Thanks for posting what you find out ... from the source. (See post above yours. For Schwab Bank accounts, call: 877-824-5625.)

DiscountSAE asked: What does Schwab charge for...? Please specify if...

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Xeon852 said:FWIW, a double hard-pull on EQ for me.

Creditor Name Date of Inquiry Credit Bureau
C SCHWAB 04/27/2007 Equifax
C SHWAB 04/26/2007 Equifax


Would there be any reason why Schwab would decline to open an account for someone once they did a hard-pull on a person's credit?

DiscountSAE said:So I called Schwab today to ask them about the currency exchange fee and they said there is none... 0%, they even eat the 1% charged by the debit card issuer (I think it is Visa).

I'm not sure I would believe the CSR. The web page says other wise... "Note: Unlimited ATM rebates do not include fees imposed by merchants for POS transactions or currency exchange fees for international ATM withdrawals."

Link

I e-mailed customer service reguarding getting MoneyLink to work directly with checking account instead of going through Schwab investment. Looks like we will be able to do it later this year. Here's the reply:

Dear Mr. xxxx;

Thank you for your email.

At the present time, MoneyLink is not available on Investor Checking. However, later this year, you will be able to call the Charles Schwab Business Services Company (BSC) to enroll and request transfers between your Investor Checking account and your account with another financial institution.

Mr. xxxx, if you have additional requests, please feel free to reply to this email. We greatly appreciate your business.

Sincerely,

djscal said:I know it's "cool" to hate big banks, but curiously no one mentioned Bank of America's money manager account; or in California it's called a MRA (Master Relationship Account). You have a checking account and a brokerage account combination. The money sits in a SIPC insured money market account, but you have full banking functionality with the account such as check writing, ACH transfers in and out, bill pay, etc. You can deposit and withdraw money just like a regular bank account. The fact that the money get's swept into and out of the money market account behind the scenes is transparent to you. To you it appears as a regular bank checking account; only you get paid 4.59% interest.

The money earns 4.59% in the Columbia cash reserves money market account that BofA uses as the sweep <actually you have a few choices of accounts, but that one is the highest yielding money market>.

BofA has branches and ATM's all over the place where I live, and in most states as well. The disadvantage of the MMA or MRA account is that you have to keep a significant amount of money in the account to avoid fees. In California for the 1st year the account is opened you have to keep at least $25,000 in the account or have linked accounts with that much. The second year you must keep $50,000 in the account or linked accounts to avoid monthly fees.

Money Manager/Master Relationship Account info

I don't think it has anything to do with hating big banks. I think it has more to do with ...


1) In real life, not pretend internet life, a lot of people don't have $50,000 to tie up in a checking account

2) In real life, many people use 0 or 1 (rent/mortgage) checks a month. If you are going to 0 or 1 checks why would take 4.59%/$50,000 minimum when you could get 5.3%/$500 minimum at GMAC?

3) You can get 5.1% in FSLXX at Fidelity and after you write a check FSLXX will automatically be sold off. FSLXX has a $2500 minimum, why would one accept 4.59% and $50,000?

I don't think 4.59%/$50,000 minimum sounds appealing at all. The rate isn't that good and I don't want to tie up $50,000 in cash products anyway.

ScootyPuffSr said:djscal said:I know it's "cool" to hate big banks, but curiously no one mentioned Bank of America's money manager account; or in California it's called a MRA (Master Relationship Account). You have a checking account and a brokerage account combination. The money sits in a SIPC insured money market account, but you have full banking functionality with the account such as check writing, ACH transfers in and out, bill pay, etc. You can deposit and withdraw money just like a regular bank account. The fact that the money get's swept into and out of the money market account behind the scenes is transparent to you. To you it appears as a regular bank checking account; only you get paid 4.59% interest.

The money earns 4.59% in the Columbia cash reserves money market account that BofA uses as the sweep <actually you have a few choices of accounts, but that one is the highest yielding money market>.

BofA has branches and ATM's all over the place where I live, and in most states as well. The disadvantage of the MMA or MRA account is that you have to keep a significant amount of money in the account to avoid fees. In California for the 1st year the account is opened you have to keep at least $25,000 in the account or have linked accounts with that much. The second year you must keep $50,000 in the account or linked accounts to avoid monthly fees.

Money Manager/Master Relationship Account info

I don't think it has anything to do with hating big banks. I think it has more to do with ...


1) In real life, not pretend internet life, a lot of people don't have $50,000 to tie up in a checking account

2) In real life, many people use 0 or 1 (rent/mortgage) checks a month. If you are going to 0 or 1 checks why would take 4.59%/$50,000 minimum when you could get 5.3%/$500 minimum at GMAC?

3) You can get 5.1% in FSLXX at Fidelity and after you write a check FSLXX will automatically be sold off. FSLXX has a $2500 minimum, why would one accept 4.59% and $50,000?

I don't think 4.59%/$50,000 minimum sounds appealing at all. The rate isn't that good and I don't want to tie up $50,000 in cash products anyway.

ScootyPuffSr a couple of things either you or OP of the MRA topic left out or do not understand. 1st you dont need to maintain $50K in cash in MRA account. You just need to maintain $50K between all your accounts at BOA that includes all FDIC accounts including IRA and any and all balances in your brokerage accounts. BOA will also waive the fees on an MRA if you have first mortgage for $250K+.

