up to $1000 for transfer into Etrade

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dandan14
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up to $1000 for transfer into Etrade

Post by dandan14 » Sat Oct 06, 2012 8:32 pm

Picked this one up from "TallJay" on Fatwallet Finance.

Link

Credits for deposits of cash or securities will be made based on deposits of new funds or securities from external accounts within 45 days, as follows: deposits over $250,000 receive $1000; deposits between $100,000 and $249,999 receive $500; deposits between $50,000 and $99,999 receive $200; deposits between $25,000 and $49,999 receive $100. Your account will be credited within one week of the close of the 45 day window.

This offer is not valid for IRAs, other retirement, business, trust, or E*Trade Bank accounts. E*Trade Financial Corporation associates, and non-U.S. residents are not eligible. New funds or securities must remain in the account (minus any trading losses) for a minimum of 6 months or the credit may be surrendered. One promotion per customer. E*Trade Securities reserves the right to terminate this offer at any time. Accounts must be enrolled by December 31, 2012, the offer expiration date.

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Re: up to $1000 for transfer into Etrade

Post by LadyGeek » Sat Oct 06, 2012 8:42 pm

This thread is now in the Personal Consumer Issues forum. It's a promotional offer.
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Re: up to $1000 for transfer into Etrade

Post by livesoft » Sat Oct 06, 2012 9:07 pm

Just did this with TDAmeritrade for an IRA. The $1000 was credited within about an hour of the deposit.
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Re: up to $1000 for transfer into Etrade

Post by tfb » Sat Oct 06, 2012 9:28 pm

dandan14 wrote:This offer is not valid for IRAs
There is a different one for IRAs. Same payout. As livesoft said, the same offer for TD Ameritrade works for both IRA and non-IRA. These offers have been going on for a long time. All documented here: Huge Bonus Offers From Brokers: Fidelity, Schwab, TD Ameritrade, ETrade, Merrill Edge.
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Re: up to $1000 for transfer into Etrade

Post by dandan14 » Sun Oct 07, 2012 7:46 pm

Very interesting. I'd like the money, but not sure if it is worth the pain of the move or of keeping track of the cost basis from one account to another.

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Re: up to $1000 for transfer into Etrade

Post by livesoft » Sun Oct 07, 2012 8:05 pm

Last transfers we did in a taxable account into WellsTrade carried over all the cost basis and transaction info. That's what ACAT does.
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Re: up to $1000 for transfer into Etrade

Post by SobeCane » Sun Oct 07, 2012 8:42 pm

Just read the TFB's article.

Is there any good reason to do this in a taxable account? Seems like the real benefit of this is transferring an IRA so you get an extra $1,000 added without incurring any taxes. If you transferred a taxable account, you would receive a 1099 for the $1,000.

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Re: up to $1000 for transfer into Etrade

Post by tfb » Sun Oct 07, 2012 11:24 pm

SobeCane wrote:Is there any good reason to do this in a taxable account? Seems like the real benefit of this is transferring an IRA so you get an extra $1,000 added without incurring any taxes. If you transferred a taxable account, you would receive a 1099 for the $1,000.
If you have a choice between the two, transferring an IRA would be easier because you don't have to worry about tax lots although the outgoing broker is supposed to send that info with the money. Note if it's a traditional IRA, you eventually have to pay tax on the $1,000 and its earnings when you withdraw.
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Re: up to $1000 for transfer into Etrade

Post by Default User BR » Mon Oct 08, 2012 1:06 am

dandan14 wrote:Very interesting. I'd like the money, but not sure if it is worth the pain of the move or of keeping track of the cost basis from one account to another.
Moving assets isn't that big of a deal. With TD Ameritrade, you have to sign a form per account, which you can scan and attach to a secure message if you want. Then they take if from there. For basis, make sure you download an account view with basis before you start. Then if it didn't transfer, send the basis info to the new custodian.

Even if it took a few hours of work (which it didn't for me) it's pretty hefty hourly pay.


