfers.
Oh, you're right. Since I've been looking, E*Trade has segregated investment and retirement account bonuses. Well, there goes my regret minimization!Ron Ronnerson wrote: ↑Sun Sep 30, 2018 3:22 pmAre your referring to the link that whodidntante posted? When I click on it, the page lists options to open either a brokerage or retirement account. So, I’d think both types of accounts are eligible, though I’m not positive. Could someone clarify? I’m interested in the offer to transfer $25k for $250.drk wrote: ↑Sun Sep 30, 2018 1:57 pm It looks like they didn't make the same change for retirement accounts. That's good for my regret minimization (I just transferred my Roth IRA a few months ago) but disappointing for new transfers.
Sorry about the regret aspect! Thanks for clarifying. Much appreciated.drk wrote: ↑Sun Sep 30, 2018 3:51 pmOh, you're right. Since I've been looking, E*Trade has segregated investment and retirement account bonuses. Well, there goes my regret minimization!Ron Ronnerson wrote: ↑Sun Sep 30, 2018 3:22 pmAre your referring to the link that whodidntante posted? When I click on it, the page lists options to open either a brokerage or retirement account. So, I’d think both types of accounts are eligible, though I’m not positive. Could someone clarify? I’m interested in the offer to transfer $25k for $250.drk wrote: ↑Sun Sep 30, 2018 1:57 pm It looks like they didn't make the same change for retirement accounts. That's good for my regret minimization (I just transferred my Roth IRA a few months ago) but disappointing for new transfers.
Interesting. Thanks for pointing that out. It includes IRAs. I might do it. I hate the hassle of going to a branch and listening to a sales pitch, but for $1500, probably worth it. There is a PNC a mile from my house. I also haven't been seeing a lot of good offers that include IRAs and don't require linked accounts.
Yes, you can.arf30 wrote: ↑Sat Oct 13, 2018 6:35 pm I got a targeted offer from BoA for $300 to open a checking account - would it be possible to also open a Merrill Edge account with 200k to get an additional $600 bonus, then move another 200k a few months later for the $900 bonus for existing ME customers, then open a Premium Rewards card for the $500 bonus? I was thinking about doing something similar with Chase, but this would be hard to pass up at $2,300. Only question is if I can split off 200k chunks of my Vanguard account to get the separate bonuses.
Yes, I was able to get a bonus for multiple accounts. I actually had 2 joint accounts, one individual account, and a Roth. Each one received $150 in transfer credits and a bonus based on the assets within that account. I was told that the limit is 2 accounts per type, so 2 joint, 2 individual, etc. Worked out pretty well all in all.Mike14 wrote: ↑Wed Sep 12, 2018 11:40 pmAre you saying you were able to get the bonus for each account type (Roth, Traditional, Taxable) that you transferred, or just the transfer fee credits were awarded for each account type?SJR wrote: ↑Thu Aug 23, 2018 9:51 pm An interesting personal experience that I had:
I signed up with a specific offer which included up to $150 in transfer fee credits per account. TDA credited that together with the bonus on the day the assets hit. No proof was required. Thus far the sending brokerage hasn't charged a fee (but at most, it would be $25 per account based on their fee schedule).
That's an extra $300 over the bonus I was due to receive.
Do they accept ACATs transfers ? I'm wary of moving a regular account there because I'm not sure I can trust their cost basis transfers etc., but an IRA might be worth it.michaeljc70 wrote: ↑Sat Oct 13, 2018 10:53 amInteresting. Thanks for pointing that out. It includes IRAs. I might do it. I hate the hassle of going to a branch and listening to a sales pitch, but for $1500, probably worth it. There is a PNC a mile from my house. I also haven't been seeing a lot of good offers that include IRAs and don't require linked accounts.
I'm not sure on that. In looking at the fees, they charge $9.99 per online trade. They have some no-cost funds, but I haven't looked at those. Since I don't expect any changes in the 12 months I need to keep it there, do I even need to look further into fees/free funds? If I had to make a change it would be at my yearly rebalancing and would be minimal changes (4 fund portfolio). One thing to note is there is a $125 termination/transfer out fee so take that off the bonus if you don't plan on staying at PNC.SlowMovingInvestor wrote: ↑Sun Oct 14, 2018 10:38 amDo they accept ACATs transfers ? I'm wary of moving a regular account there because I'm not sure I can trust their cost basis transfers etc., but an IRA might be worth it.michaeljc70 wrote: ↑Sat Oct 13, 2018 10:53 amInteresting. Thanks for pointing that out. It includes IRAs. I might do it. I hate the hassle of going to a branch and listening to a sales pitch, but for $1500, probably worth it. There is a PNC a mile from my house. I also haven't been seeing a lot of good offers that include IRAs and don't require linked accounts.
