Club Member Funds: Checks to a Bank vs. Direct Deposit to Brokerage Account?
Kay Branz on
Hi Robin,
Our club appreciates how difficult it is to find a bank that will accept an investment club account. Key Bank is the system we found that accepted our account. It's very "old school" banking, with fees if your account balance is below a certain threshold. Curious why your club is wanting to open a bank account as well? Could you share the reasons?
I have been trying to open a separate bank account for our club since our inception in 2020 to no avail. They are asking me for documents that don't apply to a General Partnership (Investment Club) but more so for corporations or other entities. I went to Wells Fargo and Bank of America, we are located in California. Any insight on how you opened a bank account for your club would be great. We currently have our partners direct deposit into the brokerage account and assign different "cents" to each partner so I can tell who the deposit is from. Thank you.
> On Jun 21, 2023, at 10:57 AM, Glenn Jenner via bivio.com <user*23860600001@bivio.com> wrote:
>
> Sorry, I forgot to mention that's where our stock account is as well
>
> Glenn
>
>> On Jun 21, 2023, at 1:26 PM, Ronald Close via bivio.com <user*25867400001@bivio.com> wrote:
>>
>> Members give checks to the treasurer who sends them to TD Ameritrade by mail. We write checks from the brokerage account.
>>
>> Gene Close, Treasurer
>> In Pursuit of Retirement
>>
>> Sent from my iPhone
>>
>>>> On Jun 21, 2023, at 1:11 PM, Kay Branz via bivio.com <user*34862000001@bivio.com> wrote:
>>>
>>> Hello Fellow Investment Clubs,
>>> I'm trying to get a sense of how many clubs have their members direct deposit into the brokerage account vs. having a separate bank account member checks are deposited into. We currently use a separate bank account and checks. We also currently use TDA for our brokerage account.
>>>
>>> Can you please share what your club is doing that works well?
>>>
>>> Thank you.
>>>
>>> Kay Branz, President
>>> Lakshmi Investors
Glenn Jenner on
When we switched to a commission free account in Wells Fargo, it came with a checking account. We did that about four years ago. I don't know if anything has really changed, but it's never been a problem for us.
Glenn
On Jun 21, 2023, at 2:36 PM, Kay Branz via bivio.com <user*34862000001@bivio.com> wrote:
Hi Robin,
Our club appreciates how difficult it is to find a bank that will accept an investment club account. Key Bank is the system we found that accepted our account. It's very "old school" banking, with fees if your account balance is below a certain threshold. Curious why your club is wanting to open a bank account as well? Could you share the reasons?
I have been trying to open a separate bank account for our club since our inception in 2020 to no avail. They are asking me for documents that don't apply to a General Partnership (Investment Club) but more so for corporations or other entities. I went to Wells Fargo and Bank of America, we are located in California. Any insight on how you opened a bank account for your club would be great. We currently have our partners direct deposit into the brokerage account and assign different "cents" to each partner so I can tell who the deposit is from. Thank you.
> On Jun 21, 2023, at 10:57 AM, Glenn Jenner via bivio.com <user*23860600001@bivio.com> wrote:
>
> Sorry, I forgot to mention that's where our stock account is as well
>
> Glenn
>
>> On Jun 21, 2023, at 1:26 PM, Ronald Close via bivio.com <user*25867400001@bivio.com> wrote:
>>
>> Members give checks to the treasurer who sends them to TD Ameritrade by mail. We write checks from the brokerage account.
>>
>> Gene Close, Treasurer
>> In Pursuit of Retirement
>>
>> Sent from my iPhone
>>
>>>> On Jun 21, 2023, at 1:11 PM, Kay Branz via bivio.com <user*34862000001@bivio.com> wrote:
>>>
>>> Hello Fellow Investment Clubs,
>>> I'm trying to get a sense of how many clubs have their members direct deposit into the brokerage account vs. having a separate bank account member checks are deposited into. We currently use a separate bank account and checks. We also currently use TDA for our brokerage account.
>>>
>>> Can you please share what your club is doing that works well?
>>>
>>> Thank you.
>>>
>>> Kay Branz, President
>>> Lakshmi Investors
Patricia Moseley on
We use TDA and members send checks to current treasurer. U2FP is our club's name.
On Wednesday, June 21, 2023, 01:12:18 PM EDT, Kay Branz via bivio.com <user*34862000001@bivio.com> wrote:
Hello Fellow Investment Clubs,
I'm trying to get a sense of how many clubs have their members direct deposit into the brokerage account vs. having a separate bank account member checks are deposited into. We currently use a separate bank account and checks. We also currently use TDA for our brokerage account.
Can you please share what your club is doing that works well?
Thank you.