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Re: up to $1000 for transfer into Etrade

Post by caklim00 » Mon Oct 08, 2012 9:22 am

TDAmeritrade is intriguing... I use a basic Level 2 Stock system to see order prices, but I think Livesoft showed some nice screenshots from there.

A few questions hoepfully someone can answer:
1) TDAmeritrade Partical Transfer out has no fees. Can I transfer everything out except for a very small amount (say $0.01 of SFILX)? I tried this at Fidelity to Wells Fargo and Fidelity would decline the transfer out. I think I had to keep my balance around $50 at Fidelity.
2) Wells Fargo (PMA) have any partial transfer out fees? I can't remember with the updated T&Cs.
3) Can this be done for multiple accounts? IE. Husband IRA, Wife IRA, Joint Taxable. Or would this all be considered "one account"?
4) Is the WellsFargo PMA account balance requirements $50K right now? I remember it used to be $25K, but believe its changed.
5) Does TDAmeritrade pay closing fees at other brokerages? I'd love to close out my Fidelity IRA...

As you can tell, I'd like to take advantage of this offer, yet I still plan on using WellsFargo long term...

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Re: up to $1000 for transfer into Etrade

Post by tfb » Mon Oct 08, 2012 2:48 pm

caklim00 wrote:A few questions hoepfully someone can answer:
1) TDAmeritrade Partical Transfer out has no fees. Can I transfer everything out except for a very small amount (say $0.01 of SFILX)? I tried this at Fidelity to Wells Fargo and Fidelity would decline the transfer out. I think I had to keep my balance around $50 at Fidelity.
2) Wells Fargo (PMA) have any partial transfer out fees? I can't remember with the updated T&Cs.
3) Can this be done for multiple accounts? IE. Husband IRA, Wife IRA, Joint Taxable. Or would this all be considered "one account"?
4) Is the WellsFargo PMA account balance requirements $50K right now? I remember it used to be $25K, but believe its changed.
5) Does TDAmeritrade pay closing fees at other brokerages? I'd love to close out my Fidelity IRA...
1) No transfer out fee at Apex level (> 100k) either full or partial.
2) Not when I did it some time ago (partial out mutual fund shares to Vanguard).
3) Husband and wife are two different investors.
4 & 5) Don't know.
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Re: up to $1000 for transfer into Etrade

Post by livesoft » Mon Oct 08, 2012 2:54 pm

caklim00 wrote:5) Does TDAmeritrade pay closing fees at other brokerages? I'd love to close out my Fidelity IRA...
Would you not consider the bonus money as "pay closing fees at other brokerages"?
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Re: up to $1000 for transfer into Etrade

Post by caklim00 » Mon Oct 08, 2012 3:17 pm

tfb wrote:
caklim00 wrote:A few questions hoepfully someone can answer:
1) TDAmeritrade Partical Transfer out has no fees. Can I transfer everything out except for a very small amount (say $0.01 of SFILX)? I tried this at Fidelity to Wells Fargo and Fidelity would decline the transfer out. I think I had to keep my balance around $50 at Fidelity.
2) Wells Fargo (PMA) have any partial transfer out fees? I can't remember with the updated T&Cs.
3) Can this be done for multiple accounts? IE. Husband IRA, Wife IRA, Joint Taxable. Or would this all be considered "one account"?
4) Is the WellsFargo PMA account balance requirements $50K right now? I remember it used to be $25K, but believe its changed.
5) Does TDAmeritrade pay closing fees at other brokerages? I'd love to close out my Fidelity IRA...
1) No transfer out fee at Apex level (> 100k) either full or partial. Thanks didn't even know what it meant when it said Apex level
2) Not when I did it some time ago (partial out mutual fund shares to Vanguard).
3) Husband and wife are two different investors. Wondering if a joint account could be used a a seperate investor if one of the owners hasn't taken advantage of the offer but the other has?
4 & 5) Don't know. Found the Fees Schedule. Its $50K total for 4)

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Re: up to $1000 for transfer into Etrade

Post by caklim00 » Mon Oct 08, 2012 3:20 pm

livesoft wrote:
caklim00 wrote:5) Does TDAmeritrade pay closing fees at other brokerages? I'd love to close out my Fidelity IRA...
Would you not consider the bonus money as "pay closing fees at other brokerages"?
Sure... but not worth it to close out a $70 account with a $50 fee when I can just transfer out of WF and get the full amount.

