My experience has been that there are three possible scenarios:
The broker allows an internal transfer to an account with a different name at the same brokerage and then allows a transfer to a different brokerage with the same account title. (Most common).
The broker allows a transfer to any account at any other brokerage with the appropriate paperwork. (Fairly uncommon.)
The broker doesn't allow any transfer to an account with a different title regardless of whether it is an internal or external transfer (Schwab for many accounts).
I know that some clubs have had success transferring stock from Schwab accounts, but not all clubs have been successful. It is unclear to me what distinguishes the clubs that can from those that cannot.
I seem to remember that most brokerages require the member to open an account for stock transfer. (someone like Ira might be able to confirm this).
I see this as a fairly simple thing, I'm under the impression most brokerages don't make it difficult to open the personal account, move the stocks to another brokerage account and then close the account. (Schwab not being included in 'most brokerages')
That said, I don't have personal experience. When I have been involved in a stock transfer the person already had an account with the same brokerage. But, mostly, we've elected to cash people out because the tax hit on remaining members isn't enough to warrant the hassle.
My club has now reached a size where this could be an issue, especially if more than one member were to leave in a given year. We are in the process of opening a Fidelity account and abandoning Schwab.
We have used Ameritrade for years. Recently they were purchased by Morgan Stanley. One of our members needed to withdraw from the club. It took a whole month for our club treasurer to find out how to get this person their payout in stocks. A new account is required. People at MS stated, "We are not investment club friendly". What a night mare!!!! Etrade was recently acquired by MS so they will probably be no better. In the club meeting the question was asked, "Where should we transfer to?" This would affect bivo too if there are multiple club moves to companies that are not investment club friendly. Which companies has bivio had the best relationship with? Which companies are happy to be investment club friendly? Which companies is MS likely to acquire next? Robinhood was mentioned, who has experience with them?
Peter Dunkelberger on
Perhaps the difference is the following:
If a club had an account with TDA whereby the club could write checks to third parties, that club retained those privileges upon transfer to Schwab. Schwab will not permit clubs which did not have those privileges prior to the transfer to have a checking account with Schwab.
I am thinking that the check writing privileges might affect the stock transfer privileges.
My experience has been that there are three possible scenarios:
The broker allows an internal transfer to an account with a different name at the same brokerage and then allows a transfer to a different brokerage with the same account title. (Most common).
The broker allows a transfer to any account at any other brokerage with the appropriate paperwork. (Fairly uncommon.)
The broker doesn't allow any transfer to an account with a different title regardless of whether it is an internal or external transfer (Schwab for many accounts).
I know that some clubs have had success transferring stock from Schwab accounts, but not all clubs have been successful. It is unclear to me what distinguishes the clubs that can from those that cannot.
I seem to remember that most brokerages require the member to open an account for stock transfer. (someone like Ira might be able to confirm this).
I see this as a fairly simple thing, I'm under the impression most brokerages don't make it difficult to open the personal account, move the stocks to another brokerage account and then close the account. (Schwab not being included in 'most brokerages')
That said, I don't have personal experience. When I have been involved in a stock transfer the person already had an account with the same brokerage. But, mostly, we've elected to cash people out because the tax hit on remaining members isn't enough to warrant the hassle.
My club has now reached a size where this could be an issue, especially if more than one member were to leave in a given year. We are in the process of opening a Fidelity account and abandoning Schwab.
We have used Ameritrade for years. Recently they were purchased by Morgan Stanley. One of our members needed to withdraw from the club. It took a whole month for our club treasurer to find out how to get this person their payout in stocks. A new account is required. People at MS stated, "We are not investment club friendly". What a night mare!!!! Etrade was recently acquired by MS so they will probably be no better. In the club meeting the question was asked, "Where should we transfer to?" This would affect bivo too if there are multiple club moves to companies that are not investment club friendly. Which companies has bivio had the best relationship with? Which companies are happy to be investment club friendly? Which companies is MS likely to acquire next? Robinhood was mentioned, who has experience with them?
Dan Cohn on
We were with Schwab since we started WITH check writing! Never a problem there; but having to sell stock and not transfer stock to an exiting member was a tax burden for all members.
