Comments on: TradeKing Changed ACH Deposit Hold and Withdrawal Policy http://www.thesunsfinancialdiary.com/investing/tradeking-changed-ach-deposit-hold-withdrawal-policy/ Fri, 03 Feb 2012 17:42:24 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: localguyhttp://www.thesunsfinancialdiary.com/investing/tradeking-changed-ach-deposit-hold-withdrawal-policy/#comment-63518 localguy Fri, 17 Sep 2010 16:22:15 +0000 http://www.thesunsfinancialdiary.com/?p=3506#comment-63518 I made one trade on TradeKing and that was it. I just couldn't handle the 5-day ACH clearing period(which is actually 7-days when factoring in non-business days), and didn't want to wait months to have funds transfered back to my bank account in case of an emergency. I made one trade on TradeKing and that was it. I just couldn’t handle the 5-day ACH clearing period(which is actually 7-days when factoring in non-business days), and didn’t want to wait months to have funds transfered back to my bank account in case of an emergency.

]]> By: SBhttp://www.thesunsfinancialdiary.com/investing/tradeking-changed-ach-deposit-hold-withdrawal-policy/#comment-62295 SB Mon, 22 Mar 2010 19:41:08 +0000 http://www.thesunsfinancialdiary.com/?p=3506#comment-62295 I challenge their statement that "TradeKing does not benefit monetarily in any way from this extended hold time on withdrawals".On their website, they clearly state in several areas that they sweep your funds overnight through Legent Clearing. In that sweep arrangement, which is the default option for brokerage accounts, TradeKing makes money on the funds placed in the program banks. So while you personally do not pay them to hold your money, they are benefiting monetarily (to the stated tune of .5% - 6%) from the nightly placement of your funds. I pasted a link to the disclosure document below. For those wishing to confirm my statements, special attention should be paid to the sections titled "Program Compensation" and "Deposits".http://content.tradeking.com/wiki/download/attachments/3641/20081221+Insured+Terms+and+Conditions.pdf?version=1orhttp://www.legentclearing.com/pdf/InsuredTermsConditions.pdf I challenge their statement that “TradeKing does not benefit monetarily in any way from this extended hold time on withdrawals”.

On their website, they clearly state in several areas that they sweep your funds overnight through Legent Clearing. In that sweep arrangement, which is the default option for brokerage accounts, TradeKing makes money on the funds placed in the program banks. So while you personally do not pay them to hold your money, they are benefiting monetarily (to the stated tune of .5% – 6%) from the nightly placement of your funds. I pasted a link to the disclosure document below. For those wishing to confirm my statements, special attention should be paid to the sections titled “Program Compensation” and “Deposits”.

http://content.tradeking.com/wiki/download/attachments/3641/20081221+Insured+Terms+and+Conditions.pdf?version=1

or

http://www.legentclearing.com/pdf/InsuredTermsConditions.pdf

]]> By: Hondaddyhttp://www.thesunsfinancialdiary.com/investing/tradeking-changed-ach-deposit-hold-withdrawal-policy/#comment-62052 Hondaddy Tue, 23 Feb 2010 18:55:04 +0000 http://www.thesunsfinancialdiary.com/?p=3506#comment-62052 I am currently beginning the 60 day headlock. After speaking with a TradeKing associate, I found the 60 days in the fine print. I asked for the "basis" of this unorthodox length of time. He replied "this is our normal procedure". I asked if he knew of any other financial institution with this time frame. Dead air on the phone. I even offered to wire them the full amount of the value of the account, then allow them to transfer everything to Scottrade, and I would wait for a check in the mail for the amount of the wire. They said NO! I will recommend TradeKing to anyone. I am currently beginning the 60 day headlock. After speaking with a TradeKing associate, I found the 60 days in the fine print. I asked for the “basis” of this unorthodox length of time. He replied “this is our normal procedure”.
I asked if he knew of any other financial institution with this time frame. Dead air on the phone. I even offered to wire them the full amount of the value of the account, then allow them to transfer everything to Scottrade, and I would wait for a check in the mail for the amount of the wire. They said NO! I will recommend TradeKing to anyone.

]]> By: archiehttp://www.thesunsfinancialdiary.com/investing/tradeking-changed-ach-deposit-hold-withdrawal-policy/#comment-61730 archie Mon, 18 Jan 2010 09:43:07 +0000 http://www.thesunsfinancialdiary.com/?p=3506#comment-61730 No, its because the longer they hold on to your money, the more they make in interest.This is a way for low-cost brokerages to make money. Generally, the lower the commission schedule, the longer it takes to get your money out.Something to think about in turbulent financial times. If it suits them, they can decree 180 days or 360 (you've already accepted an absurd 60 days) -- and if the market is difficult enough for operations, don't expect anymore than "we're working on it ... one of these months...) . What are you going to do about it? No, its because the longer they hold on to your money, the more they make in interest.

This is a way for low-cost brokerages to make money. Generally, the lower the commission schedule, the longer it takes to get your money out.

Something to think about in turbulent financial times. If it suits them, they can decree 180 days or 360 (you’ve already accepted an absurd 60 days) — and if the market is difficult enough for operations, don’t expect anymore than “we’re working on it … one of these months…) . What are you going to do about it?

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