Fidelity as a one stop shop

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indexfundfan
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Re: Fidelity as a one stop shop

Post by indexfundfan » Thu Jan 10, 2019 10:44 pm

As far as I know, you cannot change the core fund in the CMA. But you can buy any MMF you want in the CMA -- and the MMF is considered "cash" and is auto-liquidated to satisfy debits in the CMA.

On the other hand, you can change the core fund in the regular investment account.
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Re: Fidelity Cash Management Account - Investments

Post by whodidntante » Thu Jan 10, 2019 10:59 pm

Fidelity has a pretty loose definition of settlement account, and will automatically sell SPRXX and maybe some other money market funds to cover debits in the CMA account at the end of the next trading day. When new money comes into the account, I manually buy SPRXX, and Fidelity sells it as needed. I also like that the account can be backed by margin in my brokerage account. I carry a razor thin cash margin, so I like not having to worry about screwing up the arithmetic or forgetting about an autopay from a seldom used card.

IntangibleAssets
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Re: Fidelity Cash Management Account - Investments

Post by IntangibleAssets » Thu Jan 10, 2019 11:26 pm

Just go to Trade, select the CMA account ---> Type in the symbol, (ex: SPRXX) ---> Action (buy) ---> Amount: $xxxxx

Then this is automatically in the CMA

When I need to pay my CC balance and I pay with the CMA account the SPRXX funds are automatically be sold to pay the balance.

Can confirm.

mattsm
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Re: Fidelity Cash Management Account - Investments

Post by mattsm » Thu Jan 10, 2019 11:30 pm

Confirm this is true, as the CMA account rates have not been rising like they were years ago when I signed up for this bank account.

zeugmite
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Re: Fidelity Cash Management Account - Investments

Post by zeugmite » Fri Jan 11, 2019 12:35 am

CMA accounts can only have core of FDIC with low rates.
Brokerage accounts can have core that are (some) Fidelity MM funds.
The two types of accounts are almost the same but there are some differences besides allowable core fund. The CMA account also refunds ATM fees without having privileged account relationships. The regular brokerage account I don't think does.

From checkwriting eligible accounts (CMA and brokerage accounts), Fidelity MM funds all act like cash whether or not they are core. They will be sold to cover debits automatically. And as prior author says, you can link accounts and have them overdraft in some order.

Non-MM investments will not be sold. Your debits will just be declined if there is not enough cash, unless it's a margin account.

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Re: Fidelity Cash Management Account - Investments

Post by MikeG62 » Fri Jan 11, 2019 8:20 am

whodidntante wrote:
Thu Jan 10, 2019 10:59 pm
Fidelity has a pretty loose definition of settlement account, and will automatically sell SPRXX and maybe some other money market funds to cover debits in the CMA account at the end of the next trading day. When new money comes into the account, I manually buy SPRXX, and Fidelity sells it as needed. I also like that the account can be backed by margin in my brokerage account. I carry a razor thin cash margin, so I like not having to worry about screwing up the arithmetic or forgetting about an autopay from a seldom used card.
Same for me except I use FZDXX as the MMF option.

I do not auto pay from my brokerage account. I use my BofA checking for payment of all bills. Just don’t want anyone to have the ability to hit an account with that much money in it. Overkill maybe, but sleep better at night doing it this way.
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Carini
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Re: Fidelity Cash Management Account - Investments

Post by Carini » Fri Jan 11, 2019 9:33 am

I also use FZDXX within the CMA and keep zero cash in the FDIC insured portion of the account with no issues. I've used the ATM, web bill pay, transfers to other Fidelity accounts, written checks and executed auto pays from CCs, etc. Each time the exact amount is sold from FZDXX to cover.

Any deposits are invested back into FZDXX although that requires a manual buy order - I wish I could automate this but not a huge deal.

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Re: Fidelity Cash Management Account - Investments

Post by MikeG62 » Fri Jan 11, 2019 9:48 am

Carini wrote:
Fri Jan 11, 2019 9:33 am

Any deposits are invested back into FZDXX although that requires a manual buy order - I wish I could automate this but not a huge deal.
+1
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zrail
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Re: Fidelity Cash Management Account - Investments

Post by zrail » Fri Jan 11, 2019 9:52 am

Fidelity counts all of the money market funds in a brokerage or CMA account (which is literally just a brokerage account with a few extra features) as settled cash available to trade or withdraw, depending on deposit timing rules. Therefore they’ll sell money market funds to satisfy withdraws or other purchases. They will not automatically sell any other positions, unless your account is somehow subject to a margin call (not possible in a CMA).

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Re: Fidelity Cash Management Account - Investments

Post by sabtastic » Fri Jan 11, 2019 9:55 am

southerndoc wrote:
Thu Jan 10, 2019 10:22 pm
I have (and have contributed to it). Apparently I missed it. Let me read it now.

I tried changing my core position, but a popup said that no other options were available for my core position. I thought I had read somewhere on here that people have changed their core positions to Treasuries money market funds, etc.
I was confused about this too. Remember, there are two cash management account options. There is the FDIC insured "real" checking account and then the brokerage option. They will have separate checks, atm cards, routing numbers. I use the brokerage option with SPRXX and it works great. I will probably regret this if we have a financial crisis and fido freezes the fund but for now I am getting 2%+ on my checking..