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Re: up to $1000 for transfer into Etrade

Post by Jack » Mon Oct 08, 2012 4:52 pm

SobeCane wrote:Seems like the real benefit of this is transferring an IRA so you get an extra $1,000 added without incurring any taxes.
I was hoping I could talk them into charging me a $100,000 maintenance fee on my taxable account and then awarding me a $99,000 bonus in my Roth account.

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Re: up to $1000 for transfer into Etrade

Post by SobeCane » Mon Oct 08, 2012 5:16 pm

Jack wrote:
SobeCane wrote:Seems like the real benefit of this is transferring an IRA so you get an extra $1,000 added without incurring any taxes.
I was hoping I could talk them into charging me a $100,000 maintenance fee on my taxable account and then awarding me a $99,000 bonus in my Roth account.
Is there any rule preventing this? I am still surprised that I could receive a $1,000 bonus into a Roth IRA, and not pay tax on the bonus when received or when I distribute from the IRA.

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Re: up to $1000 for transfer into Etrade

Post by indexfundfan » Tue Oct 09, 2012 8:47 am

I can't seem to locate the transfer out fee at the Fidelity website. Is it free for partial transfers?
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Re: up to $1000 for transfer into Etrade

Post by Leesbro63 » Tue Oct 09, 2012 8:55 am

I've been playing this bonus game for about a year. The original money is now "vested" and I can start moving it OUT of the accounts I moved it INTO last year. The paperwork wasn't that great and since I rarely trade, basis record keeping wasn't bad. I'll probably move the money back to where it came from, once I can get a bonus for doing that too!

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Re: up to $1000 for transfer into Etrade

Post by caklim00 » Tue Oct 09, 2012 11:24 am

Has anyone done a round trip from Wells Fargo to TDAmeritrade (and back again)? If you have was the tax reporting/cost basis seemless?

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Re: up to $1000 for transfer into Etrade

Post by yobria » Tue Oct 09, 2012 11:30 am

Just be sure you don't mind dancing with the devil. Subject line of today's spam from Etrade: "Options were made for times like these".

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Re: up to $1000 for transfer into Etrade

Post by Default User BR » Tue Oct 09, 2012 12:03 pm

yobria wrote:Just be sure you don't mind dancing with the devil. Subject line of today's spam from Etrade: "Options were made for times like these".
Who cares?


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Re: up to $1000 for transfer into Etrade

Post by tfb » Tue Oct 09, 2012 1:56 pm

caklim00 wrote:Has anyone done a round trip from Wells Fargo to TDAmeritrade (and back again)? If you have was the tax reporting/cost basis seemless?
Why back when others will pay?
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Re: up to $1000 for transfer into Etrade

Post by yobria » Tue Oct 09, 2012 2:39 pm

Default User BR wrote:
yobria wrote:Just be sure you don't mind dancing with the devil. Subject line of today's spam from Etrade: "Options were made for times like these".
Who cares?


Brian
An insightful question, Brian. I bring it up because some folks might care who they invest with.

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Re: up to $1000 for transfer into Etrade

Post by Default User BR » Tue Oct 09, 2012 3:33 pm

yobria wrote:An insightful question, Brian. I bring it up because some folks might care who they invest with.
Why would the above listed fact cause anyone concern. They are a brokerage. They have many products. They advertise those.

As an index investor, there are many products, including Vanguard actively-managed funds, that I don't use. I don't get bent around the axle because they're offered.


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Last edited by Default User BR on Fri Nov 23, 2012 10:43 pm, edited 1 time in total.

