Did they close the account before or after the asset transfer completed?
WARNING
I just got around to checking with Ameritrade about the bonus on this account. I was told that it’s $600 for $250,000 transfer. This is despite the fact that I used code 277 and I got the confirmation at the end that it should be $1000. I didn’t take a screenshot. The worst case scenario is that I open another account and take a screenshot at the end.
BIGGER WARNING
The second link which includes the TD Bank offer has fine print showing
“TD Ameritrade Investment Management, LLC, will assess an annual advisory fee of 0.30% based on the value of assets in your TD Ameritrade Investing Account. The fee will be assessed at the beginning of each quarter in advance for that quarter and will be prorated for accounts opened and closed during that quarter. TD Ameritrade, Inc. will not charge commissions for eligible securities trades placed in your TD Ameritrade Investing Account. All fees are subject to change.”
However, this may only apply if you sign up for their services. I don’t know the answer yet.
I hope others have had better luck. I will get more info tomorrow when I get a call back. I hope I find time to post.
ETA: I got a call back from the rep from TDAmeritrade and he told me that TD1500 would get the $1000 bonus on $250,000 and that there is no advisory fee unless I sign up for it. I certainly hope he’s accurate. I may call back to try a different rep. Also, the TD1500 code is only meant for TD Bank clients, but he admitted that they have no way of checking and that they will accept the code regardless.
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You need to explicitly opt in into that type of agreement. Using a promo code won’t automatically sign you up without you knowing. Ameritrade has pretty good customer service so you have nothing to worry about.
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The account closed was the bank account. The transfer had happened before the closure.
Webull has a new IRA Promotion with apparently very good terms, especially for small amounts. Table below suggests you can raise your annual return on $10,000 by 2.2%. This is the best deal I am aware of for $100,000 and less. They also offer to reimburse fees, although it is not clear how to do that. I found the transfer in procedure quick for their Amazon cards offer. The scale is below (with my calculation of the percentages):
Firm Cash Minimum Months required % of minimum Added annual return on minimum
Webull $330 100,000 6 0.33% 0.6600%
Webull $220 25,000 6 0.88% 1.7600%
Webull $110 10,000 6 1.10% 2.2000%
Webull $50 2,000 6 2.50% 5.0000%
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They closed the checking account but didn’t touch the brokerage account? Interesting.
Link? The IRA offer on their main website expired 12/31/2019.
If you are a Webull customer, the offer showed up on their promotions part of the phone site this year. The earlier Amazon gift card offer has apparently expired.
They are a somewhat difficult brokerage firm to deal with since they provide service only by E-mail or messages from inside the site.
I discovered they only take order on business days, although most hours on these day the orders can be entered.
With no commissions, I thought I would invest a little cash in their account by buying 2 shares on Jan 1. and discovered I could not enter the order for execution when market opened.
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interactive brokers has a promo where if you get a referral from an existing customer, the new customer gets 1% of their net deposits in IBKR stock. There’s a 1 year hold before it’s yours, and they’ll remove some shares if you make a withdrawal during that period. Still, the max is $1000 worth of stock, which is pretty good for a $100k deposit.
https://ndcdyn.interactivebrokers.com/Universal/servlet/Registration_v2.formSampleView?formdb=4293
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Offer seems good if you can get a referral from a customer. It avoids tax for a year. I just hope they did not have to buy so much stock for the offers that when the stock is unloaded, the price is forced down.
Ordinarily I wuld presume that the basis in the stock was $0, since you got it free. If so there might be double taxation, on the value when it became free to sell, and then a capital gains tax(long term) if you do sell.
There appear no other firms offering as much as 1% on any amount below $100,000 (except for very small offers of 1 share by Webull for opening an account, putting money into it, or depositing $100, or the $50 offer mentioned below). It also is nice because if you go over a break point, your extra deposit is still rewarded.
To get a $1,000 from most firms seems to require at least $100,000.
From Hustler Money Blog, I learn that TradeUp has a bonus offer that some many find attractive. At first glance it appears attractive if you want to do the work of opening a new account. I do not know much about them. Their schedule of fees is below.