Dan
NAMC Investment Club #3
Sent from my iPhone
On Jun 23, 2024, at 7:12 AM, Peter Dunkelberger via bivio.com <user*26984900001@bivio.com> wrote:
Perhaps the difference is the following:
If a club had an account with TDA whereby the club could write checks to third parties, that club retained those privileges upon transfer to Schwab. Schwab will not permit clubs which did not have those privileges prior to the transfer to have a checking account with Schwab.
I am thinking that the check writing privileges might affect the stock transfer privileges.
My experience has been that there are three possible scenarios:
The broker allows an internal transfer to an account with a different name at the same brokerage and then allows a transfer to a different brokerage with the same account title. (Most common).
The broker allows a transfer to any account at any other brokerage with the appropriate paperwork. (Fairly uncommon.)
The broker doesn't allow any transfer to an account with a different title regardless of whether it is an internal or external transfer (Schwab for many accounts).
I know that some clubs have had success transferring stock from Schwab accounts, but not all clubs have been successful. It is unclear to me what distinguishes the clubs that can from those that cannot.
I seem to remember that most brokerages require the member to open an account for stock transfer. (someone like Ira might be able to confirm this).
I see this as a fairly simple thing, I'm under the impression most brokerages don't make it difficult to open the personal account, move the stocks to another brokerage account and then close the account. (Schwab not being included in 'most brokerages')
That said, I don't have personal experience. When I have been involved in a stock transfer the person already had an account with the same brokerage. But, mostly, we've elected to cash people out because the tax hit on remaining members isn't enough to warrant the hassle.
My club has now reached a size where this could be an issue, especially if more than one member were to leave in a given year. We are in the process of opening a Fidelity account and abandoning Schwab.
We have used Ameritrade for years. Recently they were purchased by Morgan Stanley. One of our members needed to withdraw from the club. It took a whole month for our club treasurer to find out how to get this person their payout in stocks. A new account is required. People at MS stated, "We are not investment club friendly". What a night mare!!!! Etrade was recently acquired by MS so they will probably be no better. In the club meeting the question was asked, "Where should we transfer to?" This would affect bivo too if there are multiple club moves to companies that are not investment club friendly. Which companies has bivio had the best relationship with? Which companies are happy to be investment club friendly? Which companies is MS likely to acquire next? Robinhood was mentioned, who has experience with them?
Lee Weygandt on
Our club has elected to take the capitol gains and pay taxes now
as opposed to delaying them as it's quite possible rates will
increase at some point. We have just cut checks to the last couple
members who resigned.
Lee
Market Miners Investment Club - Findlay, Ohio
On 6/23/2024 9:03 AM, Dan Cohn via
bivio.com wrote:
We were with Schwab since we started WITH check writing! Never a
problem there; but having to sell stock and not transfer stock to
an exiting member was a tax burden for all members.
If a club had an account with TDA whereby
the club could write checks to third parties, that club
retained those privileges upon transfer to Schwab. Schwab
will not permit clubs which did not have those privileges
prior to the transfer to have a checking account with
Schwab.
I am thinking that the check writing
privileges might affect the stock transfer privileges.
My
experience has been that there are three possible
scenarios:
The broker allows an internal transfer to an
account with a different name at the same
brokerage and then allows a transfer to a
different brokerage with the same account
title. (Most common).
The broker allows a transfer to any account
at any other brokerage with the appropriate
paperwork. (Fairly uncommon.)
The broker doesn't allow any transfer to an
account with a different title regardless of
whether it is an internal or external transfer
(Schwab for many accounts).
I know that some clubs have had success
transferring stock from Schwab accounts, but not
all clubs have been successful. It is unclear to
me what distinguishes the clubs that can from
those that cannot.
I seem to remember
that most brokerages require the member to
open an account for stock transfer. (someone
like Ira might be able to confirm this).
I see this as a fairly
simple thing, I'm under the impression most
brokerages don't make it difficult to open the
personal account, move the stocks to another
brokerage account and then close the account.