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Re: up to $1000 for transfer into Etrade

Post by caklim00 » Wed Oct 10, 2012 1:20 pm

tfb wrote:
caklim00 wrote:Has anyone done a round trip from Wells Fargo to TDAmeritrade (and back again)? If you have was the tax reporting/cost basis seemless?
Why back when others will pay?
Agree, this is ideal IF all the cost basis information transfers properly. Does anyone have any experience with this? I'm less concerned with my IRA, but more concerned with our taxable account where I don't want to lose the cost basis.

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Re: up to $1000 for transfer into Etrade

Post by tfb » Wed Oct 10, 2012 2:21 pm

caklim00 wrote:Does anyone have any experience with this? I'm less concerned with my IRA, but more concerned with our taxable account where I don't want to lose the cost basis.
The brokers are required to track and send cost basis for covered shares. You are responsible to track the uncovered shares. Just track all of them yourself. You are supposed to do it anyway. I wouldn't just rely on them doing it correctly. If it's too much work, don't transfer your taxable account.
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Re: up to $1000 for transfer into Etrade

Post by caklim00 » Wed Oct 10, 2012 3:00 pm

tfb wrote:
caklim00 wrote:Does anyone have any experience with this? I'm less concerned with my IRA, but more concerned with our taxable account where I don't want to lose the cost basis.
The brokers are required to track and send cost basis for covered shares. You are responsible to track the uncovered shares. Just track all of them yourself. You are supposed to do it anyway. I wouldn't just rely on them doing it correctly. If it's too much work, don't transfer your taxable account.
So, you made me do some research here :D
When discussing cost basis reporting, the term "covered security" describes investments for which financial institutions are required to report realized gains and losses. These are:

Individual stocks purchased after Jan. 1, 2011
Mutual fund shares purchased after Jan. 1, 2012
Bonds, options and other securities purchased after Jan. 1, 2014
Majority of taxable account was purchased in 08/09, so it definitely wouldn't be considered "covered." Will have to consider whether its worth transferring the taxable one due to the extra step (which I should be doing anyway) of recording cost basis.

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Re: up to $1000 for transfer into Etrade

Post by SobeCane » Wed Oct 10, 2012 5:19 pm

Can anyone shed some light on Jack's statement from above:

"I was hoping I could talk them into charging me a $100,000 maintenance fee on my taxable account and then awarding me a $99,000 bonus in my Roth account."

Can a smart bank start paying out really high interest rates in a Roth IRA while charging the same amount in fees? What am i missing here? Seems like an easy way to skirt IRS contribution limits.

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Re: up to $1000 for transfer into Etrade

Post by Default User BR » Thu Oct 11, 2012 9:56 am

caklim00 wrote:
Why back when others will pay?
Agree, this is ideal IF all the cost basis information transfers properly. Does anyone have any experience with this? I'm less concerned with my IRA, but more concerned with our taxable account where I don't want to lose the cost basis.
As mentioned above, either TDA or WF will present a view with cost basis as they have it currently. For uncovered shares that might reflect what you told them before. You can download or save that. If it doesn't transfer, then send the basis to the new custodian.


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Re: up to $1000 for transfer into Etrade

Post by Default User BR » Fri Nov 23, 2012 10:42 pm

As I was home all week, I decided to look into the E-trade offer. Some notes:

1. Even though they have separate offers for either brokerage or IRA accounts, you can only get one promotion. Pick the best one.

2. The main web page and the account opening pages mention a bonus of $500. The offer linked from TFB is still valid (through 12/31).

3. 90 days of free trades (stock, ETF) come with it.

At any rate, I decided to take advantage with $250k worth of assets. Getting the correct offer coded to the account required a call, which was slightly annoying. However, the transfer process was the easiest I have yet encountered. It was all done via web form. Enter the outgoing custodian, account title, and account number. Then enter the tickers in a form and either enter the number of shares or check all. Pretty easy thousand bucks.