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alpenglow
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Re: Fidelity Cash Management Account - Investments

Post by alpenglow » Fri Jan 11, 2019 11:29 am

whodidntante wrote:
Thu Jan 10, 2019 10:59 pm
Fidelity has a pretty loose definition of settlement account, and will automatically sell SPRXX and maybe some other money market funds to cover debits in the CMA account at the end of the next trading day. When new money comes into the account, I manually buy SPRXX, and Fidelity sells it as needed. I also like that the account can be backed by margin in my brokerage account. I carry a razor thin cash margin, so I like not having to worry about screwing up the arithmetic or forgetting about an autopay from a seldom used card.
I am doing the same thing and it is working nicely.

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PalmQueen
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Re: Fidelity as a one stop shop

Post by PalmQueen » Fri Jan 11, 2019 12:46 pm

This line in the "terms and conditions" for "Fidelity Rewards Visa Signature Card" stopped me from proceeding with it -

6. Elan Financial Services provides zero fraud liability for unauthorized transactions. Cardmember must notify Elan Financial Services promptly of any unauthorized use. Certain conditions and limitations may apply.

Is that for real?

IntangibleAssets
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Re: Fidelity as a one stop shop

Post by IntangibleAssets » Fri Jan 11, 2019 12:52 pm

PalmQueen wrote:
Fri Jan 11, 2019 12:46 pm
This line in the "terms and conditions" for "Fidelity Rewards Visa Signature Card" stopped me from proceeding with it -

6. Elan Financial Services provides zero fraud liability for unauthorized transactions. Cardmember must notify Elan Financial Services promptly of any unauthorized use. Certain conditions and limitations may apply.

Is that for real?
I think it's just poor wording, it's the opposite of what your think:

Zero fraud liability6 --- Feel confident that you won't be held responsible for charges you didn't authorize

BUBear29
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Re: Fidelity as a one stop shop

Post by BUBear29 » Fri Jan 11, 2019 12:58 pm

I emailed a question to Fidelity over 48 hours ago. Havent received a response even though response time is 24-48 hours. So much for the bragged stellar service. Vanguard always responds within 24 hours.
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betablocker
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Re: Fidelity Cash Management Account - Investments

Post by betablocker » Fri Jan 11, 2019 1:34 pm

southerndoc wrote:
Thu Jan 10, 2019 10:13 pm
Can someone confirm with the Fidelity Cash Management account that Fidelity will automatically sell investments at the end of the day to cover checks and ATM withdrawals? I've read posts from a search, but many of those were a little older. I wanted to make sure Fidelity hasn't changed anything recently.

Are there limits to which funds Fidelity will automatically sell to cover withdrawals?
One thing I'd add is to set up margin on your brokerage account as a last line of defense for overdrafts.

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Re: Fidelity as a one stop shop

Post by snowman » Fri Jan 11, 2019 1:40 pm

BUBear29 wrote:
Fri Jan 11, 2019 12:58 pm
I emailed a question to Fidelity over 48 hours ago. Havent received a response even though response time is 24-48 hours. So much for the bragged stellar service. Vanguard always responds within 24 hours.
I don't mean any disrespect, but why would you email a question when 24/7 online chat is available? In all my years with Fidelity, I never emailed them a question, so cannot comment on response time. But their online chat service is superb - if the person cannot resolve problem (rare), he/she will find a person who will. Calling them would be distant second option.

I wish Vanguard had online chat option like Fidelity. For me, it's the easiest and most convenient way to interact with financial services company. I have accounts at Vanguard too, really like the company and their products, but their website and CS is years behind Fidelity. You should try online chat next time, I think you will be impressed.

BUBear29
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Re: Fidelity as a one stop shop

Post by BUBear29 » Fri Jan 11, 2019 1:52 pm

snowman wrote:
Fri Jan 11, 2019 1:40 pm
BUBear29 wrote:
Fri Jan 11, 2019 12:58 pm
I emailed a question to Fidelity over 48 hours ago. Havent received a response even though response time is 24-48 hours. So much for the bragged stellar service. Vanguard always responds within 24 hours.
I don't mean any disrespect, but why would you email a question when 24/7 online chat is available? In all my years with Fidelity, I never emailed them a question, so cannot comment on response time. But their online chat service is superb - if the person cannot resolve problem (rare), he/she will find a person who will. Calling them would be distant second option.

I wish Vanguard had online chat option like Fidelity. For me, it's the easiest and most convenient way to interact with financial services company. I have accounts at Vanguard too, really like the company and their products, but their website and CS is years behind Fidelity. You should try online chat next time, I think you will be impressed.
because their online chat is not working on mobile browsers nor do they have they option to chat in their app

but i agree. every cs company should have on chat available
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whodidntante
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Re: Fidelity Cash Management Account - Investments

Post by whodidntante » Fri Jan 11, 2019 1:56 pm

southerndoc wrote:
Thu Jan 10, 2019 10:13 pm

Are there limits to which funds Fidelity will automatically sell to cover withdrawals?
They will not automatically sell bond funds or equity funds. Only Fidelity MMFs as far as I know.

