right forum? two brokerages? (update: which new brokerage)

Non-investing personal finance issues including insurance, credit, real estate, taxes, employment and legal issues such as trusts and wills
Post Reply
Topic Author
egrets
Posts: 273
Joined: Sun Jul 05, 2020 2:56 pm

right forum? two brokerages? (update: which new brokerage)

Post by egrets »

I added an update, namely if I stay with Schwab and replace Vanguard with another brokerage, I am wondering which brokerage to add? 24/7 customer service and knowledgeable customer service reps would be a requirement. Thank you.

I have accounts at Vanguard and Schwab, under the theory that when Zombies Attack one may be inaccessible for a while or worse. Same reason I have more than one credit union.

Vanguard drives me crazy. Last time I set up a transfer to them from a cu, they sat on it for a month doing nothing and I finally drove to the cu, got a check made out to schwab FBO me and took it to Schwab.

Now Vanguard is sitting on a transfer again, but the cu lady says those FBO checks are no longer allowed by the feds, that if I get one from the cu it will be like an IRA distribution.

Am I making a mistake thinking of trying to stop Vanguard from doing the transfer and then having Schwab move everything from the cu and Vanguard to Schwab and closing the Vanguard account?
Last edited by egrets on Sat Oct 17, 2020 2:13 pm, edited 1 time in total.
User avatar
Cheez-It Guy
Posts: 1100
Joined: Sun Mar 03, 2019 4:20 pm

Re: right forum? two brokerages?

Post by Cheez-It Guy »

From which side are you initiating the transfers, and for what types of assets? It's not clear to me who's sitting on. I don't doubt you're having difficulties, but this isn't consistent with my transfer experiences, so perhaps something is different here beyond the typical "poor customer service" refrain.
User avatar
CABob
Posts: 4945
Joined: Sun Feb 25, 2007 8:55 pm
Location: Southern California

Re: right forum? two brokerages?

Post by CABob »

Cheez-It Guy wrote: Sat Oct 17, 2020 10:27 am From which side are you initiating the transfers, and for what types of assets? It's not clear to me who's sitting on. I don't doubt you're having difficulties, but this isn't consistent with my transfer experiences, so perhaps something is different here beyond the typical "poor customer service" refrain.
+1
Is you credit union account an IRA?
Bob
Topic Author
egrets
Posts: 273
Joined: Sun Jul 05, 2020 2:56 pm

Re: right forum? two brokerages?

Post by egrets »

I give Vanguard the paperwork to pull the funds from the other institution. Both accounts are Roths. What they are to pull was first time a CD at maturity this time cash.
terran
Posts: 1698
Joined: Sat Jan 10, 2015 10:50 pm

Re: right forum? two brokerages?

Post by terran »

If you're not happy with Vanguard then definitely leave them. There are plenty of options now. Fidelity would be a good one to try if you want to keep two brokerages.
User avatar
Cheez-It Guy
Posts: 1100
Joined: Sun Mar 03, 2019 4:20 pm

Re: right forum? two brokerages?

Post by Cheez-It Guy »

egrets wrote: Sat Oct 17, 2020 10:59 am I give Vanguard the paperwork to pull the funds from the other institution. Both accounts are Roths. What they are to pull was first time a CD at maturity this time cash.
Does your credit union account have routing and account numbers? If so and for cash, why not just link it and transfer via ACH with a pull from the Vanguard side?
Topic Author
egrets
Posts: 273
Joined: Sun Jul 05, 2020 2:56 pm

Re: right forum? two brokerages?

Post by egrets »

Cheez-It Guy wrote: Sat Oct 17, 2020 12:01 pm
egrets wrote: Sat Oct 17, 2020 10:59 am I give Vanguard the paperwork to pull the funds from the other institution. Both accounts are Roths. What they are to pull was first time a CD at maturity this time cash.
Does your credit union account have routing and account numbers? If so and for cash, why not just link it and transfer via ACH with a pull from the Vanguard side?
Does that work for an IRA to IRA transfer? I think the owner's hands are not supposed to touch the money. Anyway, my basic question has to do with one brokerage or two? And I guess, if two, which one besides Schwab?
stan1
Posts: 8889
Joined: Mon Oct 08, 2007 4:35 pm

Re: right forum? two brokerages?

Post by stan1 »

egrets wrote: Sat Oct 17, 2020 2:09 pm And I guess, if two, which one besides Schwab?
If you want two I'd do Schwab and Fidelity (that's what I'd say right now, might say something different in 2021 or 2030).
KeepItSimple78
Posts: 118
Joined: Fri Apr 15, 2016 6:03 pm
Location: Louisiana

Re: right forum? two brokerages? (update: which new brokerage)

Post by KeepItSimple78 »

Of the brokerage houses I utilize, I've been most happy with Fidelity.
Avid reader of personal finance/investing literature; however, no formal training in this area. My comments are always well-intended, and most often well-informed.
HomeStretch
Posts: 4978
Joined: Thu Dec 27, 2018 3:06 pm

Re: right forum? two brokerages? (update: which new brokerage)