Also not sure what you are talking about when you think in real life people only write 1 check month. What about utilities? insurance on there car? car payment? While I understand some of them take credit cards not all. In real life people do not have former MBNA/FIA credit cards that allow free bill pay to anyone either.

I am willing to bet the average american writes/sends via bill pay a min of 5-7 payments a month which include the following: Rent, Water, Gas, Electric, telephone, cellphone, Car Payment, and 1-2 credit card bills per month. Maybe if your lucky you can bill to credit card cellphone, telephone, electric, gas, water and car insurance. But if you live at home with your parrents then you might only have 1-2 credit card bills to pay per month + maybe a car payement via check. But the average american does not live at home.

ScootyPuffSr that 4.59% rate is in a Treasury Sweep so there is no state income tax. Compare that rate to Fidelity Treasury sweep or Vangaurd and you will see it maybe 10-15 basis points lower only which is not bad considering you get use the BOA ATM, branches and web page for thoses 10-15 basis points.

With that being said. Personally I dont keep much cash in any of my bank accounts but buy cash management bonds via bank brokerage divisions and I earn a rate better than any MMF/bank account except for promo rates like FNBO or HSBC had recently had at 6% so I am also a little basised towards banks because I do agree with you idea in general ScootyPuffSr that bank tend to treat customers with larger balances much better than small customers. Banks tend to treat small account holders some times like trash while the discount brokers love small accounts holders and treat them much better.

ScootyPuffSr maybe I was unclear when I said compare the MRA Sweep treasury sweep account to ie Fidelity offers Treasury MMF and it only pays 4.72% or look at Vangaurd it pays 4.78%.

I dont know about your utlitles companies but in CA for example largest power utility in the state is California Edison and they dont take credit cards. Yes PGE does accept credit and they are 2nd largest power utility in the state but if you happen to live in an area serviced by edision you are SOL. If you live in So Cal there is 1 gas company Southern California Gas they also dont take credit cards. Water bill comes from your city and again I am unlucky not to live in City of Los Angeles but an incorperated part of Los Angeles and my local City does not accept credit card either. So like I said you might be lucky enough to pay some of your utilities but not everyone is as lucky as you.

If you really want to be honest about it. You can get NEA/AAA MMA account and keep all your cash in there. And just transfer funds as need over to MRA to pay bills. Then you are earing 5.35% which is better than both Fidelity and GMAC with unlimited access to local tellers and atm without need to ACH money back and force. Assume you want to keep less than $50K but more than $500 in NEA account then you are earning 5.13% which is still higher than Fidelity.

Just so you know you can buy all Fidelity funds for free from BOA without even a transaction fee. Only catch is there is $75 short term trading fee if you sell your position with in 90 days. So in theory you could buy into your beloved Fidelity MMF which pay less than BOA AAA/NEA acount as long as your willing to hold your position for 90 days min. You can buy your beloved Fidelity High Yield fund for free via BOA too.

Like I said before if people are smart there are ways to make both BOA MRA and even Citibank Citigold accounts make sense as they will count all balances you keep between there bank/brokerage accounts towards the balance requirements.


When I say write checks I mean write checks/use Bill pay service. You said GMAC 5.30% and allows 3 checks per month and no one needs more than 3 checks per month.

Well I write or make 10-16 bill pays/checks per month. If I take out my App-o-rama transactions I am still left with 11 checks/bill payments a month I make. I do pay my cable, telephone, cellphone, car insurance by credit card but I can not pay most of my utilities by credit card and Blue Cross of California does not accept credit cards either so I have to pay my medical insurance each month by check.

For some people GMAC might work. For other people Fidelity or any other discount broker might be best fit for them. And for some people banks do offer a good value.

ScootyPuffSr said:Dolmar lied:You said GMAC 5.30% and allows 3 checks per month and no one needs more than 3 checks per month.

If you are going to make up outright lies I see no reason to continue this conversation.

Sorry I re-read your OP.. You said for people who need 0-1 checks GMAC is a good option.. and not no one needs more than 3 checks.

You are right about NEA rate. Sorry the rates change daily on it. If you dont plan to keep a lot of cash is what is 3 basis points on a low balance over 1 year? hell what is 100 basis points on a low balance anyways?

Like I said Scootypuffsr in general I agree with some of your idea on BOA MRA. Yeah I agree if you plan to keep $50K in cash in MRA it a bad option and there are better options. If you happend to have $50K between stock, mutual funds, and bonds. What is the difference if your getting a statement from Fidelity or BOA? Yes I understand to get the fees waived with Fidelity you dont need $50K. So for low balance people Fidelity might be a better choice but if you have $50K then BOA is not the worse option either.

I read a little more about the MRA account and I'm starting to come around. It will be a struggle but I think I may go with MRA. I think in an absolute sense I'll be loosing a few basis point but it will be worth it to get the 30 free trades.

Thanks for putting up with the "lively" discussion and I'll let you guys get back to your 4.25% Charles Schwab goodness.

Hard pull for a checking account? Not worth it! A hard pull is worth at least $150.

koreysmith said:Xeon852 said:FWIW, a double hard-pull on EQ for me.

Creditor Name Date of Inquiry Credit Bureau
C SCHWAB 04/27/2007 Equifax
C SHWAB 04/26/2007 Equifax


Would there be any reason why Schwab would decline to open an account for someone once they did a hard-pull on a person's credit?