(Schwab not being included in 'most
brokerages')
That said, I don't
have personal experience. When I have been
involved in a stock transfer the person
already had an account with the same
brokerage. But, mostly, we've elected to cash
people out because the tax hit on remaining
members isn't enough to warrant the hassle.
My club has now
reached a size where this could be an issue,
especially if more than one member were to
leave in a given year. We are in the process
of opening a Fidelity account and abandoning
Schwab.
We
have used Ameritrade for years. Recently they
were purchased by Morgan Stanley. One of our
members needed to withdraw from the club. It
took a whole month for our club treasurer to
find out how to get this person their payout
in stocks. A new account is required. People
at MS stated, "We are not investment club
friendly". What a night mare!!!! Etrade was
recently acquired by MS so they will probably
be no better. In the club meeting the
question was asked, "Where should we transfer
to?" This would affect bivo too if there are
multiple club moves to companies that are not
investment club friendly. Which companies has
bivio had the best relationship with? Which
companies are happy to be investment club
friendly? Which companies is MS likely to
acquire next? Robinhood was mentioned, who
has experience with them?
Peter Dunkelberger on
Dan Cohn--Just make certain I understand you: your club began with Schwab and you have had check writing ability (including to third parties, i.e., not just club members) from the start? Is that correct? Is your club a partnership? Does your club have a bank account with Schwab?
We were with Schwab since we started WITH check writing! Never a problem there; but having to sell stock and not transfer stock to an exiting member was a tax burden for all members.
If a club had an account with TDA whereby the club could write checks to third parties, that club retained those privileges upon transfer to Schwab. Schwab will not permit clubs which did not have those privileges prior to the transfer to have a checking account with Schwab.
I am thinking that the check writing privileges might affect the stock transfer privileges.
My experience has been that there are three possible scenarios:
The broker allows an internal transfer to an account with a different name at the same brokerage and then allows a transfer to a different brokerage with the same account title. (Most common).
The broker allows a transfer to any account at any other brokerage with the appropriate paperwork. (Fairly uncommon.)
The broker doesn't allow any transfer to an account with a different title regardless of whether it is an internal or external transfer (Schwab for many accounts).
I know that some clubs have had success transferring stock from Schwab accounts, but not all clubs have been successful. It is unclear to me what distinguishes the clubs that can from those that cannot.
I seem to remember that most brokerages require the member to open an account for stock transfer. (someone like Ira might be able to confirm this).
I see this as a fairly simple thing, I'm under the impression most brokerages don't make it difficult to open the personal account, move the stocks to another brokerage account and then close the account. (Schwab not being included in 'most brokerages')
That said, I don't have personal experience. When I have been involved in a stock transfer the person already had an account with the same brokerage. But, mostly, we've elected to cash people out because the tax hit on remaining members isn't enough to warrant the hassle.
My club has now reached a size where this could be an issue, especially if more than one member were to leave in a given year. We are in the process of opening a Fidelity account and abandoning Schwab.
We have used Ameritrade for years. Recently they were purchased by Morgan Stanley. One of our members needed to withdraw from the club. It took a whole month for our club treasurer to find out how to get this person their payout in stocks. A new account is required. People at MS stated, "We are not investment club friendly". What a night mare!!!! Etrade was recently acquired by MS so they will probably be no better. In the club meeting the question was asked, "Where should we transfer to?" This would affect bivo too if there are multiple club moves to companies that are not investment club friendly. Which companies has bivio had the best relationship with? Which companies are happy to be investment club friendly? Which companies is MS likely to acquire next? Robinhood was mentioned, who has experience with them?
Dan Cohn on
Yes we had it from go wrote checks to Bivio, office supplies and exiting members. checking was linked to our Schwab account. Though I stopped using checking when the USPS was/is not doing well.
Sent from my iPhone
On Jun 23, 2024, at 10:44 AM, Peter Dunkelberger via bivio.com <user*26984900001@bivio.com> wrote:
Dan Cohn--Just make certain I understand you: your club began with Schwab and you have had check writing ability (including to third parties, i.e., not just club members) from the start? Is that correct? Is your club a partnership? Does your club have a bank account with Schwab?