Post by HomeStretch »

I really like Fidelity which has 24/7 support for most accounts (IIRC workplace retirement plan and DAF support are not 24/7). I added a CMA account so Fidelity functions as both a secondary brokerage to my main brokerage firm and backup to my local B&M bank for bill pay, ATM, etc.
User avatar
galawdawg
Posts: 1247
Joined: Thu Dec 14, 2017 12:59 pm
Location: Georgia

Re: right forum? two brokerages? (update: which new brokerage)

Post by galawdawg »

Do you hold Vanguard mutual funds, ETFs or both?
User avatar
CABob
Posts: 4945
Joined: Sun Feb 25, 2007 8:55 pm
Location: Southern California

Re: right forum? two brokerages? (update: which new brokerage)

Post by CABob »

the cu lady says those FBO checks are no longer allowed by the feds, that if I get one from the cu it will be like an IRA distribution.
Look for another custodian if you wish, but I think this issue should be pursued. ASFAIK the FBO check process should work and if there is something new prohibiting it I have not heard about it. Can someone else confirm? Maybe you need a new "cu lady".
Bob
Topic Author
egrets
Posts: 273
Joined: Sun Jul 05, 2020 2:56 pm

Re: right forum? two brokerages? (update: which new brokerage)

Post by egrets »

galawdawg wrote: Sat Oct 17, 2020 2:34 pm Do you hold Vanguard mutual funds, ETFs or both?
In the brokerage firms Roth accounts: three Vanguard mutual funds, CDs. In the cus Roth and Traditional IRAs: IRA CDs. I have pretty much gone through my taxable stuff as I get ancient.
Topic Author
egrets
Posts: 273
Joined: Sun Jul 05, 2020 2:56 pm

Re: right forum? two brokerages? (update: which new brokerage)

Post by egrets »

CABob wrote: Sat Oct 17, 2020 2:39 pm
the cu lady says those FBO checks are no longer allowed by the feds, that if I get one from the cu it will be like an IRA distribution.
Look for another custodian if you wish, but I think this issue should be pursued. ASFAIK the FBO check process should work and if there is something new prohibiting it I have not heard about it. Can someone else confirm? Maybe you need a new "cu lady".
I would like to be sure about this as well. She said it was a recent ruling. She handles the IRA stuff for a cu with about $400 million in assets.
User avatar
galawdawg
Posts: 1247
Joined: Thu Dec 14, 2017 12:59 pm
Location: Georgia

Re: right forum? two brokerages? (update: which new brokerage)

Post by galawdawg »

egrets wrote: Sat Oct 17, 2020 2:50 pm
galawdawg wrote: Sat Oct 17, 2020 2:34 pm Do you hold Vanguard mutual funds, ETFs or both?
In the brokerage firms Roth accounts: three Vanguard mutual funds, CDs. In the cus Roth and Traditional IRAs: IRA CDs. I have pretty much gone through my taxable stuff as I get ancient.
Unlike Fidelity and Schwab, E*TRADE charges no transaction fees on most Vanguard mutual funds. You can take a look here at a list I compiled of the NTF Vanguard mutual funds: https://drive.google.com/file/d/1OpHwVx ... sp=sharing

I don't know how often their list of Vanguard NTF funds changes, so for the most current information , you can use their fund screener tool (which is readily available even for those without an account): https://www.etrade.wallst.com/Research/ ... ct&env=PRD. There you can use the advanced screener to narrow down the fund family and you can select only no load NTF funds as well.

Or if you already know the symbol of the fund you are interested in, you can go here (https://www.etrade.wallst.com/v1/stocks ... lookup.asp) to directly enter that symbol in the snapshot search box.

E*TRADE will also pay you a bonus to move your funds there, here is their current offer: https://us.etrade.com/what-we-offer/how-it-works/promo

I switched to E*TRADE a year ago after thirty years at Vanguard and couldn't be happier. (One of the issues I experienced with Vanguard was a lack of competence when it came to rolling over funds from my 401k and my wife's TIAA account when we retired in 2018. It was as if they couldn't care less whether we moved our money to Vanguard. So it isn't just you.)
softwaregeek
Posts: 564
Joined: Wed May 08, 2019 8:59 pm

Re: right forum? two brokerages? (update: which new brokerage)

Post by softwaregeek »

In the past two years I've had:

Schwab
Fidelity
Chase YouInvest
Etrade
Ally
Merrill Edge

_______________
Schwab has the best banking and service, bar none. Global free ATM wtih global rebates with good rate

Ally has the best rates on linked checking and high yield savings.

Merrill Edge counts towards assets at BofA, which gives higher cash back on credit cards. Also, larger amounts of assets get cheap mortgages, which is how I ended up with a mortgage way below market. Bank service is terrible, low rates, and brokerage support is above average but a cut below Schwab.

Etrade is good in most areas, almost as good as Schwab but I don't see a rationale to move there except bonuses. I ended up there because of a stock plan.

Chase YouInvest I ended up with because other family had accounts there. It actually was the worst. Frankly even their high tier banking service was terrible from my perspective.
Post Reply