30 day hold on assets after ACAT transfer

[lostcoast2023]

Fidelity locks deposits for at least 2 weeks on new accounts, they just do it in a not so visible way, even with their CMA account which is supposed to act checking like. So, the big boys do this. Best of luck.

Sorry, you're wrong. I literally just called Schwab and Fidelity to ask about their policies. Guess what, it's a 3 DAY HOLD on new account cash deposits at Schwab, and next business day after receiving cash at Fidelity.

I recently switched to Fidelity, and they absolutely enforce a 7+ day hold on ACH pulls.

[typical.investor]

For the record, I should have clarified this in my post:
the asset lock was not triggered by my effort to withdraw a large sum; the withdrawal page simply popped up an alert saying ALL withdrawals were blocked, and didn't even give me an opportunity to enter a number.

So, the comments about my request being excessive and suggesting a test with a smaller withdrawal amount are not relevant.

I was merely suggesting that you could test transfer times with a smaller amount. That was your stated reason for doing it. Then if the hold because it's a new account were long, that you wouldn't lose access to the money.

I see extremely low risk of fraud related to money coming from a verified bank account, and then being returned to that bank account. If anybody can provide reference to actual documentation of frauds that involve money transferred from a ID verified and linked bank account, and then are returned to that verified and ID linked bank account, then with my keen interest in account and asset security I would very much like to hear about it.

Again, I think you are surely not understanding that they are not going to analyze every transaction at a granular level and allow transfers back to the originating account while disallowing them to others. And have you tried transferring holdings out? I bet those are blocked too and these restrictions are in place to counter fraud attempts.

I'm so sorry that chasing transfer bonuses is more restrictive that you'd like. I really do think you should just get over it though.

[grayparrot]

I was merely suggesting that you could test transfer times with a smaller amount. That was your stated reason for doing it. Then if the hold because it's a new account were long, that you wouldn't lose access to the money.

Again, I think you are surely not understanding that they are not going to analyze every transaction at a granular level and allow transfers back to the originating account while disallowing them to others. And have you tried transferring holdings out? I bet those are blocked too and these restrictions are in place to counter fraud attempts.

I'm so sorry that chasing transfer bonuses is more restrictive that you'd like. I really do think you should just get over it though.

You can keep your condescension, and I'm understanding fine; today I gave up on personal-opinion-spewing board members in my effort to get accurate information, and instead called Schwab and Fidelity directly for comparison. I was right; my perspective that it's reasonable to expect just a 2-3 day hold time on cash deposits was confirmed. Neither of these two giants and service standard leaders hold cash funds in new accounts for more than 3 days.

Your comments indicate you are also not understanding the difference in hold standards between ACAT assets and EFT or wire from a bank. The risk, and the hold policies, are clearly different. An extended hold time on ACAT assets is expected. A month-long hold time on EFT cash is obviously neither industry standard, nor acceptable to me.

[grayparrot]

I recently switched to Fidelity, and they absolutely enforce a 7+ day hold on ACH pulls.

well, not for me. They confirmed that of course there can be time between when you initiate the EFT and when the funds arrive in the new account. Fidelity assured me without hesitation that once cash is sitting in the new account, it is available for withdrawal after 3 days.

[typical.investor]

I was merely suggesting that you could test transfer times with a smaller amount. That was your stated reason for doing it. Then if the hold because it's a new account were long, that you wouldn't lose access to the money.

Again, I think you are surely not understanding that they are not going to analyze every transaction at a granular level and allow transfers back to the originating account while disallowing them to others. And have you tried transferring holdings out? I bet those are blocked too and these restrictions are in place to counter fraud attempts.

I'm so sorry that chasing transfer bonuses is more restrictive that you'd like. I really do think you should just get over it though.

You can keep your condescension, and I'm understanding fine; today I gave up on personal-opinion-spewing board members in my effort to get accurate information, and instead called Schwab and Fidelity directly for comparison. I was right; my perspective that it's reasonable to expect just a 2-3 day hold time on cash deposits was confirmed. Neither of these two giants and service standard leaders hold cash funds in new accounts for more than 3 days.

Your comments indicate you are also not understanding the difference in hold standards between ACAT assets and EFT or wire from a bank. The risk, and the hold policies, are clearly different. An extended hold time on ACAT assets is expected. A month-long hold time on EFT cash is obviously neither industry standard, nor acceptable to me.

Look, I don't know how TastyWorks or whoever the broker is has implemented their security, but it wouldn't surprise me if the EFT transfers are limited based on your having ACATed assets in. It'd stop you from selling and transferring cash out.

Larger brokers have larger teams to deal with these issues. TastyWorks or a smaller broker is likely less sophisticated due to resources.

[toddthebod]

I recently switched to Fidelity, and they absolutely enforce a 7+ day hold on ACH pulls.

well, not for me. They confirmed that of course there can be time between when you initiate the EFT and when the funds arrive in the new account. Fidelity assured me without hesitation that once cash is sitting in the new account, it is available for withdrawal after 3 days.