We were with Schwab since we started WITH check writing! Never a problem there; but having to sell stock and not transfer stock to an exiting member was a tax burden for all members.
If a club had an account with TDA whereby the club could write checks to third parties, that club retained those privileges upon transfer to Schwab. Schwab will not permit clubs which did not have those privileges prior to the transfer to have a checking account with Schwab.
I am thinking that the check writing privileges might affect the stock transfer privileges.
My experience has been that there are three possible scenarios:
The broker allows an internal transfer to an account with a different name at the same brokerage and then allows a transfer to a different brokerage with the same account title. (Most common).
The broker allows a transfer to any account at any other brokerage with the appropriate paperwork. (Fairly uncommon.)
The broker doesn't allow any transfer to an account with a different title regardless of whether it is an internal or external transfer (Schwab for many accounts).
I know that some clubs have had success transferring stock from Schwab accounts, but not all clubs have been successful. It is unclear to me what distinguishes the clubs that can from those that cannot.
I seem to remember that most brokerages require the member to open an account for stock transfer. (someone like Ira might be able to confirm this).
I see this as a fairly simple thing, I'm under the impression most brokerages don't make it difficult to open the personal account, move the stocks to another brokerage account and then close the account. (Schwab not being included in 'most brokerages')
That said, I don't have personal experience. When I have been involved in a stock transfer the person already had an account with the same brokerage. But, mostly, we've elected to cash people out because the tax hit on remaining members isn't enough to warrant the hassle.
My club has now reached a size where this could be an issue, especially if more than one member were to leave in a given year. We are in the process of opening a Fidelity account and abandoning Schwab.
We have used Ameritrade for years. Recently they were purchased by Morgan Stanley. One of our members needed to withdraw from the club. It took a whole month for our club treasurer to find out how to get this person their payout in stocks. A new account is required. People at MS stated, "We are not investment club friendly". What a night mare!!!! Etrade was recently acquired by MS so they will probably be no better. In the club meeting the question was asked, "Where should we transfer to?" This would affect bivo too if there are multiple club moves to companies that are not investment club friendly. Which companies has bivio had the best relationship with? Which companies are happy to be investment club friendly? Which companies is MS likely to acquire next? Robinhood was mentioned, who has experience with them?
Peter Dunkelberger on
Dan Cohn--is your club a partnership? Is your account under the partnership name or is it in the name of one of your members?
Yes we had it from go wrote checks to Bivio, office supplies and exiting members. checking was linked to our Schwab account. Though I stopped using checking when the USPS was/is not doing well.
Dan Cohn--Just make certain I understand you: your club began with Schwab and you have had check writing ability (including to third parties, i.e., not just club members) from the start? Is that correct? Is your club a partnership? Does your club have a bank account with Schwab?
We were with Schwab since we started WITH check writing! Never a problem there; but having to sell stock and not transfer stock to an exiting member was a tax burden for all members.
If a club had an account with TDA whereby the club could write checks to third parties, that club retained those privileges upon transfer to Schwab. Schwab will not permit clubs which did not have those privileges prior to the transfer to have a checking account with Schwab.
I am thinking that the check writing privileges might affect the stock transfer privileges.
My experience has been that there are three possible scenarios:
The broker allows an internal transfer to an account with a different name at the same brokerage and then allows a transfer to a different brokerage with the same account title. (Most common).
The broker allows a transfer to any account at any other brokerage with the appropriate paperwork. (Fairly uncommon.)
The broker doesn't allow any transfer to an account with a different title regardless of whether it is an internal or external transfer (Schwab for many accounts).
I know that some clubs have had success transferring stock from Schwab accounts, but not all clubs have been successful. It is unclear to me what distinguishes the clubs that can from those that cannot.
I seem to remember that most brokerages require the member to open an account for stock transfer. (someone like Ira might be able to confirm this).
I see this as a fairly simple thing, I'm under the impression most brokerages don't make it difficult to open the personal account, move the stocks to another brokerage account and then close the account. (Schwab not being included in 'most brokerages')
That said, I don't have personal experience. When I have been involved in a stock transfer the person already had an account with the same brokerage. But, mostly, we've elected to cash people out because the tax hit on remaining members isn't enough to warrant the hassle.