I might look into some of the other offers as well.


Brian

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Re: up to $1000 for transfer into Etrade

Post by TheGreyingDuke » Fri Nov 23, 2012 11:32 pm

I have already done one transfer to Fidelity for the 50,000 miles, worth much more to me that $500 (I just "bought" an itinerary Beijing-Tokyo-SFO-Burlington, VT. for 42,500 miles for example.)

I have been thinking fo doing it again for my wife and transfer two brokered CDs that are at Vanguard and that redeem in May and September, 2013. It seems that I avoid any cost basis problem and could probably close the account, perhaps leaving $10 behind, without incurring a closing fee. Am I missing something?
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Re: up to $1000 for transfer into Etrade

Post by Default User BR » Fri Nov 23, 2012 11:51 pm

TheGreyingDuke wrote:I have been thinking fo doing it again for my wife and transfer two brokered CDs that are at Vanguard and that redeem in May and September, 2013. It seems that I avoid any cost basis problem and could probably close the account, perhaps leaving $10 behind, without incurring a closing fee. Am I missing something?
Vanguard doesn't have transfer or account closing fees as I recall.


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Re: up to $1000 for transfer into Etrade

Post by indexfundfan » Sun Nov 25, 2012 8:50 pm

Unlike TD Ameritrade, Etrade seems intend to drag out the credit of the bonus. My transfer was completed on 10/2 and I am still waiting for the bonus. TD Ameritrade's bonus appeared within a day or two of the transfer.
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Re: up to $1000 for transfer into Etrade

Post by Default User BR » Wed Nov 28, 2012 6:22 pm

indexfundfan wrote:Unlike TD Ameritrade, Etrade seems intend to drag out the credit of the bonus. My transfer was completed on 10/2 and I am still waiting for the bonus. TD Ameritrade's bonus appeared within a day or two of the transfer.
According to the web site, the bonus is supposed to be credited at the close of the 45 day funding window. I talked to my new best buddy that Etrade assigned to me about it, and he echoed that. I asked if the value as of time of transfer counts, not value in 45 days (pesky stock market). He said market moves would not affect it.

After all that, I look this afternoon and there is $1000 in cash listed in the account now. Huh.


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Re: up to $1000 for transfer into Etrade

Post by indexfundfan » Wed Nov 28, 2012 9:41 pm

Default User BR wrote:
indexfundfan wrote:Unlike TD Ameritrade, Etrade seems intend to drag out the credit of the bonus. My transfer was completed on 10/2 and I am still waiting for the bonus. TD Ameritrade's bonus appeared within a day or two of the transfer.
According to the web site, the bonus is supposed to be credited at the close of the 45 day funding window. I talked to my new best buddy that Etrade assigned to me about it, and he echoed that. I asked if the value as of time of transfer counts, not value in 45 days (pesky stock market). He said market moves would not affect it.

After all that, I look this afternoon and there is $1000 in cash listed in the account now. Huh.


Brian
Mine is at about 55 days already and still waiting.
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Re: up to $1000 for transfer into Etrade

Post by Default User BR » Thu Nov 29, 2012 1:08 pm

indexfundfan wrote:Mine is at about 55 days already and still waiting.
Did you contact them about it?


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Re: up to $1000 for transfer into Etrade

Post by indexfundfan » Wed Dec 05, 2012 11:33 am

Default User BR wrote:
indexfundfan wrote:Mine is at about 55 days already and still waiting.
Did you contact them about it?


Brian
I sent them a secure email a week ago. The reply a day later told me that they will research the matter and wants me to wait.

I am still waiting...

The lucky thing is that I have a secure email thread with them, verifying that my account is eligible before transferring the assets. Otherwise, they could easily wiggle out of it.
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Re: up to $1000 for transfer into Etrade

Post by Default User BR » Thu Dec 06, 2012 1:51 am

indexfundfan wrote:The lucky thing is that I have a secure email thread with them, verifying that my account is eligible before transferring the assets. Otherwise, they could easily wiggle out of it.
Why would they do that? It would defeat the purpose of the offer, which is to gain new clients. If they denied the bonus, you'd be free to move AND tell others.


