Vanguard Cash Plus Account

[jerrysdean43]

[Thread merged into here --admin LadyGeek]

I am having difficulty trying to setup my TOD beneficiaries for my cp account. The beneficiary setup page for non retirement account does not have my cash plus account listed or a way to add it. My non retirement brokerage account is listed with the beneficiaries. I have called Vanguard 3 times requesting assistance for this, so far no help. Does the cash pls account just fall under the TOD setup for the brokerage account? Any help will be appreciated. Thank you.

[retired@50]

I am having difficulty trying to setup my TOD beneficiaries for my cp account. The beneficiary setup page for non retirement account does not have my cash plus account listed or a way to add it. My non retirement brokerage account is listed with the beneficiaries. I have called Vanguard 3 times requesting assistance for this, so far no help. Does the cash pls account just fall under the TOD setup for the brokerage account? Any help will be appreciated. Thank you.

Welcome to the forum.

Your question appears to have an answer in the Vanguard Cash Plus mega thread.
See link: viewtopic.php?p=7732459#p7732459

Regards,

[LadyGeek]

I merged jerrysdean43's thread into the ongoing discussion. Welcome!

(Thanks to the member who reported the post and provided a link to this thread.)

[jerrysdean43]

I am having difficulty trying to setup my TOD beneficiaries for my cp account. The beneficiary setup page for non retirement account does not have my cash plus account listed or a way to add it. My non retirement brokerage account is listed with the beneficiaries. I have called Vanguard 3 times requesting assistance for this, so far no help. Does the cash pls account just fall under the TOD setup for the brokerage account? Any help will be appreciated. Thank you.

Welcome to the forum.

Your question appears to have an answer in the Vanguard Cash Plus mega thread.
See link: viewtopic.php?p=7732459#p7732459

Regards,

Actually after checking out the thread link provided above I found that the post says that the TOD is available but does not offer any solution on how to implement it. As I said calling Vanguard does not offer and help.

[LuckyInLife]

I am having difficulty trying to setup my TOD beneficiaries for my cp account. The beneficiary setup page for non retirement account does not have my cash plus account listed or a way to add it. My non retirement brokerage account is listed with the beneficiaries. I have called Vanguard 3 times requesting assistance for this, so far no help. Does the cash pls account just fall under the TOD setup for the brokerage account? Any help will be appreciated. Thank you.

Welcome to the forum.

Your question appears to have an answer in the Vanguard Cash Plus mega thread.
See link: viewtopic.php?p=7732459#p7732459

Regards,

Actually after checking out the thread link provided above I found that the post says that the TOD is available but does not offer any solution on how to implement it. As I said calling Vanguard does not offer and help.

Your question made me look at my own Cash Plus account. From the top of the screen I selected Support, and then there is a section called Update Beneficiaries. When you click on that you can go through the steps to name individual(s) or trust as beneficiaries.

[Arhra]

Hello all,

Just recently created my VCP, just stopping by to express my dissatisfaction at BoA (or is it VG's banking partners) that I can't add the account to pay my BoA CC, which is a big problem because it's the only credit card I have right now, and can't get accepted for more for another 5 months-ish when my credit history becomes over a year long. I suppose what I have to do to make this work is:

1. Check the amount due near the payment date on BoA app / website
2. Liquidate the appropriate amount of funds from VUSXX (the best fund for my state and tax situation) (2 days before payment is scheduled)
3. ACH pull it (since there is no push on VCP?) from my BoA checking / the bank account linked on the CC's autopay (1 day before payment is scheduled)

Does this make sense? Should this always work on-time without missing any payments?

I also got comcast and PSEG so unfortunately looks like I will have to deal with a lot of micromanagement to get this account to work

[rolandtorres]

There were posts earlier, including mine, describing the same problem. I've tried to contact BofA Bill Pay team a few times to see if someone can escalate the issue with VCP's routing #, but clearly they aren't incentivized to.

It appears if you CLOSE your BofA checking account, you can then setup VCP to ACH autopay your BofA credit card, since they would have no other option except to take payment from an outside source. It would be great if BofA lost enough checking customers due to this to have them fix the issue, but if you need BofA checking for another reason, you'll have to jump through the hoops in your plan or look into an auto transfer to your BofA checking prior to your cc pay date.

Regarding your plan, remember that VUSXX settlement to outside bank is settlement date + 1, so give yourself some time cushion.

[Lastrun]

There were posts earlier, including mine, describing the same problem. I've tried to contact BofA Bill Pay team a few times to see if someone can escalate the issue with VCP's routing #, but clearly they aren't incentivized to.