Did you ask if it was the same for a brand new account by someone who did not previously have an account at their institution? I'm sure Fidelity will release funds to an existing customer after 3 days. That's not the issue.

[grayparrot]

I recently switched to Fidelity, and they absolutely enforce a 7+ day hold on ACH pulls.

well, not for me. They confirmed that of course there can be time between when you initiate the EFT and when the funds arrive in the new account. Fidelity assured me without hesitation that once cash is sitting in the new account, it is available for withdrawal after 3 days.

Did you ask if it was the same for a brand new account by someone who did not previously have an account at their institution? I'm sure Fidelity will release funds to an existing customer after 3 days. That's not the issue.

Yes, I specifically asked about a hypothetical new client who was anxious about opening their first online account and therefore might want to change their mind about their opening wire/ACH cash transfer, and make a withdrawal after it had settled at Fidelity. They said 3 days.

[pizzy]

I recently switched to Fidelity, and they absolutely enforce a 7+ day hold on ACH pulls.

well, not for me. They confirmed that of course there can be time between when you initiate the EFT and when the funds arrive in the new account. Fidelity assured me without hesitation that once cash is sitting in the new account, it is available for withdrawal after 3 days.

Did you ask if it was the same for a brand new account by someone who did not previously have an account at their institution? I'm sure Fidelity will release funds to an existing customer after 3 days. That's not the issue.

Yes, I specifically asked about a hypothetical new client who was anxious about opening their first online account and therefore might want to change their mind about their opening wire/ACH cash transfer, and make a withdrawal after it had settled at Fidelity. They said 3 days.

Did you leave out the part about the $250k acat?

[toddthebod]

I recently switched to Fidelity, and they absolutely enforce a 7+ day hold on ACH pulls.

well, not for me. They confirmed that of course there can be time between when you initiate the EFT and when the funds arrive in the new account. Fidelity assured me without hesitation that once cash is sitting in the new account, it is available for withdrawal after 3 days.

Did you ask if it was the same for a brand new account by someone who did not previously have an account at their institution? I'm sure Fidelity will release funds to an existing customer after 3 days. That's not the issue.

Yes, I specifically asked about a hypothetical new client who was anxious about opening their first online account and therefore might want to change their mind about their opening wire/ACH cash transfer, and make a withdrawal after it had settled at Fidelity. They said 3 days.

Fascinating: http://personal.fidelity.com/webxpress/ ... ares.shtml

How long do I have to wait to use Electronic Funds Transfer after adding it to my account?
For brokerage and mutual fund accounts, after the establishment process is complete, you can use Electronic Funds Transfer to immediately transfer money to Fidelity to purchase stocks, bonds, options, and mutual funds, or contribute to an IRA. However, the money is not usually available for withdrawal for four to six business days.

For Portfolio Advisory Services (PAS) accounts, you can use Electronic Funds Transfer to immediately transfer money to Fidelity.

You can withdraw money from and deposit money to your Fidelity or PAS account using Fidelity.com once your bank has been verified. If you completed and returned a form, you can begin to use Electronic Funds Transfer 7 to 10 calendar days after Fidelity receives your form.

You can view the status of your Electronic Funds Transfer set up on the Bank Information page.

[nalor511]

I recently switched to Fidelity, and they absolutely enforce a 7+ day hold on ACH pulls.

well, not for me. They confirmed that of course there can be time between when you initiate the EFT and when the funds arrive in the new account. Fidelity assured me without hesitation that once cash is sitting in the new account, it is available for withdrawal after 3 days.

Did you ask if it was the same for a brand new account by someone who did not previously have an account at their institution? I'm sure Fidelity will release funds to an existing customer after 3 days. That's not the issue.

Yes, I specifically asked about a hypothetical new client who was anxious about opening their first online account and therefore might want to change their mind about their opening wire/ACH cash transfer, and make a withdrawal after it had settled at Fidelity. They said 3 days.

Fascinating: http://personal.fidelity.com/webxpress/ ... ares.shtml

How long do I have to wait to use Electronic Funds Transfer after adding it to my account?
For brokerage and mutual fund accounts, after the establishment process is complete, you can use Electronic Funds Transfer to immediately transfer money to Fidelity to purchase stocks, bonds, options, and mutual funds, or contribute to an IRA. However, the money is not usually available for withdrawal for four to six business days.

For Portfolio Advisory Services (PAS) accounts, you can use Electronic Funds Transfer to immediately transfer money to Fidelity.

You can withdraw money from and deposit money to your Fidelity or PAS account using Fidelity.com once your bank has been verified. If you completed and returned a form, you can begin to use Electronic Funds Transfer 7 to 10 calendar days after Fidelity receives your form.

You can view the status of your Electronic Funds Transfer set up on the Bank Information page.