My club has now reached a size where this could be an issue, especially if more than one member were to leave in a given year. We are in the process of opening a Fidelity account and abandoning Schwab.
We have used Ameritrade for years. Recently they were purchased by Morgan Stanley. One of our members needed to withdraw from the club. It took a whole month for our club treasurer to find out how to get this person their payout in stocks. A new account is required. People at MS stated, "We are not investment club friendly". What a night mare!!!! Etrade was recently acquired by MS so they will probably be no better. In the club meeting the question was asked, "Where should we transfer to?" This would affect bivo too if there are multiple club moves to companies that are not investment club friendly. Which companies has bivio had the best relationship with? Which companies are happy to be investment club friendly? Which companies is MS likely to acquire next? Robinhood was mentioned, who has experience with them?
Dan Cohn on
Partnership
Sent from my iPhone
On Jun 23, 2024, at 11:08 AM, Peter Dunkelberger via bivio.com <user*26984900001@bivio.com> wrote:
Dan Cohn--is your club a partnership? Is your account under the partnership name or is it in the name of one of your members?
Yes we had it from go wrote checks to Bivio, office supplies and exiting members. checking was linked to our Schwab account. Though I stopped using checking when the USPS was/is not doing well.
Dan Cohn--Just make certain I understand you: your club began with Schwab and you have had check writing ability (including to third parties, i.e., not just club members) from the start? Is that correct? Is your club a partnership? Does your club have a bank account with Schwab?
We were with Schwab since we started WITH check writing! Never a problem there; but having to sell stock and not transfer stock to an exiting member was a tax burden for all members.
If a club had an account with TDA whereby the club could write checks to third parties, that club retained those privileges upon transfer to Schwab. Schwab will not permit clubs which did not have those privileges prior to the transfer to have a checking account with Schwab.
I am thinking that the check writing privileges might affect the stock transfer privileges.
My experience has been that there are three possible scenarios:
The broker allows an internal transfer to an account with a different name at the same brokerage and then allows a transfer to a different brokerage with the same account title. (Most common).
The broker allows a transfer to any account at any other brokerage with the appropriate paperwork. (Fairly uncommon.)
The broker doesn't allow any transfer to an account with a different title regardless of whether it is an internal or external transfer (Schwab for many accounts).
I know that some clubs have had success transferring stock from Schwab accounts, but not all clubs have been successful. It is unclear to me what distinguishes the clubs that can from those that cannot.
I seem to remember that most brokerages require the member to open an account for stock transfer. (someone like Ira might be able to confirm this).
I see this as a fairly simple thing, I'm under the impression most brokerages don't make it difficult to open the personal account, move the stocks to another brokerage account and then close the account. (Schwab not being included in 'most brokerages')
That said, I don't have personal experience. When I have been involved in a stock transfer the person already had an account with the same brokerage. But, mostly, we've elected to cash people out because the tax hit on remaining members isn't enough to warrant the hassle.
My club has now reached a size where this could be an issue, especially if more than one member were to leave in a given year. We are in the process of opening a Fidelity account and abandoning Schwab.
We have used Ameritrade for years. Recently they were purchased by Morgan Stanley. One of our members needed to withdraw from the club. It took a whole month for our club treasurer to find out how to get this person their payout in stocks. A new account is required. People at MS stated, "We are not investment club friendly". What a night mare!!!! Etrade was recently acquired by MS so they will probably be no better. In the club meeting the question was asked, "Where should we transfer to?" This would affect bivo too if there are multiple club moves to companies that are not investment club friendly. Which companies has bivio had the best relationship with? Which companies are happy to be investment club friendly? Which companies is MS likely to acquire next? Robinhood was mentioned, who has experience with them?
Peter Dunkelberger on
That is why I want to leave Schwab. Schwab told me that 1) unless we had check writing privileges with TDA we could not get check writing privileges with Schwab, and 2) we could not establish a bank account with Schwab to write checks because Schwab bank does not accept "organizational accounts". And here your partnership has been with Schwab since inception and your club has a checking account linked to the brokerage account. I congratulate you, but I am frothing at the mouth for whatever convoluted policies Schwab created to make it difficult for TDA clients.