Kay Branz, President
Lakshmi Investors
Robin Heller on
We used TDA for checking. Members sent in checks to the Treasurer who deposited them into TDA.
Hoping to use the same process with the switch to Schwab. We did receive our checks!
Robin
Diamonds & Dividends
Metro Detroit, MI
Helen Keller was once asked if there was anything that could have been worse than losing her sight. Keller replied: "Yes, I could have lost my vision."
I'm trying to get a sense of how many clubs have their members direct deposit into the brokerage account vs. having a separate bank account member checks are deposited into. We currently use a separate bank account and checks. We also currently use TDA for our brokerage account.
Can you please share what your club is doing that works well?
Thank you.
Kay Branz, President
Lakshmi Investors
Cynthia Corkery on
We eliminated using a separate checking account several months ago to simplify record keeping. We had check writing privileges and used the mobile deposit feature for checks at TDA and do both now at Schwab. My only concern about the future of check writing at Schwab is the conflicting information Schwab provides regarding to whom checks may be written. Emails say one thing, customer service reps another.
Some of our members use direct deposit from their bank account and others write checks which are delivered to the local TDA office. We use the penny system.
Members give checks to the treasurer who sends them to TD Ameritrade by mail. We write checks from the brokerage account.
Gene Close, Treasurer
In Pursuit of Retirement
Sent from my iPhone
> On Jun 21, 2023, at 1:11 PM, Kay Branz via bivio.com <user*34862000001@bivio.com> wrote:
>
> Hello Fellow Investment Clubs,
> I'm trying to get a sense of how many clubs have their members direct deposit into the brokerage account vs. having a separate bank account member checks are deposited into. We currently use a separate bank account and checks. We also currently use TDA for our brokerage account.
>
> Can you please share what your club is doing that works well?
>
> Thank you.
>
> Kay Branz, President
> Lakshmi Investors
barbara 5siegels.com on
We've used direct deposit for many years with E-Trade (now Morgan Stanley). It is much easier than having to track down members who forget or delay sending in their checks. In the old days we had late fees
for delayed checks and that was a nightmare to administer.
It is easy to change the amount of the deposit for those who choose to change their contribution. Occasionally a member has to change their bank account number which is not a problem either.
Barbara
San Diego Women's Investment Club
From:
club_cafe@bivio.com <club_cafe@bivio.com> on behalf of Robin Heller via bivio.com <user*24731500001@bivio.com> Date: Wednesday, June 21, 2023 at 11:51 AM To: club_cafe@bivio.com <club_cafe@bivio.com> Subject: Re: [club_cafe] Club Member Funds: Checks to a Bank vs. Direct Deposit to Brokerage Account?
We used TDA for checking. Members sent in checks to the Treasurer who deposited them into TDA.
Hoping to use the same process with the switch to Schwab. We did receive our checks!
Robin
Diamonds & Dividends
Metro Detroit, MI
Helen Keller was once asked if there was anything that could have been worse than losing her sight. Keller replied: "Yes, I could have lost my vision."
I'm trying to get a sense of how many clubs have their members direct deposit into the brokerage account vs. having a separate bank account member checks are deposited into. We currently use a separate bank
account and checks. We also currently use TDA for our brokerage account.
Can you please share what your club is doing that works well?
Thank you.
Kay Branz, President
Lakshmi Investors
Steve Macdougall on
In our club each member sets up billpayer from their bank account and it transfers monthly automatically to a local bank used by our club. When all the payments come in, usually by the 10th, the co-treasurer then transfers the total payments electronically to our E*Trade brokerage account. We use those funds along with any dividends for stock purchases at our next meeting. We can write checks on each account but we mainly use the bank account for incidentals and the brokerage account for withdrawals. In the last 5 years, we have probably wrote 5-10 checks total and we no longer have to deposit checks. It works well for us.
L Macdougall
TOLS
In a message dated 6/21/2023 10:12:16 AM Pacific Standard Time, user*34862000001@bivio.com writes:
Hello Fellow Investment Clubs,
I'm trying to get a sense of how many clubs have their members direct deposit into the brokerage account vs. having a separate bank account member checks are deposited into. We currently use a separate bank account and checks. We also currently use TDA for our brokerage account.
Can you please share what your club is doing that works well?
Thank you.
Kay Branz, President
Lakshmi Investors
Donna OConnnell on
We meet at Schwab for our monthly meetings.
The treasurer collects checks and makes the deposit at Schwab.
We've used direct deposit for many years with E-Trade (now Morgan Stanley). It is much easier than having to track down members who forget or delay sending in their checks. In the old days we had late fees
for delayed checks and that was a nightmare to administer.
It is easy to change the amount of the deposit for those who choose to change their contribution. Occasionally a member has to change their bank account number which is not a problem either.
We used TDA for checking. Members sent in checks to the Treasurer who deposited them into TDA.