Or leave $5 if they support that low of a balance. Or you can move it somewhere that will cover the fee.michaeljc70 wrote: ↑Sun Oct 14, 2018 10:46 am One thing to note is there is a $125 termination/transfer out fee so take that off the bonus if you don't plan on staying at PNC.
Would it make sense to start a list for which brokers reimburse the fees (and how much), whether they'll reimburse from several brokers in case of consolidating several accounts, whether it will stack with the bonus offer, and if one has to ask up front before transferring?Earl Lemongrab wrote: ↑Sun Oct 14, 2018 11:11 amOr leave $5 if they support that low of a balance. Or you can move it somewhere that will cover the fee.michaeljc70 wrote: ↑Sun Oct 14, 2018 10:46 am One thing to note is there is a $125 termination/transfer out fee so take that off the bonus if you don't plan on staying at PNC.
It's my understanding that joint vs individual counts as a different customer. But did you get the bonus twice for the same account type, e.g. twice for taxable that were both jointly held?SJR wrote: ↑Sat Oct 13, 2018 10:22 pm Yes, I was able to get a bonus for multiple accounts. I actually had 2 joint accounts, one individual account, and a Roth. Each one received $150 in transfer credits and a bonus based on the assets within that account. I was told that the limit is 2 accounts per type, so 2 joint, 2 individual, etc. Worked out pretty well all in all.
Thanks for pointing out the non IRA part. The text is slightly confusing -- I didn't realize they excluded IRAs until I read it carefully). I would much rather have transferred IRA stuff to avoid problems with cost basis and tax reporting.
One option is not to automatically reinvest dividends and thereby avoid fractional lots.Mike14 wrote: ↑Tue Oct 16, 2018 12:54 am Merrill Edge warning:
They can't handle fractional lots. They'll round down every lot, and create a bunch of qty 1 lots out of thin air. Only the final lot will be fractional. Besides the annoyance of having many qty 1 lots, the acquisition date is inherited from the latest lot they used to create the qty 1 lot from.
Ah, I shouldn't have forced that word to do double duty. I meant the brokerage bonus churners in this thread, rather than the bank account churners on DOC.arf30 wrote: ↑Tue Oct 16, 2018 6:58 am I think instead of transferring assets in, most churners have been talking about moving 75k of cash in (bank bonus churners keep a lot of cash handy), buying ETFs or MM funds, then selling them after the time limit and moving the cash out. Capital gains would be reasonable and no outgoing acats fee. Or, find another broker with a bonus willing to cover the Chase fee.
99% of all mutual fund lots will have fractionals, regardless of whether dividends were reinvested. The result is that for roughly every 2 lots that are transferred in, 1 extra lot with QTY 1 is created. So you'll end up with 50% more lots than you had before.drk wrote: ↑Tue Oct 16, 2018 9:09 amOne option is not to automatically reinvest dividends and thereby avoid fractional lots.Mike14 wrote: ↑Tue Oct 16, 2018 12:54 am Merrill Edge warning:
They can't handle fractional lots. They'll round down every lot, and create a bunch of qty 1 lots out of thin air. Only the final lot will be fractional. Besides the annoyance of having many qty 1 lots, the acquisition date is inherited from the latest lot they used to create the qty 1 lot from.
So the sending brokerage is charging the fee to the receiving broker, who will show it as a negative balance until you make your next trade?pre wrote: ↑Tue Mar 06, 2018 9:21 pm If the transfer out fee is assessed without sufficient balance, it shows as a negative balance in the account and persists during the transfer. I had this happen a few years ago with an IRA, and it stayed negative for almost a year (!) until I made a trade at the receiving/destination broker.
Did you end up transferring and can share insights about the fees? I don't know what APEX is, maybe some fee waiver of some sorts for legacy customers?
How did TDA charge the closing fee?
What was your experience regarding the TD transfer fee?investor997 wrote: ↑Tue Mar 06, 2018 7:03 pmI'm about to find out. I'll post my experience here after the fact. FWIW, the new brokerage (ME) offered to pay the $75 transfer fee.
So your TDA accounts have no holdings in it, they didn't close it and didn't charge you anything for the transfer out?overthought wrote: ↑Mon Mar 05, 2018 8:29 pm I emptied two of my TDA accounts into a third while consolidating accounts, and they both remain open. I also transferred my tIRA to my 401(k), and it remained open (I didn't check the "close account" box on the transfer form).
How were the closing fees charged?
