Vanguard is Discontinuing their VanguardAdvantage Accounts

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aj44
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Re: Vanguard is Discontinuing their VanguardAdvantage Accounts

Post by aj44 » Sat May 11, 2019 1:05 pm

I decided to move my checking to the Fidelity CMA and the only thing that has taken a lot of time is Vanguard conforming the Fidelity UMB “bank”.

Fidelity is now fitting my needs where Vanguard falls short, HSA and a cash management account, if Fidelity ever gets a low cost Total World stock Fund and low cost muni bond fund I would likely move all my Vanguard business over.

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tuningfork
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Re: Vanguard is Discontinuing their VanguardAdvantage Accounts

Post by tuningfork » Sat May 11, 2019 4:51 pm

asset_chaos wrote:
Fri May 10, 2019 5:51 pm
I was finally able to establish an account with a credit union---lots of hoops for me personally to open an account from abroad---and when I go to set up the link with my Vanguard money market, Vanguard says verification of the banking details will take 7---10 days after I confirmed the micro payments. That seems like a long time in this day and age to verify something about a credit union. I asked the flagship rep to please expedite this, but they weren't helpful about that. Bottom line, it'll still be another week or so before I can actually use the bank account.

I guess it was too much to hope that since Vanguard chose to break this service that they'd that they'd put forth some effort to help clients establish alternative arrangements.
Part of verifying a new bank connection is sending paper mail to your address of record notifying you that a new bank has been added to your account, and giving you time to dispute the new connection before it's used. This is a fraud protection measure to prevent someone masquerading as you from quickly draining your account.

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Doc
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Re: Vanguard is Discontinuing their VanguardAdvantage Accounts

Post by Doc » Sat May 11, 2019 6:21 pm

tuningfork wrote:
Sat May 11, 2019 4:51 pm
Part of verifying a new bank connection is sending paper mail to your address of record notifying you that a new bank has been added to your account, and giving you time to dispute the new connection before it's used. This is a fraud protection measure to prevent someone masquerading as you from quickly draining your account.
I recently set up new two way bank connections between Fidelity and our bank. No paper was required.

I didn't attempt to test out a pull from Fidelity to our bank since there is no need to do that. I can always push from Fidelity. Maybe that's where paper comes in.

As an additional "say what" I paid a home contractor by paper check a few days ago and they were able to pull it from our bank electronically. :annoyed
A scientist looks for THE answer to a problem, an engineer looks for AN answer and lawyers ONLY have opinions. Investing is not a science.

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asset_chaos
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Re: Vanguard is Discontinuing their VanguardAdvantage Accounts

Post by asset_chaos » Sun May 12, 2019 4:13 am

tuningfork wrote:
Sat May 11, 2019 4:51 pm
asset_chaos wrote:
Fri May 10, 2019 5:51 pm
I was finally able to establish an account with a credit union---lots of hoops for me personally to open an account from abroad---and when I go to set up the link with my Vanguard money market, Vanguard says verification of the banking details will take 7---10 days after I confirmed the micro payments. That seems like a long time in this day and age to verify something about a credit union. I asked the flagship rep to please expedite this, but they weren't helpful about that. Bottom line, it'll still be another week or so before I can actually use the bank account.

I guess it was too much to hope that since Vanguard chose to break this service that they'd that they'd put forth some effort to help clients establish alternative arrangements.
Part of verifying a new bank connection is sending paper mail to your address of record notifying you that a new bank has been added to your account, and giving you time to dispute the new connection before it's used. This is a fraud protection measure to prevent someone masquerading as you from quickly draining your account.
Maybe. But I'd already verified the micro deposits by logging into the credit union account and seeing them, then logging in to the Vanguard account and reporting the two random numbers. And I did get an email almost immediately at my Vanguard email of record saying if this new bank connection wasn't my doing, then contact them. And when I talked to the flagship rep, waiting on a paper letter to arrive at my address abroad wasn't mentioned as a stumbling block. They did offer to make some unspecified, special arrangement if I was desperate for funds, but I wasn't interested in a special carrier pigeon bringing cash from Valley Forge to Washington, where the credit union is. I wanted the regular arrangement set up, so I could move money, reestablish bill pays, and just get this whole hassle over with. And while I complained on the board yesterday, the conversations were a week ago; and, today, day 7, the lower end of the estimate, the connection was established. If there's a paper letter involved, I'm still waiting to get it.
Regards, | | Guy