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Re: Fidelity as a one stop shop

Post by Horsefly » Fri Jan 11, 2019 2:05 pm

PalmQueen wrote:
Fri Jan 11, 2019 12:46 pm
This line in the "terms and conditions" for "Fidelity Rewards Visa Signature Card" stopped me from proceeding with it -

6. Elan Financial Services provides zero fraud liability for unauthorized transactions. Cardmember must notify Elan Financial Services promptly of any unauthorized use. Certain conditions and limitations may apply.

Is that for real?
In December some hack used my Fidelity Visa for a $4150 charge in Oregon. The last time I was in Oregon was in the 1970's. I called Elan and they immediately credited me back for the $4150 and marked the charge as fraud. The statement you quote is actually them saying they conform the the laws that apply to all credit cards, that you won't be held liable for any fraud as long as you tell them (Elan) about it.

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Re: Fidelity as a one stop shop

Post by mptfan » Fri Jan 11, 2019 2:16 pm

PalmQueen wrote:
Fri Jan 11, 2019 12:46 pm
This line in the "terms and conditions" for "Fidelity Rewards Visa Signature Card" stopped me from proceeding with it -

6. Elan Financial Services provides zero fraud liability for unauthorized transactions. Cardmember must notify Elan Financial Services promptly of any unauthorized use. Certain conditions and limitations may apply.

Is that for real?
Is what for real? They are citing a rule that applies to all credit cards by law...you are not responsible for unauthorized charges so long as you notify the card issuer within a certain time period, I think it is 60 days from the date the statement is issued containing the unauthorized charge.
Last edited by mptfan on Fri Jan 11, 2019 2:17 pm, edited 1 time in total.

hotpancakes
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Re: Fidelity as a one stop shop

Post by hotpancakes » Fri Jan 11, 2019 2:16 pm

southerndoc wrote:
Thu Jan 10, 2019 10:29 pm
hotpancakes wrote:
Sat Dec 15, 2018 10:03 pm
BogleMelon wrote:
Sat Dec 15, 2018 9:55 pm
MikeMak27 wrote:
Sat Dec 15, 2018 9:42 pm



The cash management account allows you to purchase their money market fund, SPRXX, yielding around 2.1%. It will automatically sell some to cover ATM withdrawals, any checks you write, or any bills you pay.
Thanks for your response.
About this, I was told by chat rep that I cant buy MMF or any funds inside the cash management account and that I need another separate account for that purpose! I was also told that they dont prefer to sell funds to cover expenses and I would have to sell them myself!! I believe he is wrong since I read it before here that others do the same thing you described
What the rep told you is incorrect. The CMA account is a brokerage account, and can thus hold MMFs as well as stocks (even though they don't advertise this). I use a CMA account as my primary "checking" account. I park all funds in SPRXX and Fidelity auto-liquidates any funds as needed to cover any debits. What this amounts to is a pseudo-checking account that currently pays 2.1%, has no fees, and rebates all ATM fees worldwide. It's fantastic.
I tried changing my core account, but it says no other options are available. How do you change it?
You don't change your core position--all you have to do is purchase a Fidelity Money Market mututal fund, like SPRXX. Fidelity considers their MM mutual funds as liquid cash and will auto-liquidate behind the scenes as needed. The entire amount is listed in the "Cash available to withdraw" section in the "Balances" tab.

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PalmQueen
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Re: Fidelity as a one stop shop

Post by PalmQueen » Fri Jan 11, 2019 3:36 pm

mptfan wrote:
Fri Jan 11, 2019 2:16 pm
PalmQueen wrote:
Fri Jan 11, 2019 12:46 pm
This line in the "terms and conditions" for "Fidelity Rewards Visa Signature Card" stopped me from proceeding with it -

6. Elan Financial Services provides zero fraud liability for unauthorized transactions. Cardmember must notify Elan Financial Services promptly of any unauthorized use. Certain conditions and limitations may apply.

Is that for real?
Is what for real? They are citing a rule that applies to all credit cards by law...you are not responsible for unauthorized charges so long as you notify the card issuer within a certain time period, I think it is 60 days from the date the statement is issued containing the unauthorized charge.
Now that makes sense. On the rare times we've had unauthorized charges, AMEX has been proactive in flagging them and bringing them to our attention. Sometimes in "real time" - as in a phone call while transaction is in progress. What have people experienced with Fido's VISA? Do they proactively flag suspicious activity or is the burden 100% on the cardholder?

IntangibleAssets
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Re: Fidelity as a one stop shop

Post by IntangibleAssets » Fri Jan 11, 2019 4:19 pm

PalmQueen wrote:
Fri Jan 11, 2019 3:36 pm
mptfan wrote:
Fri Jan 11, 2019 2:16 pm
PalmQueen wrote:
Fri Jan 11, 2019 12:46 pm
This line in the "terms and conditions" for "Fidelity Rewards Visa Signature Card" stopped me from proceeding with it -

6. Elan Financial Services provides zero fraud liability for unauthorized transactions. Cardmember must notify Elan Financial Services promptly of any unauthorized use. Certain conditions and limitations may apply.

