if it would work that way in this set-up xeon852, then in effect you could easily make this a 5% plus Account, by using another Fidelity MM Fund (like Select or Cash Reserves) as it's "back-up" to cover everything.....
Then, the lower APY of this (as compared to the Schwab) wouldn't be a disadvantage.....

Does anyone know if we have to open this special kind of account new OR could an existing brokerage account be marked as "smartCash" by just getting the ATM and check writing features enabled on it?

Update..more info is now available on the Fidelity website, which makes me think they are getting ready to launch on August 1st with this....

If you go to the information section of bill pay, you will see buttons on the left about various "cash management" products offered including this new "My Smart Cash Account"....there is even a faq section, but not all questions will be answered from reading this....

Once it launches, officially, i guess we will know alot more.....

Let us not forget that you use to have to have at least $5,000 to get the debit card and $500,000 to get rebates, and even those were "capped" to $75 per year! With this new set-up...both requirements are eliminated and atm rebates are truly unlimited with no yearly cap!

While the 3.5% apy is a bit disapointing, the 4% or better taxable equivelent in the "core municipal mm fund" and if you have the 5% Fidelity Select MM Fund also (or Cash Reserves) as your "sweep accounts" can turn this into a pretty attractive product....Not to mention the convenience of doing both your brokering and banking in the same place....

I'm hoping for clarification on this soon..i did e-mail them about it, but since it hasn't officially launched yet, they may not have all the answers yet.... I did ask them if you could 1) use your municipal mm core with the SmartCash features, instead of the FDIC Checking product....

It is also possible they will let you 2) have it seperate but incorporated into your brokerage set-up as it is now, keeping both your original core and this new core as well....but then you would have to fully utilize the "sweeping" feature to move money in from MM Core (and any other MM Funds you decide to have) to the Checking Core.....

The second item i mentioned i think they are going to let you do (at least it sounds that way) the first item i mentioned (which would be the most desirable) i am not sure about, but would be very nice if they would....

If i get a clarification on my e-mail response i will post it....

The FAQ is out: LINK

Generic link to mySmartCash: http://www.fidelity.com/mysmartcash

Apparently, the money in mySmartCash will currently be swept to Fifth Third bank.

EDIT: Fixed link.

vkva said:I am planning to move my checking account from EverBank to this. Except for losing the free mail-back envelopes, I am not seeing any downside, by moving to mySmartCash. I plan to set mySmartCash with automatic transfers from brokerage account with a Fidelity Municipal Fund core and maintain a 0 balance in the mysmartcash account.

Do you guys see any problems with that?
According to the information released so far, this seems to be OK. But no one knows for sure until the product is actually released (and someone tests it out!).

hair said:Not sure if this is ready to go... Found this link in the mySmartCash page source:

https://accountsetup.fidelity.com/ftgw/aong/aongapp/mySCA/openAccountThanks! I now have an active mySmart account.

It is a complete additional brokerage account, with the checking account as its core account in place of a money market fund. But that's OK; I'll just leave the account near-empty, linked to my existing brokerage account, where any cash will sit. A pain, but I'll take it for unlimited ATM fee reimbursement.

They are quite explicit that the self-funded overdraft protection will draw from available non-core money market funds in your other accounts, so this should be a nice way to get ATM, no-minimum checkwriting, etc. with a non-core-eligible money market fund.

Edit to add: In fact, you may want to now have 3 Fidelity brokerage accounts: a mySmart cash account, a cash account where you keep your actual cash in a non-core-eligible money market fund, and a margin account. Set up the cash account as the first overdraft funding source for the mySmart, and the margin account second. That way, you could have access to margin borrowing to provide a real overdraft cushion, but circumvent their rule that margin is accessed before non-core money market funds.

Even more needless complexity, buying us better returns.

LH2004 said:hair said:Not sure if this is ready to go... Found this link in the mySmartCash page source:

https://accountsetup.fidelity.com/ftgw/aong/aongapp/mySCA/openAccountThanks! I now have an active mySmart account.

It is a complete additional brokerage account, with the checking account as its core account in place of a money market fund. But that's OK; I'll just leave the account near-empty, linked to my existing brokerage account, where any cash will sit. A pain, but I'll take it for unlimited ATM fee reimbursement.
I will ask the obvious: any hard pull? Thanks!

Nothing to setup for "Self Funded Overdraft Protection" correct? I can't find anything so I'm assuming it's automagic like it was with the core sweep...