I can confirm that as an existing customer who opened a new Fidelity CMA, for the first few they were holding my eft/ach for over a week. After my account aged in, they're now available next business day

[lostcoast2023]

I recently switched to Fidelity, and they absolutely enforce a 7+ day hold on ACH pulls.

well, not for me. They confirmed that of course there can be time between when you initiate the EFT and when the funds arrive in the new account. Fidelity assured me without hesitation that once cash is sitting in the new account, it is available for withdrawal after 3 days.

While what they told you may be true for some types of transfers, it is certainly not always the case. Incoming wires and ACH pushes are available the same or next day, but ACH pulls (to new accounts) have at least a 1 week hold placed on them.

I can't confirm the hold period for ACATS transfers to Fidelity, but IBKR also prevents withdrawals of ACATS assets for 30 days.

[grayparrot]

Again, I'm not talking about the hold on ACAT assets, and frankly I wouldn't object to a 30 day hold on those. Now that I have received hearty assurances from some of the gold standard platforms (schwab, fidelity) that no client should expect to wait more than a few business days to retrieve their EFT deposit back to a registered bank account, I have answered my own question: no, it is NOT the gold standard of service to put a 30 day hold on cash EFT assets, I am not being unreasonable and entitled as some respondents have suggested, and thus I will not stay with the new platform after qualifying for the $3k bonus. (Note that my $250k in ACAT positions qualified me for that bonus, so in the worst case, I will withdraw the $50k extra in 30 days when the hold expires. What I am hoping is that, some systems flaw might just have resulted in all account assets being locked by default if an ACAT is received, and that the cash can be released based on my appeal. Such an outcome would reassure me about the platform's reliability.

[lostcoast2023]

I am not being unreasonable and entitled as some respondents have suggested, and thus I will not stay with the new platform after qualifying for the $3k bonus.

You are likely going to end up even more disappointed when you learn about the 60-365 day period before you can withdraw your funds and keep the bonus.

I don't think your expectations are unreasonable, but they are certainly not the norm in this industry right now.

[grayparrot]

You are likely going to end up even more disappointed when you learn about the 60-365 day period before you can withdraw your funds and keep the bonus.

I don't think your expectations are unreasonable, but they are certainly not the norm in this industry right now.

I will not be disappointed, I assure you. Unlike the hold policy, the bonus requirements are clearly detailed. I met the bonus requirement with ACAT transfer of long term positions I have no intention of changing. They will sit on the new platform, instead of the old platform, until I qualify for the bonus. Then, if the new platform and its service standards prove acceptable, I may continue using it...otherwise I will move on to a new platform, and likely a new bonus.

I don't see how you can argue that my expectations are not the norm, when two platforms that represent $17 trillion in assets confirmed that my expectations matched perfectly with their standards. If $17 trillion doesn't qualify as the norm, I don't know what does. Maybe you mean the norm among startup, lower-tier platforms.

[pizzy]

You are likely going to end up even more disappointed when you learn about the 60-365 day period before you can withdraw your funds and keep the bonus.

I don't think your expectations are unreasonable, but they are certainly not the norm in this industry right now.

I will not be disappointed, I assure you. Unlike the hold policy, the bonus requirements are clearly detailed. I met the bonus requirement with ACAT transfer of long term positions I have no intention of changing. They will sit on the new platform, instead of the old platform, until I qualify for the bonus. Then, if the new platform and its service standards prove acceptable, I may continue using it...otherwise I will move on to a new platform, and likely a new bonus.

I don't see how you can argue that my expectations are not the norm, when two platforms that represent $17 trillion in assets confirmed that my expectations matched perfectly with their standards. If $17 trillion doesn't qualify as the norm, I don't know what does. Maybe you mean the norm among startup, lower-tier platforms.

Sounds like Tastyworks is leaving a bad taste in their customers mouth

[lostcoast2023]

You are likely going to end up even more disappointed when you learn about the 60-365 day period before you can withdraw your funds and keep the bonus.

I don't think your expectations are unreasonable, but they are certainly not the norm in this industry right now.

I will not be disappointed, I assure you. Unlike the hold policy, the bonus requirements are clearly detailed. I met the bonus requirement with ACAT transfer of long term positions I have no intention of changing. They will sit on the new platform, instead of the old platform, until I qualify for the bonus. Then, if the new platform and its service standards prove acceptable, I may continue using it...otherwise I will move on to a new platform, and likely a new bonus.

I don't see how you can argue that my expectations are not the norm, when two platforms that represent $17 trillion in assets confirmed that my expectations matched perfectly with their standards. If $17 trillion doesn't qualify as the norm, I don't know what does. Maybe you mean the norm among startup, lower-tier platforms.

Here is a recent example of somebody trying the same thing at Fidelity: https://www.reddit.com/r/fidelityinvest ... ed_monies/

[LadyGeek]

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