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Mel Lindauer
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Re: Vanguard is Discontinuing their VanguardAdvantage Accounts

Post by Mel Lindauer » Sun May 12, 2019 12:31 pm

Doc wrote:
Sat May 11, 2019 12:49 pm
Mel Lindauer wrote:
Sat May 11, 2019 12:25 pm
What did you have to do to get the $2500 bonus?
Goggle "Fidelity move in bonus" and get

https://www.moneysmylife.com/fidelity-promotions/

and several more. :D
Thanks, Doc.
Best Regards - Mel | | Semper Fi

abloom79
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Re: Vanguard is Discontinuing their VanguardAdvantage Accounts

Post by abloom79 » Mon May 13, 2019 10:38 am

Despite what that link says about "$1,000,000+", if you're fortunate enough to have $5,000,000 or more to move into Fidelity, the bonus can be significantly larger than $2500.

PatrickA5
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Re: Vanguard is Discontinuing their VanguardAdvantage Accounts

Post by PatrickA5 » Mon May 13, 2019 10:47 am

Currently, it doesn't look like they are giving anything but free trades - which are worthless to me.

P&C actuary
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Re: Vanguard is Discontinuing their VanguardAdvantage Accounts

Post by P&C actuary » Fri May 17, 2019 9:17 am

Yesterday I received VandguardAdvantage debit card in the mail. Guessing it is a replacement, but why send it if the program will be discontinued soon?

Small Law Survivor
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Re: Vanguard is Discontinuing their VanguardAdvantage Accounts

Post by Small Law Survivor » Fri May 17, 2019 9:41 am

Hmmm ... was unaware of VanguardAdvantage before reading this thread. But now that I've read about it, I wish I had used it - setting aside the fact that it is being discontinued.

However, I transfer money from Vanguard to Bank or America, as needed, and use BoA bill pay. Has worked well, and I'll keep doing that.
68 yrs, semi-retired lawyer, 50/40/10 s/b/c, 70/30 dom/int'l. Plan: 4% WR until age 70, 3% after social security kicks in. Boglehead since day 1 (and M* Diehard before that) under various other names

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southerndoc
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Re: Vanguard is Discontinuing their VanguardAdvantage Accounts

Post by southerndoc » Fri May 17, 2019 10:15 am

I didn't know it existed either. Would love to have one now. :/

Vgemp1294
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Re: Vanguard is Discontinuing their VanguardAdvantage Accounts

Post by Vgemp1294 » Sat May 18, 2019 1:10 am

Doc wrote:
Tue Apr 30, 2019 1:55 pm
dkturner wrote:
Tue Apr 30, 2019 12:32 pm
it’s a long convoluted story because our Joint MM Account is a brokerage account and our IRAs are individual mutual fund accounts)
It's not just the brokerage vs. mutual fund account. Transfers between accounts with different ownership forms like joint, single, taxable, ROTH is subject to weird restrictions that is impossible to figure out. The logic is not logical.
Most of those restrictions (Usually some sort of extra security or form with a signature guarantee/medallion signature guarantee have to do with one party losing ownership of the funds. For example transferring from a joint account with owners 1 & 2 to an individual account in owner 1's name would require a change of ownership form to be filled out with a signature/medallion guarantee for owner 2 because that transfer would result in them losing ownership of the transferred assets. This also applies to many situations involving trust accounts and depends on the trustees on the account and the owner(s) of the account being transferred to. Hopefully that cleared some of that up for you and I didn't misunderstand what you were saying.
Last edited by Vgemp1294 on Sat May 18, 2019 3:42 am, edited 1 time in total.

anoop
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Re: Discontinuing VanguardAdvantage Accounts

Post by anoop » Sat May 18, 2019 1:49 am

Nala wrote:
Thu Feb 28, 2019 10:39 am
What I find most galling is Vanguard's claim that “we have determined that VanguardAdvantage is no longer meeting the range of needs articulated by our clients.”
What this means is that they had some bean counters run some numbers. They found that discontinuing this service will save them more money than what they stand to lose by customers leaving. They anticipate losing the business of a few customers but not enough to justify the continued expense of providing the service. Some exec needed to show he could bring disruptive change!