Yes we had it from go wrote checks to Bivio, office supplies and exiting members. checking was linked to our Schwab account. Though I stopped using checking when the USPS was/is not doing well.
Dan Cohn--Just make certain I understand you: your club began with Schwab and you have had check writing ability (including to third parties, i.e., not just club members) from the start? Is that correct? Is your club a partnership? Does your club have a bank account with Schwab?
We were with Schwab since we started WITH check writing! Never a problem there; but having to sell stock and not transfer stock to an exiting member was a tax burden for all members.
If a club had an account with TDA whereby the club could write checks to third parties, that club retained those privileges upon transfer to Schwab. Schwab will not permit clubs which did not have those privileges prior to the transfer to have a checking account with Schwab.
I am thinking that the check writing privileges might affect the stock transfer privileges.
My experience has been that there are three possible scenarios:
The broker allows an internal transfer to an account with a different name at the same brokerage and then allows a transfer to a different brokerage with the same account title. (Most common).
The broker allows a transfer to any account at any other brokerage with the appropriate paperwork. (Fairly uncommon.)
The broker doesn't allow any transfer to an account with a different title regardless of whether it is an internal or external transfer (Schwab for many accounts).
I know that some clubs have had success transferring stock from Schwab accounts, but not all clubs have been successful. It is unclear to me what distinguishes the clubs that can from those that cannot.
I seem to remember that most brokerages require the member to open an account for stock transfer. (someone like Ira might be able to confirm this).
I see this as a fairly simple thing, I'm under the impression most brokerages don't make it difficult to open the personal account, move the stocks to another brokerage account and then close the account. (Schwab not being included in 'most brokerages')
That said, I don't have personal experience. When I have been involved in a stock transfer the person already had an account with the same brokerage. But, mostly, we've elected to cash people out because the tax hit on remaining members isn't enough to warrant the hassle.
My club has now reached a size where this could be an issue, especially if more than one member were to leave in a given year. We are in the process of opening a Fidelity account and abandoning Schwab.
We have used Ameritrade for years. Recently they were purchased by Morgan Stanley. One of our members needed to withdraw from the club. It took a whole month for our club treasurer to find out how to get this person their payout in stocks. A new account is required. People at MS stated, "We are not investment club friendly". What a night mare!!!! Etrade was recently acquired by MS so they will probably be no better. In the club meeting the question was asked, "Where should we transfer to?" This would affect bivo too if there are multiple club moves to companies that are not investment club friendly. Which companies has bivio had the best relationship with? Which companies are happy to be investment club friendly? Which companies is MS likely to acquire next? Robinhood was mentioned, who has experience with them?
Kathryn McGovern on
James Kander misidentified Morgan Stanley as the purchaser of Ameritrade. He should have written that Ameritrade was purchased by Charles Schwab.
Sent from my iPhone
> On Jun 22, 2024, at 2:02â¯PM, James Kandler via bivio.com <user*31592800001@bivio.com> wrote:
>
> We have used Ameritrade for years. Recently they were purchased by Morgan Stanley. One of our members needed to withdraw from the club. It took a whole month for our club treasurer to find out how to get this person their payout in stocks. A new account is required. People at MS stated, "We are not investment club friendly". What a night mare!!!! Etrade was recently acquired by MS so they will probably be no better. In the club meeting the question was asked, "Where should we transfer to?" This would affect bivo too if there are multiple club moves to companies that are not investment club friendly. Which companies has bivio had the best relationship with? Which companies are happy to be investment club friendly? Which companies is MS likely to acquire next? Robinhood was mentioned, who has experience with them?
My club is in the process of transferring from Schwab to E*Trade. They appear to be club friendly and have told us we can transfer stock to withdrawing members. I personally have used E*Trade for over 20 years and have never had any problems with the company. When they were purchased by Morgan Stanley a couple of years ago, I noticed no changes except that they assigned a new longer account number. Kathy
Barbra, Thank you for reply and comments on E-Trade! I was hoping to get more responses before we make our decision on where move our brokerage to, but your info is very helpful.
Gary