Is that for real?
Is what for real? They are citing a rule that applies to all credit cards by law...you are not responsible for unauthorized charges so long as you notify the card issuer within a certain time period, I think it is 60 days from the date the statement is issued containing the unauthorized charge.
Now that makes sense. On the rare times we've had unauthorized charges, AMEX has been proactive in flagging them and bringing them to our attention. Sometimes in "real time" - as in a phone call while transaction is in progress. What have people experienced with Fido's VISA? Do they proactively flag suspicious activity or is the burden 100% on the cardholder?
You can set up both "alert" activity in real time (i.e. you swipe and immediately get a text) and a separate fraud detection notification.

I haven't experienced fraud myself on the card, but the functionality is there: https://www.fidelity.com/customer-servi ... d-overview

Horsefly
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Re: Fidelity as a one stop shop

Post by Horsefly » Fri Jan 11, 2019 4:43 pm

PalmQueen wrote:
Fri Jan 11, 2019 3:36 pm
Now that makes sense. On the rare times we've had unauthorized charges, AMEX has been proactive in flagging them and bringing them to our attention. Sometimes in "real time" - as in a phone call while transaction is in progress. What have people experienced with Fido's VISA? Do they proactively flag suspicious activity or is the burden 100% on the cardholder?
As with most every card issuer, they do have some artificial intelligence that is examining every transaction, and flagging things as suspicious. One time my wife got a charge denied while she was paying for groceries. We just had to talk to someone on the phone and verify a few charges, and all was well again.

One time with the old Fidelity Amex card, someone did a $1 charge at a lumberyard in Tennessee (I live in Colorado). They cut off the card and called me, and when I didn't recognize just that one charge they cancelled the card and rush shipped us new cards.

Sometimes card issuers can be a little over-zealous about it though, and the Fidelity Amex folks were bad that way. One time I was a dinner with some friends at a restaurant a few miles from our home. When I went to pay for it the charge was denied. I called them, and it turns out this place was part of a small chain that was headquartered in another state. Since I hadn't told them I was traveling, they decided there had been fraud. :oops:

yeahman
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Re: Fidelity as a one stop shop

Post by yeahman » Fri Jan 11, 2019 6:16 pm

After a rough start where they locked me out for a week for "suspicious activity," I'm settled in. All money goes directly into the brokerage account. Bills, cash withdraws, and checks come out of the CMA with $0 balance. I did this because they reimburse ATM fees to the CMA so it would result in a positive balance if I didn't use it.

I decided against making it a one-stop shop though. I keep a fee-free no-min-balance regional bank account to deposit cash and notarize. I'm keeping Vanguard because they have the best money market for my emergency fund.

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Re: Fidelity as a one stop shop

Post by MisterBill » Sat Jan 12, 2019 4:50 pm

Horsefly wrote:
Fri Jan 11, 2019 4:43 pm

As with most every card issuer, they do have some artificial intelligence that is examining every transaction, and flagging things as suspicious. One time my wife got a charge denied while she was paying for groceries. We just had to talk to someone on the phone and verify a few charges, and all was well again.

One time with the old Fidelity Amex card, someone did a $1 charge at a lumberyard in Tennessee (I live in Colorado). They cut off the card and called me, and when I didn't recognize just that one charge they cancelled the card and rush shipped us new cards.
When the Fidelity card (then an AMEX) was issued by FIA Card Services (subsidiary of BofA), they did not notice that my card was being used fraudulently until after the 3rd day of purchases. Their website did not have any way of setting alerts at the time, either, so I didn't know. I only found out when my Costco purchase was declined. Turns out they had started out each day with a $1 charge at a soda vending machine, then they went on a shopping spree. Obviously I didn't end up owing anything but it was a real PITA, plus they never called me. Most annoying thing (other than the declined charge) was that I couldn't get the police or the store I called to report a fraudulent $500 charge to do anything about it.

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Re: Fidelity as a one stop shop

Post by MisterBill » Sat Jan 12, 2019 4:51 pm

yeahman wrote:
Fri Jan 11, 2019 6:16 pm
After a rough start where they locked me out for a week for "suspicious activity," I'm settled in. All money goes directly into the brokerage account. Bills, cash withdraws, and checks come out of the CMA with $0 balance. I did this because they reimburse ATM fees to the CMA so it would result in a positive balance if I didn't use it.
That's a good idea, doing deposits into the brokerage account. I need to do that.

drk
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Re: Fidelity as a one stop shop

Post by drk » Sat Jan 12, 2019 5:09 pm

arf30 wrote:
Thu Jan 03, 2019 2:18 pm
Yes, I can confirm there's no ATM FTF fee. Haven't been brave enough to try a debit transaction internationally yet to see if there's a fee on that side.
Gadget wrote:
Fri Jan 04, 2019 2:00 pm
There is no 1% fee on foreign ATM withdrawals. There is a 1% fee on foreign debit card purchases. I don't know why anyone would use it like that except by accident though.
This has me very curious because the terms pretty clearly state a fee:
Please note, there is a foreign transaction fee of one percent that is not waived, which will be included in the amount charged to your account.
Have you either of you compared the exchange rate you got with the prevailing one on the day of a withdrawal? If not, I might have to open one of these accounts and test it out when I next go to Canada.