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Re: up to $1000 for transfer into Etrade

Post by Leesbro63 » Thu Dec 06, 2012 7:02 am

I've done the bonus thing with two Etrade accounts and both times got it in about 45 days.

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Re: up to $1000 for transfer into Etrade

Post by indexfundfan » Thu Dec 06, 2012 12:52 pm

I just received a secure email that I should get it by next Monday. That makes it about 70 days.

I am not sure why it is so slow for me. This is my first bonus associated with an asset transfer with Etrade.
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Re: up to $1000 for transfer into Etrade

Post by protagonist » Sun Dec 09, 2012 1:10 am

Deposit of $250K gives you a $1000 bonus. That is 0.4% return in 6 months on top of what your investment would do, (corresponding to an annual rate of 0.8% APY) assuming you get your money in and out extremely efficiently.
If they have a money market that pays virtually zero, like Fidelity and Vanguard, and if you can get an annualized yield where your cash is already parked (bank account, CD, whatever) of 0.8% or better (internet banks still offer savings accounts with APY's in the 1% range that are FDIC-insured: http://bankcd.com/moneymarketrates.html ... _button=Go, http://ratebrain.com/savings ) , you have come out behind and gone through all the bookkeeping and tax hassles as well.
Of course, if they have investment products that appeal to you as much as or more than what you already own, it may be worth it....but you would also have to consider tax implications and potential brokerage fees.
So the offer, while superficially tempting, is not for everybody.

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Re: up to $1000 for transfer into Etrade

Post by Default User BR » Sun Dec 09, 2012 1:39 am

protagonist wrote:Deposit of $250K gives you a $1000 bonus. That is 0.4% return in 6 months on top of what your investment would do, (corresponding to an annual rate of 0.8% APY) assuming you get your money in and out extremely efficiently.
That's the wrong way to look at it. It's $1000 for an hour or so effort. Pretty good wage.
protagonist wrote:If they have a money market that pays virtually zero, like Fidelity and Vanguard, and if you can get an annualized yield where your cash is already parked (bank account, CD, whatever) of 0.8% or better (internet banks still offer savings accounts with APY's in the 1% range that are FDIC-insured: http://bankcd.com/moneymarketrates.html ... _button=Go, http://ratebrain.com/savings ) , you have come out behind and gone through all the bookkeeping and tax hassles as well.
What ARE you talking about? These are investment accounts. You move the current investments in-kind. There are no tax issues. All you have done is change who is the custodian for the assets. In my case that is a variety of ETFs. Why would hold cash in them?
protagonist wrote:Of course, if they have investment products that appeal to you as much as or more than what you already own
As noted, the same investment products. You seem very confused by the entire process. We're talking brokerages, not mutual fund companies. Do you understand the difference?


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Re: up to $1000 for transfer into Etrade

Post by protagonist » Sun Dec 09, 2012 10:30 am

Default User BR wrote:
protagonist wrote:Deposit of $250K gives you a $1000 bonus. That is 0.4% return in 6 months on top of what your investment would do, (corresponding to an annual rate of 0.8% APY) assuming you get your money in and out extremely efficiently.
That's the wrong way to look at it. It's $1000 for an hour or so effort. Pretty good wage.
?? You have to leave your money in for 6 months, you get $1000 premium on $250K.

[
Default User BR wrote:What ARE you talking about? These are investment accounts. You move the current investments in-kind. There are no tax issues. All you have done is change who is the custodian for the assets. In my case that is a variety of ETFs. Why would hold cash in them?.
Yes, IF you move investments in-kind. I am assuming a large percentage of people in these forums, like me, are invested primarily or entirely in either Fidelity or Vanguard index funds or some similar type products. If sold those would involve tax issues- I have no idea what e-Trade's policies are regarding holding Fidelity or Vanguard products, and if they offer them, the cost of doing so. For those folks (like me), what might be left to be moved would be something along the lines of cash, possibly from an investment account or possibly from a bank account. I'm assuming, from the nature of the post, that they are moving assets to collect the $1000, not because they intrinsically prefer e-Trade.