How were the closing fees charged?Earl Lemongrab wrote: ↑Tue Oct 18, 2016 3:02 pm With TDA, at least in the past, a full transfer closed the account.
For the same account type using the same promo code?
Same account type or different types?michaeljc70 wrote: ↑Sun Mar 18, 2018 4:05 pm I was able to get multiple at TDA moving multiple accounts.
Mine were different account types.Mike14 wrote: ↑Wed Oct 17, 2018 3:58 pmFor the same account type using the same promo code?
Same account type or different types?michaeljc70 wrote: ↑Sun Mar 18, 2018 4:05 pm I was able to get multiple at TDA moving multiple accounts.
Yea, I generally stagger accounts, so wait ~6 months and can repeat, qualifying as a new account/client.
Unless that offer is very specific and unlike the other CPC rules, I believe the 250k can also be taxable investments held in their JP Morgan brokerage option.dual wrote: ↑Fri Oct 19, 2018 1:44 am I just got a letter offering a $1250 bonus for doing the following
- Meet with a private client banker at your nearest branch with this letter to upgrade your account to chase private client
- Within 45 calendar days deposit a total of $250,000 or more in new money to a combination of eligible checking and/or savings accounts and maintain the balance for least 90 days
So it looks to me like I have to transfer in cash and can only put it into a savings account or CD.
- Your $1250 will be deposited into your account within 10 business days
I just checked and their savings account and three month CD rates are essentially zero. A three month treasury bill is paying about 2.25% and since it has no state tax here in California that works out to about 2.5% tax equivalent yield. So in 3 months I would miss out on about $1500 in interest on $250K.
Obviously a losing proposition with only a $1250 bonus.
What am I missing here?
If you value UR points, it seems like Sapphire Banking is a better deal since you only have to move $100K, and get 60,000 UR (with no tax hit).Shazb0t wrote: ↑Fri Oct 19, 2018 7:42 amUnless that offer is very specific and unlike the other CPC rules, I believe the 250k can also be taxable investments held in their JP Morgan brokerage option.dual wrote: ↑Fri Oct 19, 2018 1:44 am I just got a letter offering a $1250 bonus for doing the following
- Meet with a private client banker at your nearest branch with this letter to upgrade your account to chase private client
- Within 45 calendar days deposit a total of $250,000 or more in new money to a combination of eligible checking and/or savings accounts and maintain the balance for least 90 days
So it looks to me like I have to transfer in cash and can only put it into a savings account or CD.
- Your $1250 will be deposited into your account within 10 business days
I just checked and their savings account and three month CD rates are essentially zero. A three month treasury bill is paying about 2.25% and since it has no state tax here in California that works out to about 2.5% tax equivalent yield. So in 3 months I would miss out on about $1500 in interest on $250K.
Obviously a losing proposition with only a $1250 bonus.
What am I missing here?
How are the closing fees charged when transferring out the portfolio?
In retirement accounts, Fidelity liquidated the assets for a transfer and kept $50, and Merrill Edge deducted theirs after liquidating fractional shares. I haven't had this happen in a taxable account that had no cash in it, so I can't speak to that.
Yes, I ended up transferring from TDA to ME. Here is my experience, mostly positive.Mike14 wrote: ↑Wed Oct 17, 2018 3:55 pmSo the sending brokerage is charging the fee to the receiving broker, who will show it as a negative balance until you make your next trade?pre wrote: ↑Tue Mar 06, 2018 9:21 pm If the transfer out fee is assessed without sufficient balance, it shows as a negative balance in the account and persists during the transfer. I had this happen a few years ago with an IRA, and it stayed negative for almost a year (!) until I made a trade at the receiving/destination broker.
I'm confused, because I would have thought that the negative balance would be with the sending broker.
Did you end up transferring and can share insights about the fees? I don't know what APEX is, maybe some fee waiver of some sorts for legacy customers?
How did TDA charge the closing fee?
What was your experience regarding the TD transfer fee?investor997 wrote: ↑Tue Mar 06, 2018 7:03 pmI'm about to find out. I'll post my experience here after the fact. FWIW, the new brokerage (ME) offered to pay the $75 transfer fee.
So your TDA accounts have no holdings in it, they didn't close it and didn't charge you anything for the transfer out?overthought wrote: ↑Mon Mar 05, 2018 8:29 pm I emptied two of my TDA accounts into a third while consolidating accounts, and they both remain open. I also transferred my tIRA to my 401(k), and it remained open (I didn't check the "close account" box on the transfer form).
How were the closing fees charged?
How were the closing fees charged?Earl Lemongrab wrote: ↑Tue Oct 18, 2016 3:02 pm With TDA, at least in the past, a full transfer closed the account.