It appears if you CLOSE your BofA checking account, you can then setup VCP to ACH autopay your BofA credit card, since they would have no other option except to take payment from an outside source. It would be great if BofA lost enough checking customers due to this to have them fix the issue, but if you need BofA checking for another reason, you'll have to jump through the hoops in your plan or look into an auto transfer to your BofA checking prior to your cc pay date.

Regarding your plan, remember that VUSXX settlement to outside bank is settlement date + 1, so give yourself some time cushion.

I posted on this as well, and ended up closing my CP account. I could not get BofA to resolve the issue. But as a side note, I opened a Fidelity CMA and it connected easily to pay of my BofA PRE and that is where I have been paying it from for a few months with no issues.

[PitPirate]

My employer switched our Flexible Spending Account provider (FSA) to Inspira Financial. I couldn't get Vanguard Cash Plus (or Fidelity CMA) to work. Got an error saying my "bank couldn't confirm my name". Of course, BOA worked. Annoying.

[stan1]

Hello all,

Just recently created my VCP, just stopping by to express my dissatisfaction at BoA (or is it VG's banking partners) that I can't add the account to pay my BoA CC, which is a big problem because it's the only credit card I have right now, and can't get accepted for more for another 5 months-ish when my credit history becomes over a year long. I suppose what I have to do to make this work is:

1. Check the amount due near the payment date on BoA app / website
2. Liquidate the appropriate amount of funds from VUSXX (the best fund for my state and tax situation) (2 days before payment is scheduled)
3. ACH pull it (since there is no push on VCP?) from my BoA checking / the bank account linked on the CC's autopay (1 day before payment is scheduled)

Does this make sense? Should this always work on-time without missing any payments?

I also got comcast and PSEG so unfortunately looks like I will have to deal with a lot of micromanagement to get this account to work :?

I'd pass on Cash Plus if I were you and do manually initiated ACH as needed and not try to micro-optimize. Pain exceeds gain.

[lemonPepper]

I don't know if I have set things up correctly or this is a VCP limitation.

My paycheck gets deposited to VCP a couple of days later than it used to in my other bank.

I cannot buy stock funds in brokerage directly using the balance in VCP. I need to wait for the direct deposit to clear, and then move the funds manually to brokerage and then buy.

But I can set up auto-invest using an external account, I wish I could set up auto-invest using my paycheck deposit into VCP.

[KendosisX]

What are the transfer times for paypal and venmo?

[xmorphicx]

Hate to be the bearer of bad news, but as of today Vanguard Cash Plus APY has dropped to 4.15%.

https://investor.vanguard.com/accounts- ... us-account

[trueson1]

I didn't realize you couldn't link a Vanguard MM settlement account to Treasury Direct (you need bank type routing numbers). I set it up and initially the money credited by TreasuryDirect but was subsequently rejected. So, I transferred money to Cash Plus from my MMF settlement account. It transferrd within a day and I set up a Treasury Direct transfer from Cash plus. Hopefully it goes through. Should know by Monday.

[abuss368]

Hi Bogleheads -

In my opinion this is an excellent cash account.

One could certainly do much worse.

I am curious if this account will allow for check writing at some point.

I do recall years ago Vanguard offered a banking service that partnered with PNC.

Best.
Tony

[BuonaDomenica]

I'm unable to link my Schwab Checking Account to the Vanguard CashPlus account. Schwab keeps saying error about the routing number. I have selected Savings.

No issues linking to other banks. I found one post on Reddit withe the same problem and no resolution either.

[Mrbogleheads]

I for one love the Vanguard Cash Plus account. All my bills including credit card payments, utilities, and property taxes, are all directly withdrawn from the cash plus account. There is only 1 small utility bill that I was unable to link up. I'm able to direct deposit large checks via my phone camera/Vanguard App hassle free. I keep around 5k-10k in the Cash Plus Account. 2k in my local bank account. And rest of the short term holdings in VUSXX.

[Feldman]

Darn. Marcus is now higher yield than Cash Plus (although I realize it will be dropping soon, and may well drop below the current Cash Plus yield.

Is there a concise listing anywhere of known major payment services that work successfully with Vanguard Cash Plus, and those that don't? Is something like that appropriate content for a new Wiki page?

[urban]

I'm unable to link my Schwab Checking Account to the Vanguard CashPlus account. Schwab keeps saying error about the routing number. I have selected Savings.

