That is correct, until on/after 6/15/24 at which time one can change the CMA core position to SPAXX. That is what I picked up from some of the Bogleheads responding here.I may be missing something but my understanding is that the CMA has significantly lower interest on uninvested cash VS the core position of the brokerage accounts.Why can't you just use a CMA for everything that you want to accomplish? Why do you need a separate brokerage? In June, SPAXX sweep is going to be available in CMA's, the CMA should do everything that you need it to do.Hi curiousGeorgetx. Is that curiousGeorgetreatment or curiousGeorgeTexas? My kids loved curious George.Continuing to share my experience of migrating my transactional activity from Ally to Fidelity. All accounts are owned by our RLT.
I decided to try out my new trust CMA account's debit card and overdraft. TLDR: everything worked as expected.
The details:
Transferred $25 from brokerage account to newly opened, $ balance, CMA account (posted 16 Apr - I think I submitted it the day before and it was instantly shown as available.)
Set up in the Cash Manager Tool "Self Funded Overdraft Protection" with both of my brokerage accounts.
17 Apr made $40 withdraw from the ATM at our local Walmart. When I looked in the iPhone app immediately afterwards, it showed a $43 withdrawal ($3 fee included) and a $18 transfer from a brokerage account to the CMA. At that point I realized I wanted the brokerage accounts in a different order, so I went into the Cash Manager Tool and changed the order. All of the related activity showed as status of "Processing" in the web browser view.
19 Apr AM the brokerage account from which the overdraft with transferred changed, reflecting the new order I had updated after the ATM transaction but while it was "Processing". I'm not 100% sure, but I think at this point it was no longer "Processing".
20 Apr AM: The $3 adjustment for the ATM fee rebate showed in the CMA account with a date of 19 Apr. At this point all of the activity appears to be final.
Next test will come when I try it on our river cruise that begins in Romania next month. (I have submitted notice of our travel plans).
We have our checking/savings at Ally under our RLT. I’ve been thinking about moving everything to Fidelity as well. I do have some Fidelity individual accounts with the Beneficiary as TOD to trust, but just yesterday I started opening up trust brokerage accounts. I got a couple open and transferred the very small amounts I had in the individual brokerage accounts to the Trust brokerage accounts.
Interestingly though, I tried to open up trust CMA’s. Online it said I needed to download and complete the PDF application. In the 62 page PDF there is nothing to fill in. I called Fido. The rep stated a trust account can’t have a CMA. So I am perplexed as to how were you able to open up a CMA under your trust… did you do it over the phone, via paper forms?
He was trying to state that the CMA account is not needed, and then I could have a debit card on the brokerage, but that ATM fees would be not be reimbursed. I said the whole purpose of trying to consolidate and do this is so that I can have a CMA, overdraft, & ATM fee reimbursement like Ally. He stated the only thing I could do is keep the individual CMA accounts I have and transfer money into them. So in essence, I would be the over-watcher to prevent overdraft. Sure, I could have ATM fee reimbursement on an individual brokerage account that has a TOD to the trust, but still utterly pointless as I wanted to automate all this.
Lastly, curious George tx, what do you mean you want to change the order of the accounts? Why?
Statistics: Posted by bbrock — Sun Apr 21, 2024 1:07 am — Replies 6267 — Views 1128243