Merrill edge closing expat accounts

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txranger
Posts: 96
Joined: Sun Jun 11, 2017 9:14 am

Merrill edge closing expat accounts

Post by txranger » Sat Jun 09, 2018 8:51 am

Just got an upleasant letter from Merrill edge that they r closing one of my accounts. Spoke w them turns out that the only reason that happened is I opened it from a foreign IP address. In fact, to rectify the issue they suggested I open a new one from a US IP address and then should be no issues. So the account that was opened from the foreign IP got shut down and the new one for
US IP is totally fine.

Anyone US expats has had issues when an existing Merrill edge Acct shut down if set up from within the US? What about other US brokers ie Fido vanguard or Schwab? My understanding the only ways they can establish u live overseas is if you flat out tell them, change yo address to overseas or if postal service notifies them forwarding mail overseas?

This is pretty annoying and alarming. May have to move more assets to Schwab and consider interactive brokers. Anyone else has had similar experiences? Tnx.

stan1
Posts: 5629
Joined: Mon Oct 08, 2007 4:35 pm

Re: Merrill edge closing expat accounts

Post by stan1 » Sat Jun 09, 2018 10:32 am

I'm surprised they told you because I'm guessing their lawyers and compliance officers would spin up sky high if they knew a Merrill employee was saying that.

txranger
Posts: 96
Joined: Sun Jun 11, 2017 9:14 am

Re: Merrill edge closing expat accounts

Post by txranger » Sat Jun 09, 2018 10:45 am

Yea sounds like they r not too thrilled enforcing this as they lose biz. In principle, as long as u have a valid street address in the US on record, and keep a low profile, u should have no issues. U r well within yo legal rights of doin so as well. There is no law that makes it mandatory to report where u physically reside to a us broker as far as I know.

However, the prospect of dealing w this w my investments makes me uneasy and makes me wanna move to Schwab or interactive brokers.

Nate79
Posts: 2786
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Location: Portland, OR

Re: Merrill edge closing expat accounts

Post by Nate79 » Sat Jun 09, 2018 5:49 pm

Is your current residing address in the US? Does this match with what is on file with Merrill?

If not then you are lying by fraudulently reporting your address in your contract with Merrill. Good luck with that. Almost if not all US brokers will shut you down as you are not allowed to buy/trade from outside the US.

jumppilot
Posts: 159
Joined: Wed Jan 12, 2011 12:38 am

Re: Merrill edge closing expat accounts

Post by jumppilot » Sat Jun 09, 2018 6:18 pm

Nate79 wrote:
Sat Jun 09, 2018 5:49 pm
Good luck with that. Almost if not all US brokers will shut you down as you are not allowed to buy/trade from outside the US.

That’s news to me. I’ve lived overseas for 3 years, and Schwab even has my address.

I did open my account before I moved, however.

http://international.schwab.com/public/ ... essentials

AlphaLess
Posts: 249
Joined: Fri Sep 29, 2017 11:38 pm

Re: Merrill edge closing expat accounts

Post by AlphaLess » Sat Jun 09, 2018 6:28 pm

Nate79 wrote:
Sat Jun 09, 2018 5:49 pm
Is your current residing address in the US? Does this match with what is on file with Merrill?

If not then you are lying by fraudulently reporting your address in your contract with Merrill. Good luck with that. Almost if not all US brokers will shut you down as you are not allowed to buy/trade from outside the US.
I don't know whether this is a legal issue, or contractual issue.

txranger
Posts: 96
Joined: Sun Jun 11, 2017 9:14 am

Re: Merrill edge closing expat accounts

Post by txranger » Sat Jun 09, 2018 6:48 pm

Been overseas 10 yrs now, no real issues aside the Merrill one above. Can most certainly buy and trade at US brokers. Check yo sources before making sweeping statements.

Nate79
Posts: 2786
Joined: Thu Aug 11, 2016 6:24 pm
Location: Portland, OR

Re: Merrill edge closing expat accounts

Post by Nate79 » Sat Jun 09, 2018 7:07 pm

There are 100s of threads on this topics. Expats have their accounts locked. Pretty much no US broker allows you to reside overseas and maintain an active account. Check your sources. The only way to get around this is to us a VPN and lie by using a relatives address in the US.

Carefreeap
Posts: 2337
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Location: SF Bay Area

Re: Merrill edge closing expat accounts

Post by Carefreeap » Sat Jun 09, 2018 7:55 pm

Nate79 wrote:
Sat Jun 09, 2018 7:07 pm
There are 100s of threads on this topics. Expats have their accounts locked. Pretty much no US broker allows you to reside overseas and maintain an active account. Check your sources. The only way to get around this is to us a VPN and lie by using a relatives address in the US.
USAA took our accounts that BofA made us move when we moved to Germany back in 2009. I was pretty upset at the way BofA handled it; via a letter advising us we had 30 days to move our securities or they would sell them and send a check to the last known address they had for us. Between mortgages, investment accounts and banking we had over $1M in business with them. After talking with a EVP I learned that if it was a self directed account (vs managed) we could have avoided the problem of them not having a license to sell securities from overseas. Stupid situation which cost them most of our business.

Nate79
Posts: 2786
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Location: Portland, OR

Re: Merrill edge closing expat accounts

Post by Nate79 » Sat Jun 09, 2018 8:16 pm

jumppilot wrote:
Sat Jun 09, 2018 6:18 pm
Nate79 wrote:
Sat Jun 09, 2018 5:49 pm
Good luck with that. Almost if not all US brokers will shut you down as you are not allowed to buy/trade from outside the US.

That’s news to me. I’ve lived overseas for 3 years, and Schwab even has my address.

I did open my account before I moved, however.

http://international.schwab.com/public/ ... essentials
As you linked Schwab has International brokerage services available in many countries overseas. But if you live in a country they don't offer services you are SOL.

txranger
Posts: 96
Joined: Sun Jun 11, 2017 9:14 am

Re: Merrill edge closing expat accounts

Post by txranger » Sat Jun 09, 2018 8:29 pm

Interactive brokers should work in most places too from what I hear. Best to have multiple brokers Accts and keep a low profile. It’s a real shame tho we have to resort to this as tax paying law abiding US citizens imho

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