I worked at a company where an exec made an announcement in all hands meeting to the effect "our customers are telling us that we're building too much quality into our products".

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Doc
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Re: Vanguard is Discontinuing their VanguardAdvantage Accounts

Post by Doc » Sat May 18, 2019 7:22 am

Vgemp1294 wrote:
Sat May 18, 2019 1:10 am
Doc wrote:
Tue Apr 30, 2019 1:55 pm
dkturner wrote:
Tue Apr 30, 2019 12:32 pm
it’s a long convoluted story because our Joint MM Account is a brokerage account and our IRAs are individual mutual fund accounts)
It's not just the brokerage vs. mutual fund account. Transfers between accounts with different ownership forms like joint, single, taxable, ROTH is subject to weird restrictions that is impossible to figure out. The logic is not logical.
Most of those restrictions (Usually some sort of extra security or form with a signature guarantee/medallion signature guarantee have to do with one party losing ownership of the funds. For example transferring from a joint account with owners 1 & 2 to an individual account in owner 1's name would require a change of ownership form to be filled out with a signature/medallion guarantee for owner 2 because that transfer would result in them losing ownership of the transferred assets. This also applies to many situations involving trust accounts and depends on the trustees on the account and the owner(s) of the account being transferred to. Hopefully that cleared some of that up for you and I didn't misunderstand what you were saying.
Yeah, but.

I can fund my ROTH from our joint account but neither of us can transfer money from joint to her taxable account. Vanguard's response to question was something like "it's different".

We do not have the same problem with other financial institutions.
A scientist looks for THE answer to a problem, an engineer looks for AN answer and lawyers ONLY have opinions. Investing is not a science.

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Re: Vanguard is Discontinuing their VanguardAdvantage Accounts

Post by dkturner » Sun May 19, 2019 12:12 pm

Vgemp1294 wrote:
Sat May 18, 2019 1:10 am
Doc wrote:
Tue Apr 30, 2019 1:55 pm
dkturner wrote:
Tue Apr 30, 2019 12:32 pm
it’s a long convoluted story because our Joint MM Account is a brokerage account and our IRAs are individual mutual fund accounts)
It's not just the brokerage vs. mutual fund account. Transfers between accounts with different ownership forms like joint, single, taxable, ROTH is subject to weird restrictions that is impossible to figure out. The logic is not logical.
Most of those restrictions (Usually some sort of extra security or form with a signature guarantee/medallion signature guarantee have to do with one party losing ownership of the funds. For example transferring from a joint account with owners 1 & 2 to an individual account in owner 1's name would require a change of ownership form to be filled out with a signature/medallion guarantee for owner 2 because that transfer would result in them losing ownership of the transferred assets. This also applies to many situations involving trust accounts and depends on the trustees on the account and the owner(s) of the account being transferred to. Hopefully that cleared some of that up for you and I didn't misunderstand what you were saying.
I don’t think life at Vanguard is all that secure or complicated - it’s just disorganized.

Prior to converting our joint account from a mutual fund account to a brokerage account we could (and did) move money around from individual accounts to joint account and from joint account to individual accounts. The problems began when we converted the joint account from a mutual fund account to a brokerage account, but left the individual accounts as mutual fund accounts. We solved the problem by cancelling our Advantage Account and relying on transferring funds electronically between our Vanguard accounts and our local joint bank account. Now we have to move our RMDs from our individual IRA accounts to our joint local bank account then back to our Vanguard joint brokerage account.

brndog2
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Re: Vanguard is Discontinuing their VanguardAdvantage Accounts

Post by brndog2 » Tue May 28, 2019 11:58 am

smackboy1 wrote:
Thu Apr 04, 2019 8:48 am
Just got off the line with my Flagship Select rep. After decades with Vanguard I am disappointed that they continue to under deliver in the customer service department. The website is atrocious. I can't count the number of times I've called them and the rep is either clueless or the answer is that Vanguard is unable to do it (when other brokerages can).