Default User BR wrote:As noted, the same investment products. You seem very confused by the entire process. We're talking brokerages, not mutual fund companies. Do you understand the difference?
Yes, I do. If you are moving $250K worth of individual stocks or mutual funds that can be moved, it makes perfect sense. I didn't say it was a bad idea. All I said in my post was that this was not for everybody (such as those of us who would be moving cash, or those of us who own index funds that may not be so freely mobile), and I stand by that. Maybe I am wrong. You are terribly condescending. But that's OK. This is just the internet.

Enjoy your day.
Last edited by protagonist on Sun Dec 09, 2012 10:39 am, edited 1 time in total.

livesoft
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Re: up to $1000 for transfer into Etrade

Post by livesoft » Sun Dec 09, 2012 10:39 am

protagonist wrote:[....
I am assuming a large percentage of people in these forums, like me, are invested primarily or entirely in either Fidelity or Vanguard index funds or some similar type products. If sold those would involve tax issues- I have no idea what e-Trade's policies are regarding holding Fidelity or Vanguard products, and if they offer them, the cost of doing so. For those folks (like me), what might be left to be moved would be something along the lines of cash, possibly from an investment account or possibly from a bank account.
I can help out with understanding this: E-trade, Schwab, Scottrade, Fidelity, WellsFargo, VBS, TDAmeritrade, and other brokerages have absolutely no problems holding Vanguard index funds or other similar type products in the form of ETFs. The cost of doing so is essentially ZERO at most of these brokers and very small at the others.

I can understand the reticence of transferring assets in a taxable account if one incurs taxes to do so. It would not make sense to me to do so unless the tax consequences are essentially zero which, as noted, can be achieved with an in-kind transfer.

So, you are right, this is not for everyone, but it is one of those things for folks who like to pick up money on the sidewalk can look into.
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protagonist
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Re: up to $1000 for transfer into Etrade

Post by protagonist » Sun Dec 09, 2012 10:41 am

livesoft wrote:
protagonist wrote:[....
I am assuming a large percentage of people in these forums, like me, are invested primarily or entirely in either Fidelity or Vanguard index funds or some similar type products. If sold those would involve tax issues- I have no idea what e-Trade's policies are regarding holding Fidelity or Vanguard products, and if they offer them, the cost of doing so. For those folks (like me), what might be left to be moved would be something along the lines of cash, possibly from an investment account or possibly from a bank account.
I can help out with understanding this: E-trade, Schwab, Scottrade, Fidelity, WellsFargo, VBS, TDAmeritrade, and other brokerages have absolutely no problems holding Vanguard index funds or other similar type products in the form of ETFs. The cost of doing so is essentially ZERO at most of these brokers and very small at the others.

I can understand the reticence of transferring assets in a taxable account if one incurs taxes to do so. It would not make sense to me to do so unless the tax consequences are essentially zero which, as noted, can be achieved with an in-kind transfer.

So, you are right, this is not for everyone, but it is one of those things for folks who like to pick up money on the sidewalk can look into.
Thanks, Livesoft. That makes perfect sense. I was not aware that Vanguard/Fidelity index funds could be held by other brokerages. My error. You mentioned "in the form of ETF's". Would that conversion automatically happen? Or would one have to sell the mutual fund prior to moving the assets and purchase the associated ETF (either while still at Vanguard or after the funds were moved)? And would that not be a taxable event on the basis that the assets are identical?
Last edited by protagonist on Sun Dec 09, 2012 10:54 am, edited 1 time in total.

livesoft
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Re: up to $1000 for transfer into Etrade

Post by livesoft » Sun Dec 09, 2012 10:47 am

I don't want to lead you and others astray: I was mostly writing about Vanguard ETFs (which are index funds). As far as I am aware, something like Admiral funds are only available at WellsFargo and at Vanguard.