Lyrrad
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Re: Fidelity as a one stop shop

Post by Lyrrad » Sat Jan 12, 2019 5:23 pm

drk wrote:
Sat Jan 12, 2019 5:09 pm


This has me very curious because the terms pretty clearly state a fee:
Please note, there is a foreign transaction fee of one percent that is not waived, which will be included in the amount charged to your account.
Have you either of you compared the exchange rate you got with the prevailing one on the day of a withdrawal? If not, I might have to open one of these accounts and test it out when I next go to Canada.
I did a test withdrawal a couple of weeks ago and I appeared to get the Visa exchange rate for that day, which seemed to be about 0.2% off of the midmarket rate.

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JoMoney
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Re: Fidelity as a one stop shop

Post by JoMoney » Sat Jan 12, 2019 5:28 pm

MisterBill wrote:
Sat Jan 12, 2019 4:50 pm
...
When the Fidelity card (then an AMEX) was issued by FIA Card Services (subsidiary of BofA), they did not notice that my card was being used fraudulently until after the 3rd day of purchases. Their website did not have any way of setting alerts at the time, either, so I didn't know. I only found out when my Costco purchase was declined. Turns out they had started out each day with a $1 charge at a soda vending machine, then they went on a shopping spree. Obviously I didn't end up owing anything but it was a real PITA, plus they never called me. Most annoying thing (other than the declined charge) was that I couldn't get the police or the store I called to report a fraudulent $500 charge to do anything about it.
Interesting, as I also had a fraud/identity theft issue (several years back) after getting the older FIA Card Services reward card (although mine was the the Visa). In my case, I never received the card after being approved for it, and a few weeks later got a phone call from the fraud department inquiring if I was in possession of the card as they were seeing "unusually aggressive purchasing for a new card". I explained I hadn't even received the card, and they took care of clearing me of any liability and sent a new card. I thought all was settled, until a few months later I found out who ever stole the card (likely same perpetrator as it was in the same region of country that the fraudulent credit card charges happened) also used my identity to open several other retail credit accounts causing massive PITA to get all cleaned up. The FIA Card Services cleared everything up on that card, but the subsequent issues required me to file police reports, send lots of faxes, and make lots of phone calls disavowing and having to be aggressive claiming my 'Fair Credit Reporting Act' rights with some very belligerent debt collectors. Unfortunately, somehow it falls on the individual whose identity was used to file a police report, despite it being the stores negligence (in properly identifying who they're granting credit to) and the stores money/merchandise being stolen.
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Re: Fidelity as a one stop shop

Post by drk » Sat Jan 12, 2019 7:09 pm

Lyrrad wrote:
Sat Jan 12, 2019 5:23 pm
I did a test withdrawal a couple of weeks ago and I appeared to get the Visa exchange rate for that day, which seemed to be about 0.2% off of the midmarket rate.
Thanks! This would be my one sticking point if I were to sour on Schwab, so it's good to know that Fidelity CMA would be a replacement.

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Re: Fidelity as a one stop shop

Post by MisterBill » Sun Jan 13, 2019 2:59 am

drk wrote:
Sat Jan 12, 2019 5:09 pm
Have you either of you compared the exchange rate you got with the prevailing one on the day of a withdrawal? If not, I might have to open one of these accounts and test it out when I next go to Canada.
I tried a withdrawal of 10 euros a couple of years ago on both my Fidelity and Capital One cards and got the same exchange rate (the USD was $11.61 IIRC).

Drew31
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Re: Fidelity as a one stop shop

Post by Drew31 » Sun Jan 13, 2019 11:46 am

This thread has been eye opening. I've used the CMA for a few years now...recently began using it as my main checking account. But seems I didn't even fully appreciate the full capabilities of it.

So I'm now thinking of consolidating several other savings accounts at other banks with Fidelity. Most simplistic would be just keeping it all in the CMA and manually buying the MMF as needed (don't mind the extra hassle). Concern is that will lead to a balance a little above my peace of mind from a fraud perspective. We have debit cards on our CMA, but ONLY use them for ATM withdrawals, which is a must have for us.

Seems my solution is opening a brokerage account and just transferring the amount above what I'm comfortable with to it, and keeping overdraft off. This would limit any risk. Anyone have any other thoughts/experiences?

Does Fidelity let you adjust the spending limits on your debit card to essentially make it an ATM only card?

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Re: Fidelity as a one stop shop

Post by BUBear29 » Sun Jan 13, 2019 12:17 pm

Drew31 wrote:
Sun Jan 13, 2019 11:46 am
This thread has been eye opening. I've used the CMA for a few years now...recently began using it as my main checking account. But seems I didn't even fully appreciate the full capabilities of it.