No issues linking to other banks. I found one post on Reddit withe the same problem and no resolution either.

I was trying to use Schwab's MoneyLInk to ACH link my brokerage account to VG CP, from the Schwab side. Schwab said they will not do it because VG is the brokerage, and they would not ACH link Schwab to another brokerage, only to a bank. I said that VG uses a real bank for the actual transactions, and the provided routing number is for the PNC Bank. They said that they will only do it if I provide them a letter from VG that VG Cash Plus account is a checking or a savings account. Obviously I cannot do it because somewhere in FAQs it stated that the VG Cash Plus account is a brokerage account. So I dropped it for the time being.

Another financial institution I could not link VG Cash Plus to is Comenity Capital Bank, issuer of the Bread Cashback AMEX credit card.

[Feldman]

Marcus just dropped to 4.25%, so Marcus is still fractionally higher. Perhaps I will keep after all to track how both accounts react during a rate-lowering cycle, and also to see where they bottom out.

[Randomuser7]

For what it’s worth, Wealthfront’s cash account is still 5% right now. Not sure if it will change soon to be lower like others have, but, wanted to mention.

[Randomuser7]

For what it’s worth, Wealthfront’s cash account is still 5% right now. Not sure if it will change soon to be lower like others have, but, wanted to mention.

I just received the email today that Wealthfront is lowering to 4.5%. Maybe I jinxed it.

[vu8]

What is the issue with the widening gap between the Cash Plus and VMFXX?

I really want good yield of the VMFXX but I must keep some cash at Cash Plus because it's not worth moving the money back and forth monthly or weekly. However the lower yield while the cash sits at the account waiting for future bills is indeed uncomfortable.

[slondr]

What is the issue with the widening gap between the Cash Plus and VMFXX?

I really want good yield of the VMFXX but I must keep some cash at Cash Plus because it's not worth moving the money back and forth monthly or weekly. However the lower yield while the cash sits at the account waiting for future bills is indeed uncomfortable.

Hard to say with certainty, but I believe Cash Plus more closely tracks (some % lower than) long bonds instead of short bonds. If that's the case, then I would expect VMFXX to beat Cash Plus by a lot only for short periods of time when the yield curve is steeply inverted, as it is right now.

[vu8]

Hard to say with certainty, but I believe Cash Plus more closely tracks (some % lower than) long bonds instead of short bonds. If that's the case, then I would expect VMFXX to beat Cash Plus by a lot only for short periods of time when the yield curve is steeply inverted, as it is right now.

Yeah very good point. I thought it was only a 30 bp difference in the beginning which were 5.1 and 4.7 percent
Now it's at 4.85 and 4.1 percent, which is a much bigger gap than before.

[NYCaviator]

Can anyone confirm if there are restrictions on moving money in and out of the cash plus account if you add a new bank? In another thread someone mentioned that VG won't let you move money to an account that wasn't previously used to move the money in, unless it's been a year.

Also, are there inordinate hold times on funds transferred in like Fidelity? I'm done with Fido for my cash needs.

[retiringwhen]

Can anyone confirm if there are restrictions on moving money in and out of the cash plus account if you add a new bank? In another thread someone mentioned that VG won't let you move money to an account that wasn't previously used to move the money in, unless it's been a year.

Also, are there inordinate hold times on funds transferred in like Fidelity? I'm done with Fido for my cash needs.

My opinion and it is worth exactly what you value it.

I would not depend upon fast movement of cash between accounts that have not seasoned for a long while (as in 30, 60 days or even a year) from any brokerage anymore.

There is a major rash of frauds going on that are sweeping the entire industry and we have no idea when it will happen and how or what that brokerages will do to mitigate the risk. This is on top of the longer term KYC (know your customer) regulations that have been changing the rules in unpublished ways as per the regulators directives (the brokerage are not only entitled, but encouraged (required?) to NOT publish the rules by the regulatory entities).

Bottom line, make sure any moves you make have low risk if you cannot move the money quickly.

The method I use to mitigate risk is to use an VERY VERY seasoned account at a credit union (40 years seasoned) as the hub for all movement of money that could be spent in the next 12 mos. I have added new accounts at JPM Chase and Vanguard via cash from these entities with not inordinate hold issues (normal 7 days).

I also redeem cash from brokerage and IRA accounts at Vanguard into CP and then pay bills, transfer to the credit union, and Ally, without issue or holds. In fact I often use wires (i get them free) to move money to the credit union regularly to pay bills sometimes all in the space of 8 hours.