" |Outgoing Wire|The first time wire out is free for the month, the rest will be charged $10/ transaction2|
| — | — |
|ACH Deposit / Withdraw|ACH deposit is free of charge. The first time ACH withdraw per calendar month is free. Subsequent withdrawals are charged $1.00/transaction.|
|ACATS Transfer In|03|
|ACATS Transfer out|0|
|FOP Transfer In & Out|0|"
Cash Bonus Campaign-Terms&Conditions
-
Duration: Jan 6, 2020 00:00 - Jan 31, 2020 23:59(EST).
-
Offer valid for one new individual account. To receive $50, account must be funded with an initial deposit of no less than $3,000. Limit one offer per account. Accounts will be reviewed 30 calendar days after funding to determine the total qualifying deposit. The cash bonus of $50 will be distributed in three months. In order to receive the full reward, you cannot initiate a transfer or withdraw for four months. Receive your rewards on a monthly basis:
| Deposit or transfer $3000 or more | |
|---|---|
| Total Rewards | $50 |
| The first month reward | $20 |
| The second month reward | $15 |
| The third month reward | $15 |
Good point on the taxes, I don’t know for sure. They talk about valuing the IB stock on the day of your deposit(s) to determine how many shares you get, and also that those shares are restricted for a year. If I had to guess, I’d say you’d get taxed on the value of the shares at the time it vests, possibly as ordinary income, but I don’t really know.
My concern is that what you say happens, but you wuld also pay taxes when you sold, since your basis would be zero.
No. If receiving the shares was $100 taxable income, your cost basis in the shares would be $100. Conceptually you’re receiving $100 taxable interest income, then using that $100 to purchase the shares of stock.
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That sounds logical, and hopefully they set it up so it works that way.
I did get a referral and desired to open an Interactive Brokers IRA account. I went through the application process without being offered a chance to open an IRA. After two calls, I was told to get a new referral and try again.
This time, I got service on phone (Indian) who talked me through the process (which I knew how to do) and again never got an IRA option. Pressing the fellow to inquire, the eventual answer was that the promotion was for the same account type as that of the referral. It appears I cannot get this promotion on an IRA.
Got confirmation that the Interactive Brokers free shares offer was not available for IRAs. Also discovered they place a 4 day hold on incoming funds before they can be invested.
This problem could have been avoided by a simple statement on the promotional letter saying what type of account the promotion would apply for. Wonder if they are always this incompetent.
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According to Money Hustler blog, WeBull has attractive offers out as below (if you want Amazon gift cards). These appear attractive compared to other firms, especially considering the short holding period (and that you can get something even if you cannot leave money there for the full period). My family spends heavily at Amazon, so we would have little trouble using their gift cards.
They also have a referral program that could be worth $10-$30 in gift cards, and free stock bonuses for new accounts.
"WeBull $1500 Amazon Gift Card
Offer valid for one new Individual account, or IRA account and funded within 45 days of registering.
To receive $30 gift card, account must be funded with $2,000-$10,000.
To receive $50 gift card, account must be funded with $10,000-$24,999.
To receive $250 gift card, account must be funded with $25,000-99,999.
To receive $350 gift card, account must be funded with $100,000-$249,999.
To receive $750 gift card, account must be funded with $250,000-$499,999. To receive $1,500 gift card, account must be funded with $500,000 or more.
Limit one offer per client. The total amount of Amazon Gift Card will be distributed over 5 months. In order to receive a full reward you cannot initiate a transfer or pull funds for 6 months."
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I wonder who’s paying up for broker transfers like this. The article mentions Schwab clients getting big offers to leave, but annoyingly not who was paying them to do so.
One client in Schwab’s home town of San Francisco was recently offered $36,000 to move a very low-return stock account, he said. An unnamed competitor has raised its maximum offer to $25,000 on a new $10 million account from $2,500 on a $1 million account, according to an accompanying slide.
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anybody have a Schwab account to message a referral code? I saw the referral links out there for $500 bonus, but prefer to have somebody over here get the referrer award (if there is one).
I’ve been through a whole lot of brokerage accounts in the past, but never had a Schwab account before.
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Thx slappycakes! My share transfer to Schwab is in process.
I know this is backwards, but I’m getting more excited about getting more signup bonuses due to the run-ups in my holdings than getting excited about having a growing investment investment portfolio.
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