So I'm now thinking of consolidating several other savings accounts at other banks with Fidelity. Most simplistic would be just keeping it all in the CMA and manually buying the MMF as needed (don't mind the extra hassle). Concern is that will lead to a balance a little above my peace of mind from a fraud perspective. We have debit cards on our CMA, but ONLY use them for ATM withdrawals, which is a must have for us.

Seems my solution is opening a brokerage account and just transferring the amount above what I'm comfortable with to it, and keeping overdraft off. This would limit any risk. Anyone have any other thoughts/experiences?

Does Fidelity let you adjust the spending limits on your debit card to essentially make it an ATM only card?
you could also open a separate CMA for checkwriting and atm usage and keep a nominal amount in that account. Cancel any debit cards in your primary CMA
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Re: Fidelity as a one stop shop

Post by SagaciousTraveler » Sun Jan 13, 2019 12:23 pm

Drew31 wrote:
Sun Jan 13, 2019 11:46 am
Seems my solution is opening a brokerage account and just transferring the amount above what I'm comfortable with to it, and keeping overdraft off. This would limit any risk. Anyone have any other thoughts/experiences?

Does Fidelity let you adjust the spending limits on your debit card to essentially make it an ATM only card?
I didn’t link my CMA to my brokerage. I only move money over there when I need to do Bill pay, write a check or use the ATM.

You can make it an ATM only card. I just did this Thursday. Do not take no for an answer. My first line rep did not know you can reduce the debit limit to zero. I was adamant and the second tier did it. Takes a few days to update.

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SagaciousTraveler
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Re: Fidelity as a one stop shop

Post by SagaciousTraveler » Sun Jan 13, 2019 12:27 pm

BUBear29 wrote:
Fri Jan 11, 2019 12:58 pm
I emailed a question to Fidelity over 48 hours ago. Havent received a response even though response time is 24-48 hours. So much for the bragged stellar service. Vanguard always responds within 24 hours.
Calling gets immediate answers. Secure messages takes a few days.

Once my ordeal is completely done I will share my story on Vanguards nightmare screw up on a simple transfer. The customer service on it has been eye opening from both sides.

Gadget
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Re: Fidelity as a one stop shop

Post by Gadget » Sun Jan 13, 2019 12:42 pm

SagaciousTraveler wrote:
Sun Jan 13, 2019 12:23 pm
Drew31 wrote:
Sun Jan 13, 2019 11:46 am
Seems my solution is opening a brokerage account and just transferring the amount above what I'm comfortable with to it, and keeping overdraft off. This would limit any risk. Anyone have any other thoughts/experiences?

Does Fidelity let you adjust the spending limits on your debit card to essentially make it an ATM only card?
I didn’t link my CMA to my brokerage. I only move money over there when I need to do Bill pay, write a check or use the ATM.

You can make it an ATM only card. I just did this Thursday. Do not take no for an answer. My first line rep did not know you can reduce the debit limit to zero. I was adamant and the second tier did it. Takes a few days to update.
Really? I thought the consensus in this thread was that you couldn't actually get the debit card limit down to zero. So I haven't tried. Guess it's time to contact Fidelity when I get time.

brushwood
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Re: Fidelity as a one stop shop

Post by brushwood » Sun Jan 13, 2019 12:58 pm

Gadget wrote:
Sun Jan 13, 2019 12:42 pm
SagaciousTraveler wrote:
Sun Jan 13, 2019 12:23 pm
Drew31 wrote:
Sun Jan 13, 2019 11:46 am
Seems my solution is opening a brokerage account and just transferring the amount above what I'm comfortable with to it, and keeping overdraft off. This would limit any risk. Anyone have any other thoughts/experiences?

Does Fidelity let you adjust the spending limits on your debit card to essentially make it an ATM only card?
I didn’t link my CMA to my brokerage. I only move money over there when I need to do Bill pay, write a check or use the ATM.

You can make it an ATM only card. I just did this Thursday. Do not take no for an answer. My first line rep did not know you can reduce the debit limit to zero. I was adamant and the second tier did it. Takes a few days to update.
Really? I thought the consensus in this thread was that you couldn't actually get the debit card limit down to zero. So I haven't tried. Guess it's time to contact Fidelity when I get time.
I tried calling a couple times asking to disable signature debit and was told both times that it is not possible. I guess my mistake was not asking for the signature debit limit to be reduced to zero and instead asking it to be disabled entirely. The result is the same but maybe if I try again by asking this way, they'll understand what I am asking for.

Drew31
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Re: Fidelity as a one stop shop

Post by Drew31 » Sun Jan 13, 2019 1:00 pm

BUBear29 wrote:
Sun Jan 13, 2019 12:17 pm
you could also open a separate CMA for checkwriting and atm usage and keep a nominal amount in that account. Cancel any debit cards in your primary CMA
Good thought...hadn't really thought of just having a 2nd CMA.
Gadget wrote:
Sun Jan 13, 2019 12:42 pm
SagaciousTraveler wrote:
Sun Jan 13, 2019 12:23 pm
Drew31 wrote:
Sun Jan 13, 2019 11:46 am
Seems my solution is opening a brokerage account and just transferring the amount above what I'm comfortable with to it, and keeping overdraft off. This would limit any risk. Anyone have any other thoughts/experiences?