Hoping to use the same process with the switch to Schwab. We did receive our checks!
Robin
Diamonds & Dividends
Metro Detroit, MI
Helen Keller was once asked if there was anything that could have been worse than losing her sight. Keller replied: "Yes, I could have lost my vision."
I'm trying to get a sense of how many clubs have their members direct deposit into the brokerage account vs. having a separate bank account member checks are deposited into. We currently use a separate bank
account and checks. We also currently use TDA for our brokerage account.
Can you please share what your club is doing that works well?
Thank you.
Kay Branz, President
Lakshmi Investors
--
Donna O'Connell
Lynda Feit on
We were with TDA. Over time, all members stopped writing checks and moved to either using Bill Pay (electronic), or ACH direct deposits (also electronic). Regardless of how they paid, all $'s went into the Brokerage Account. We had an associated TDA checking account to use for expenses/payouts. Worked great.
NOW, we have transitioned to Schwab. Schwab provided us with the brokerage acct, and an associated checking account. After some conflicting instructions from Schwab, we now know the checking account is for 'outgoing' money; the brokerage account is for 'incoming' money. (I've yet to need to write a check, so have not yet tested those waters.) We also use the 'different penny' method of identifying whose payment is who's.
We've used direct deposit for many years with E-Trade (now Morgan Stanley). It is much easier than having to track down members who forget or delay sending in their checks. In the old days we had late fees
for delayed checks and that was a nightmare to administer.
It is easy to change the amount of the deposit for those who choose to change their contribution. Occasionally a member has to change their bank account number which is not a problem either.
We used TDA for checking. Members sent in checks to the Treasurer who deposited them into TDA.
Hoping to use the same process with the switch to Schwab. We did receive our checks!
Robin
Diamonds & Dividends
Metro Detroit, MI
Helen Keller was once asked if there was anything that could have been worse than losing her sight. Keller replied: "Yes, I could have lost my vision."
I'm trying to get a sense of how many clubs have their members direct deposit into the brokerage account vs. having a separate bank account member checks are deposited into. We currently use a separate bank
account and checks. We also currently use TDA for our brokerage account.
Can you please share what your club is doing that works well?
Thank you.
Kay Branz, President
Lakshmi Investors
--
Donna O'Connell
Robert Shaw on
We require members to direct deposit.
Why make work for the treasurer.
Bob Shaw
President
Classic Strategy Investment Club
> On Jun 21, 2023, at 1:11 PM, Kay Branz via bivio.com <user*34862000001@bivio.com> wrote:
>
> Hello Fellow Investment Clubs,
> I'm trying to get a sense of how many clubs have their members direct deposit into the brokerage account vs. having a separate bank account member checks are deposited into. We currently use a separate bank account and checks. We also currently use TDA for our brokerage account.
>
> Can you please share what your club is doing that works well?
>
> Thank you.
>
> Kay Branz, President
> Lakshmi Investors
Dickerson, Jimmy on
Local checking account. Members dues are deposited there and e-transferred to TDAmeritrade. We keep a small amount of cash in the checking.
Jimmy
James P Dickerson
TLP Investment Club.
Sent from my iPhone
> On Jun 21, 2023, at 4:34 PM, Robert Shaw via bivio.com <user*27509400001@bivio.com> wrote:
>
> CAUTION: External Email
>
>
> We require members to direct deposit.
> Why make work for the treasurer.
>
> Bob Shaw
> President
> Classic Strategy Investment Club
>
>
>> On Jun 21, 2023, at 1:11 PM, Kay Branz via bivio.com <user*34862000001@bivio.com> wrote:
>>
>> Hello Fellow Investment Clubs,
>> I'm trying to get a sense of how many clubs have their members direct deposit into the brokerage account vs. having a separate bank account member checks are deposited into. We currently use a separate bank account and checks. We also currently use TDA for our brokerage account.
>>
>> Can you please share what your club is doing that works well?
>>
>> Thank you.
>>
>> Kay Branz, President
>> Lakshmi Investors
>
Carol True on
When we were with TD Ameritrade, members either mailed their checks to TD or used bill pay. We plan to use the same system now that we have transitioned to Schwab. As treasurer, I wanted to see if Bill pay would work the same way and it did.
Subject: Re: [club_cafe] Club Member Funds: Checks to a Bank vs. Direct Deposit to Brokerage Account?
Members give checks to the treasurer who sends them to TD Ameritrade by mail. We write checks from the brokerage account.