Of course, one should investigate what the new brokerage offers in addition to the rebate because transferring money or assets. I have to write that I actually prefer other places to Vanguard. They offer more value to me than Vanguard does even though I have only Vanguard products at these other places.
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Default User BR
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Re: up to $1000 for transfer into Etrade

Post by Default User BR » Sun Dec 09, 2012 10:57 am

protagonist wrote:
Default User BR wrote:That's the wrong way to look at it. It's $1000 for an hour or so effort. Pretty good wage.
?? You have to leave your money in for 6 months, you get $1000 premium on $250K.
So what? It has to be somewhere.
protagonist wrote:I have no idea what e-Trade's policies are regarding holding Fidelity or Vanguard products, and if they offer them, the cost of doing so.
It's a brokerage. Any ETF. Almost any investor class of mutual fund. Not going to get Vanguard Admiral Index mutual funds most likely. If you are at Vanguard and hold Admiral, you can convert to ETF or possibly investor share before moving I suppose.
protagonist wrote:If you are moving $250K worth of individual stocks or mutual funds that can be moved, it makes perfect sense. I didn't say it was a bad idea. All I said in my post was that this was not for everybody (such as those of us who would be moving cash, or those of us who own index funds that may not be so freely mobile), and I stand by that. Maybe I am wrong.
Even cash isn't a problem. At least TD Ameritrade and ETrade give some free transactions you could use to buy ETFs. If you don't want them, a Boglehead portfolio of a few mutual funds still wouldn't cost much in comparison to the bonus.
protagonist wrote:You are terribly condescending.
Perhaps. Sorry if it came across that way.


Brian

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Re: up to $1000 for transfer into Etrade

Post by protagonist » Sun Dec 09, 2012 11:02 am

Default User BR wrote:
protagonist wrote:
Default User BR wrote:That's the wrong way to look at it. It's $1000 for an hour or so effort. Pretty good wage.
?? You have to leave your money in for 6 months, you get $1000 premium on $250K.
So what? It has to be somewhere.
protagonist wrote:I have no idea what e-Trade's policies are regarding holding Fidelity or Vanguard products, and if they offer them, the cost of doing so.
It's a brokerage. Any ETF. Almost any investor class of mutual fund. Not going to get Vanguard Admiral Index mutual funds most likely. If you are at Vanguard and hold Admiral, you can convert to ETF or possibly investor share before moving I suppose.
protagonist wrote:If you are moving $250K worth of individual stocks or mutual funds that can be moved, it makes perfect sense. I didn't say it was a bad idea. All I said in my post was that this was not for everybody (such as those of us who would be moving cash, or those of us who own index funds that may not be so freely mobile), and I stand by that. Maybe I am wrong.
Even cash isn't a problem. At least TD Ameritrade and ETrade give some free transactions you could use to buy ETFs. If you don't want them, a Boglehead portfolio of a few mutual funds still wouldn't cost much in comparison to the bonus.
protagonist wrote:You are terribly condescending.
Perhaps. Sorry if it came across that way.


Brian
Thanks, Brian. That all makes sense now.

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indexfundfan
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Re: up to $1000 for transfer into Etrade

Post by indexfundfan » Wed Dec 12, 2012 12:01 pm

indexfundfan wrote:I just received a secure email that I should get it by next Monday. That makes it about 70 days.

I am not sure why it is so slow for me. This is my first bonus associated with an asset transfer with Etrade.
Just to update my post. The bonus was finally posted after 70 days and several secure emails.
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ladders11
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Re: up to $1000 for transfer into Etrade

Post by ladders11 » Fri Dec 14, 2012 7:50 pm

Could anyone tell me what this type of bonus really means for an IRA?

If you have deposited the $5K annual limit into the IRA, and then the bonus is credited, would this be bad? In other words, could this bonus cause the annual deposit limit to be exceeded?

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