Does Fidelity let you adjust the spending limits on your debit card to essentially make it an ATM only card?
I didn’t link my CMA to my brokerage. I only move money over there when I need to do Bill pay, write a check or use the ATM.

You can make it an ATM only card. I just did this Thursday. Do not take no for an answer. My first line rep did not know you can reduce the debit limit to zero. I was adamant and the second tier did it. Takes a few days to update.
Really? I thought the consensus in this thread was that you couldn't actually get the debit card limit down to zero. So I haven't tried. Guess it's time to contact Fidelity when I get time.
I just had a chat session with Fidelity asking about this and they said they could not adjust...or, more specifically, the rep asked the department and they said no. Sounds like he had to submit a request and then see if it was approved. Said they are rarely approved. So, reading between the lines, appears that they CAN do it...just choose NOT to more often than not.

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JoMoney
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Re: Fidelity as a one stop shop

Post by JoMoney » Sun Jan 13, 2019 1:01 pm

^FWIW, if they won't reduce it to 0, you might see if they can reduce it to another lower amount. I had a bank that couldn't/wouldn't reduce to 0 but discovered they could reduce it to $1.
"To achieve satisfactory investment results is easier than most people realize; to achieve superior results is harder than it looks." - Benjamin Graham

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SagaciousTraveler
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Re: Fidelity as a one stop shop

Post by SagaciousTraveler » Sun Jan 13, 2019 1:11 pm

Drew31 wrote:
Sun Jan 13, 2019 1:00 pm
BUBear29 wrote:
Sun Jan 13, 2019 12:17 pm
you could also open a separate CMA for checkwriting and atm usage and keep a nominal amount in that account. Cancel any debit cards in your primary CMA
Good thought...hadn't really thought of just having a 2nd CMA.
Gadget wrote:
Sun Jan 13, 2019 12:42 pm
SagaciousTraveler wrote:
Sun Jan 13, 2019 12:23 pm
Drew31 wrote:
Sun Jan 13, 2019 11:46 am
Seems my solution is opening a brokerage account and just transferring the amount above what I'm comfortable with to it, and keeping overdraft off. This would limit any risk. Anyone have any other thoughts/experiences?

Does Fidelity let you adjust the spending limits on your debit card to essentially make it an ATM only card?
I didn’t link my CMA to my brokerage. I only move money over there when I need to do Bill pay, write a check or use the ATM.

You can make it an ATM only card. I just did this Thursday. Do not take no for an answer. My first line rep did not know you can reduce the debit limit to zero. I was adamant and the second tier did it. Takes a few days to update.
Really? I thought the consensus in this thread was that you couldn't actually get the debit card limit down to zero. So I haven't tried. Guess it's time to contact Fidelity when I get time.
I just had a chat session with Fidelity asking about this and they said they could not adjust...or, more specifically, the rep asked the department and they said no. Sounds like he had to submit a request and then see if it was approved. Said they are rarely approved. So, reading between the lines, appears that they CAN do it...just choose NOT to more often than not.
This is my only complaint about fidelity. They will explain that they have zero liability on debit fraud. my response was it still takes time and effort to fight the fraud and that limiting the amount to zero would prevent any of this unnecessary work.

Anytime I call Fidelity I tell the rep that their debit card should have a freeze and unfreeze option. Navy federal which I would argue it's not as mainstream is fidelity has this option. When I don't want to use the card at an ATM, I simply freeze the card to prevent any type of fraud. Toggling of the freeze is instantaneous.

Drew31
Posts: 205
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Re: Fidelity as a one stop shop

Post by Drew31 » Sun Jan 13, 2019 2:03 pm

Yep, they mentioned the zero liability. Thats great, but still a PITA to deal with and if there is a way to reduce risk to essentially zero, I like that better obviously. The toggle would work.

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southerndoc
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Location: Atlanta

Re: Fidelity as a one stop shop

Post by southerndoc » Sun Jan 13, 2019 2:31 pm

I never thought about opening a second cash management account to use as a savings account. The MM funds definitely pay more than what BofA is paying right now.

Has anyone used a CMA as a business checking account?

MisterBill
Posts: 424
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Re: Fidelity as a one stop shop

Post by MisterBill » Mon Jan 14, 2019 3:23 pm

Since we're talking about Fidelity here I wanted to mention a "hell has frozen over" moment I just had with them. I opened their Android app to find that it was updated and finally supports fingerprint login. It was the only finance app I use that did not have it. I guess I need to go bump the rating I left them.

radiowave
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Re: Fidelity as a one stop shop

Post by radiowave » Mon Jan 14, 2019 5:37 pm

southerndoc wrote:
Sun Jan 13, 2019 2:31 pm
I never thought about opening a second cash management account to use as a savings account. The MM funds definitely pay more than what BofA is paying right now.

Has anyone used a CMA as a business checking account?
I'm losing track of my posts so apologies if i'm repeating myself from above.