Gene Close, Treasurer In Pursuit of Retirement
Sent from my iPhone
> On Jun 21, 2023, at 1:11 PM, Kay Branz via bivio.com <user*34862000001@bivio.com> wrote: > > Hello Fellow Investment Clubs, > I'm trying to get a sense of how many clubs have their members direct deposit into the brokerage account vs. having a separate bank account member checks are deposited into. We currently use a separate bank account and checks. We also currently use TDA for our brokerage account. > > Can you please share what your club is doing that works well? > > Thank you. > > Kay Branz, President > Lakshmi Investors
Linda Glein on
Most of our partners use either ACH or bill pay to deposit directly into the brokerage account (TDA). The three who do not give me checks and I can quickly do a mobile deposit. Sometimes I do it during the meeting, other times the following day.
. I keep a pdf of the TDA deposit form that I can print out and use to mail in a check if necessary. We do not have a separate checking account
We have very few expenses, and we either request a check from TDA (a bit of a hassle, but it is rare). We're more likely to have an individual pay and reimburse with units. Again, rare. Bivio annual subscription, postage, that sort of thing.
I'm trying to get a sense of how many clubs have their members direct deposit into the brokerage account vs. having a separate bank account member checks are deposited into. We currently use a separate bank account and checks. We also currently use TDA for our brokerage account.
Can you please share what your club is doing that works well?
Thank you.
Kay Branz, President
Lakshmi Investors
Rebecca Reeves on
I'm treasurer of two clubs. Each of them has been in operation for over 30 years and brokers have changed over the years. Both clubs have accounts with local banks where checks are deposited after monthly meeting. One club has a PayPal account that members can send deposits to which can then be transferred directly into the club account. It's not that big a deal to make a monthly bank deposit. Funds can be directly sent to TD Ameritrade from the bank or a check can be mailed. This has worked for years. Some cash remains in the bank account for expenditures. Funds can be directly sent from broker to withdrawing members or a check from the back can be sent. It's very easy to transfer funds from TD Ameritrade to a bank account. I'm hoping this will continue with Schwab.
Sent from my iPhone
On Jun 22, 2023, at 12:33 AM, Linda Glein via bivio.com <user*21345500001@bivio.com> wrote:
Most of our partners use either ACH or bill pay to deposit directly into the brokerage account (TDA). The three who do not give me checks and I can quickly do a mobile deposit. Sometimes I do it during the meeting, other times the following day.
. I keep a pdf of the TDA deposit form that I can print out and use to mail in a check if necessary. We do not have a separate checking account
We have very few expenses, and we either request a check from TDA (a bit of a hassle, but it is rare). We're more likely to have an individual pay and reimburse with units. Again, rare. Bivio annual subscription, postage, that sort of thing.
I'm trying to get a sense of how many clubs have their members direct deposit into the brokerage account vs. having a separate bank account member checks are deposited into. We currently use a separate bank account and checks. We also currently use TDA for our brokerage account.
Can you please share what your club is doing that works well?
Thank you.
Kay Branz, President
Lakshmi Investors
Dan Cohn on
Been with Bivio and Schwab for over 10 yrs. I physically deposit members checks at Schwab. Then Bivio asks me to assign the specific amounts to the respective members. I keep a copy of the checks.
How does the individual member, who directly deposited the check get credited from Schwab on the Bivio account?
Sent from my iPhone
On Jun 22, 2023, at 2:14 AM, Rebecca Reeves via bivio.com <user*34255900001@bivio.com> wrote:
I'm treasurer of two clubs. Each of them has been in operation for over 30 years and brokers have changed over the years. Both clubs have accounts with local banks where checks are deposited after monthly meeting. One club has a PayPal account that members can send deposits to which can then be transferred directly into the club account. It's not that big a deal to make a monthly bank deposit. Funds can be directly sent to TD Ameritrade from the bank or a check can be mailed. This has worked for years. Some cash remains in the bank account for expenditures. Funds can be directly sent from broker to withdrawing members or a check from the back can be sent. It's very easy to transfer funds from TD Ameritrade to a bank account. I'm hoping this will continue with Schwab.
Sent from my iPhone
On Jun 22, 2023, at 12:33 AM, Linda Glein via bivio.com <user*21345500001@bivio.com> wrote:
Most of our partners use either ACH or bill pay to deposit directly into the brokerage account (TDA). The three who do not give me checks and I can quickly do a mobile deposit. Sometimes I do it during the meeting, other times the following day.
. I keep a pdf of the TDA deposit form that I can print out and use to mail in a check if necessary. We do not have a separate checking account
We have very few expenses, and we either request a check from TDA (a bit of a hassle, but it is rare). We're more likely to have an individual pay and reimburse with units. Again, rare. Bivio annual subscription, postage, that sort of thing.
I'm trying to get a sense of how many clubs have their members direct deposit into the brokerage account vs. having a separate bank account member checks are deposited into. We currently use a separate bank account and checks. We also currently use TDA for our brokerage account.
Can you please share what your club is doing that works well?