I understand Advantage might not have been profitable, but why not give the customers (the supposed "owners" of the company) the choice of just paying for the banking services? On the personal side have several Vanguard Advantage accounts linked to automatic bill payment and direct withdrawal for account payment. It's going to be a major undertaking to unravel and recreate. We're expected to de-evolve to the 20th century and set up a linked bank account. Banks won't be able to pull funds from Vanguard. Vanguard has to originate the transfer via ACH (2-3 days) or wire (hours). Just a huge PITA. No overdraft protection. Not to mention all the lost interest.

On the professional side I've recommended Vanguard to friends, family, and clients - some of HNW. It's not Morgan Stanley but I've convinced them that putting up with bare bones services in return for low costs and higher ROI is worthwhile. It's also the simplicity and efficiency of having investing and banking in a single institution - but no more.

If you're as annoyed as I am, please contact Vanguard and let them know.
I am very happy that Vanguard “forced” my move to Fidelity, really night and day in-terms of service, web site, 24 hr service etc. I am swapping out Vanguard funds for equivalent Fidelity funds when there is no tax consequences. Fidelity has some zero expense index funds.

Broken Man 1999
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Re: Vanguard is Discontinuing their VanguardAdvantage Accounts

Post by Broken Man 1999 » Tue May 28, 2019 1:33 pm

An order to push funds from Vanguard to a linked bank/credit union placed by noon will see the funds in your account by the morning of the next business day. My transfers work like clockwork.

I transfer funds one time a month, and the funds are only in my credit union account two weeks at the most, usually just a few days. So not much time out of market at all. Me, I don't like cash, so I try to minimize holding cash as much as possible.

I have checkwriting established in my settlement fund (Vanguard Federal Money Market fund). If funds aren't available there I have overdraft established in my Vanguard Short-term Treasury Index fund. An overdraft method easily established.

I could easily write a check for hundreds of thousands of dollars and it would not bounce.

I wanted to use VanguardAdvantage myself, but it is half a bank and wouldn't remove the necessity of still requiring a real bank.

So, I invest at Vanguard, and bank at my credit union.

Honestly I would not want to allow any pulls from my Vanguard portfolio, wouldn't be prudent. I'm kinda picky about that.

Those who need additional or enhanced services should move to get what they need.

Me, I have everything I need, though, having mostly Vanguard ETFs, I can easily move without losing my good ERs, should I ever want to do so.

Broken Man 1999
“If I cannot drink Bourbon and smoke cigars in Heaven than I shall not go. " -Mark Twain

looking
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vanguard cancelled my Vanguard Advantage Accounts

Post by looking » Fri Jun 14, 2019 9:00 am

I was told my vanguard advantage account will be canceled. I use it writing checks, paying bills and it is a vital tool. I do not know whey they told they will cancel anyone has experience and how to dispute and I'm flagship member

miamivice
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Re: vangurd canclled myVanguard Advantage Accounts

Post by miamivice » Fri Jun 14, 2019 9:01 am

They are cancelling everyones.


mhalley
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Re: vanguard cancelled my Vanguard Advantage Accounts

Post by mhalley » Fri Jun 14, 2019 4:06 pm

Many threads on using fidelity CMA instead.

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Doom&Gloom
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Re: vanguard cancelled my Vanguard Advantage Accounts

Post by Doom&Gloom » Fri Jun 14, 2019 4:17 pm

It's not you; it's them.

Broken Man 1999
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Re: vanguard cancelled my Vanguard Advantage Accounts

Post by Broken Man 1999 » Fri Jun 14, 2019 4:20 pm

OP, you need to sign on more often. You will have a better idea what is going on at Vaguard. Anything Vanguard does will be discussed to death. :D

Broken Man 1999

ETA: Be aware of the approaching date of July 1 or July 31, can't remember exactly when they want to shut down the service.
“If I cannot drink Bourbon and smoke cigars in Heaven than I shall not go. " -Mark Twain

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Re: vanguard cancelled my Vanguard Advantage Accounts

Post by mervinj7 » Fri Jun 14, 2019 4:54 pm

Doom&Gloom wrote:
Fri Jun 14, 2019 4:17 pm
It's not you; it's them.
That's what they all say. :twisted:

FRANK2009
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Re: Vanguard is Discontinuing their VanguardAdvantage Accounts

Post by FRANK2009 » Sat Jun 15, 2019 7:29 am

I linked my credit union account with my Vanguard account. What I thought would be a major hassle turned out to be nothing. I regularly put money through both accounts without any problems. Life goes on...