One strategy with Fidelity is to split into 2 CMAs, one for main cash account, bill pay, etc., the other CMA for debit card and ATM withdrawals. Only keep a couple hundred or so in the CMA account that has the debit card attached. I may be a bit paranoid about this and don't use debit card except for ATM. Fidelity has a credible bill pay for electronic transfer however I had a printed mortgage check that was never sent and that creating a whole other set of circumstances to work to be sure I didn't get a ding on my credit report and Fidelity did reimburse the late fee.

I do not have any recent business experience so cannot answer the second question.
Bogleheads Wiki: https://www.bogleheads.org/wiki/Main_Page

ulladulla28
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Re: Fidelity as a one stop shop

Post by ulladulla28 » Tue Jan 15, 2019 4:00 pm

Does Vanguard offer this sort of "cash management" account with bill pay and checkwriting? Or does it have a hefty balance requirement?


Thanks,

MisterBill
Posts: 424
Joined: Thu Dec 24, 2015 3:21 pm

Re: Fidelity as a one stop shop

Post by MisterBill » Tue Jan 15, 2019 9:59 pm

radiowave wrote:
Mon Jan 14, 2019 5:37 pm
I'm losing track of my posts so apologies if i'm repeating myself from above.

One strategy with Fidelity is to split into 2 CMAs, one for main cash account, bill pay, etc., the other CMA for debit card and ATM withdrawals. Only keep a couple hundred or so in the CMA account that has the debit card attached. I may be a bit paranoid about this and don't use debit card except for ATM. Fidelity has a credible bill pay for electronic transfer however I had a printed mortgage check that was never sent and that creating a whole other set of circumstances to work to be sure I didn't get a ding on my credit report and Fidelity did reimburse the late fee.
And presumably the 2nd CMA would not have overdraft feature turned on.

I have not used bill payment but have one in process to go to my son that i submitted a couple of weeks in advance. When I checked the status initially, it said "Not approved" so I contacted them via chat to see what was going on, and the person contacted the group that handles it. I never quite got an answer about why it was saying that but he said that it was fine and when I looked again it said "Pending". I'm wondering if because it was a payee not in their database and the payment was a sizable amount (> $10k), it had to go thru some sort of approval process before the payment could be issued.

I would have preferred to send him the money electronically, but adding an ACH account that I don't own required a form and he would have had to pay a fee for an incoming wire transfer, so bill payment was the best choice (other than my mailing a check, but it wasn't urgent that he get it and this way I didn't have to pay the postage).

Like you, I had to check old posts here to make sure I was not repeating this story.

azianbob
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Re: Fidelity as a one stop shop

Post by azianbob » Wed Jan 16, 2019 4:20 pm

One other option for a one stop shop (especially if you have over $50,000) is Bank of America / Merrill Lynch.

You get checking from Bofa and you can make 30 free trades a month (goes up to 100 free trades if you have over $100,000 in all accounts combined)on Merrill Edge in a self directed brokerage account. Merill Edge also has a preferred deposit program that is currently yielding 2.07% and you can withdraw anytime, so that can substitute for your savings account and/or emergency fund.

MisterBill
Posts: 424
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Re: Fidelity as a one stop shop

Post by MisterBill » Wed Jan 16, 2019 5:30 pm

azianbob wrote:
Wed Jan 16, 2019 4:20 pm
One other option for a one stop shop (especially if you have over $50,000) is Bank of America / Merrill Lynch.

You get checking from Bofa and you can make 30 free trades a month (goes up to 100 free trades if you have over $100,000 in all accounts combined)on Merrill Edge in a self directed brokerage account. Merill Edge also has a preferred deposit program that is currently yielding 2.07% and you can withdraw anytime, so that can substitute for your savings account and/or emergency fund.
But can you write checks against that 2.07%? Also I've heard it can be difficult for them to actually put you in that program.

lstone19
Posts: 441
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Re: Fidelity as a one stop shop

Post by lstone19 » Wed Jan 16, 2019 7:22 pm

IntangibleAssets wrote:
Fri Jan 11, 2019 4:19 pm
PalmQueen wrote:
Fri Jan 11, 2019 3:36 pm

Now that makes sense. On the rare times we've had unauthorized charges, AMEX has been proactive in flagging them and bringing them to our attention. Sometimes in "real time" - as in a phone call while transaction is in progress. What have people experienced with Fido's VISA? Do they proactively flag suspicious activity or is the burden 100% on the cardholder?
You can set up both "alert" activity in real time (i.e. you swipe and immediately get a text) and a separate fraud detection notification.

I haven't experienced fraud myself on the card, but the functionality is there: https://www.fidelity.com/customer-servi ... d-overview
I’ve been unimpressed with Elan’s fraud department. Our card number has twice been compromised (most recently in November). I called as soon as I saw the first alert but both times had to spend 10 minutes on hold before I could talk to someone, even as more alerts were coming in. The last time, the person I talked to wanted to spend time verifying transactions before she locked the card (meanwhile, yet another fraudulent charge was made). And unlike many cards now, there’s no way to temporarily lock the card via their website.

We’ve since acquired the Alliant 2.5% card (our spending level will cover the annual fee) so the new Fidelity/Elan cards, after spending enough to meet the cash-out minimum, now sit in a drawer.

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