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William4u
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Re: Vanguard is Discontinuing their VanguardAdvantage Accounts

Post by William4u » Thu Jul 11, 2019 1:27 pm

jpsfranks wrote:
Sat Mar 30, 2019 9:51 am
Go to the Activity & Orders tab of the account and find the Check Paid # XXXX (Cash) item and click on it. The check images will show inline there.

It does take a while: the check paid will appear in your activity severals days before the images become available.
Thanks. I was clicking on the wrong stuff but this works! It doesn't work right away when the "Check Paid # XXXX" first appears, but a few days later it does. My spouse writes a lot of checks and sometimes does not keep good track of them, so this helps me figure out what we have paid for.

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heartwood
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Re: Vanguard is Discontinuing their VanguardAdvantage Accounts

Post by heartwood » Thu Jul 11, 2019 2:07 pm

William4u wrote:
Thu Jul 11, 2019 1:27 pm
jpsfranks wrote:
Sat Mar 30, 2019 9:51 am
Go to the Activity & Orders tab of the account and find the Check Paid # XXXX (Cash) item and click on it. The check images will show inline there.

It does take a while: the check paid will appear in your activity severals days before the images become available.
Thanks. I was clicking on the wrong stuff but this works! It doesn't work right away when the "Check Paid # XXXX" first appears, but a few days later it does. My spouse writes a lot of checks and sometimes does not keep good track of them, so this helps me figure out what we have paid for.
You're talking about the Fidelity CMA checking? You can only see images, several days later, for paper checks you write. Images for Bill Pay checks are not available either online or in statements.

Broken Man 1999
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Re: Vanguard is Discontinuing their VanguardAdvantage Accounts

Post by Broken Man 1999 » Thu Jul 11, 2019 2:25 pm

The Vanguard checkwriting service acts just like my credit union, the activity is posted, then an image of the check becomes available a few days later.

Broken Man 1999
“If I cannot drink Bourbon and smoke cigars in Heaven than I shall not go. " -Mark Twain

smectym
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Re: Vanguard is Discontinuing their VanguardAdvantage Accounts

Post by smectym » Fri Jul 12, 2019 12:18 am

brndog2 wrote:
Tue May 28, 2019 11:58 am
smackboy1 wrote:
Thu Apr 04, 2019 8:48 am
Just got off the line with my Flagship Select rep. After decades with Vanguard I am disappointed that they continue to under deliver in the customer service department. The website is atrocious. I can't count the number of times I've called them and the rep is either clueless or the answer is that Vanguard is unable to do it (when other brokerages can).

I understand Advantage might not have been profitable, but why not give the customers (the supposed "owners" of the company) the choice of just paying for the banking services? On the personal side have several Vanguard Advantage accounts linked to automatic bill payment and direct withdrawal for account payment. It's going to be a major undertaking to unravel and recreate. We're expected to de-evolve to the 20th century and set up a linked bank account. Banks won't be able to pull funds from Vanguard. Vanguard has to originate the transfer via ACH (2-3 days) or wire (hours). Just a huge PITA. No overdraft protection. Not to mention all the lost interest.

On the professional side I've recommended Vanguard to friends, family, and clients - some of HNW. It's not Morgan Stanley but I've convinced them that putting up with bare bones services in return for low costs and higher ROI is worthwhile. It's also the simplicity and efficiency of having investing and banking in a single institution - but no more.

If you're as annoyed as I am, please contact Vanguard and let them know.
I am very happy that Vanguard “forced” my move to Fidelity, really night and day in-terms of service, web site, 24 hr service etc. I am swapping out Vanguard funds for equivalent Fidelity funds when there is no tax consequences. Fidelity has some zero expense index funds.
No question, Vanguard is signaling substantial elements of its current client base to “seek Zion” elsewhere. And we are moving certain Vanguard assets (e.g. annuity assets, upon which Vanguard has suddenly pronounced anathema) to Fidelity accordingly. But still, Vanguard’s new direction bears watching: perhaps Vanguard knows what its about, and it will deliver surprising solutions as it moves into private equity and other active “space” it has previously shied away from. Vanguard is changing a lot, and more change is to be expected. I’m keeping an open mind.

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