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BG
BG

I used to get a “Thank you for enrolling in Schwab’s Referral Offer” email about a day after signing up. The email would clearly tell you when your 45 day period was done and when the contribution amount was calculated. The latest signup however didn’t generate the email. Anyone else have this issue?

007
007

I didn’t receive any such email. Do have screenshots of sign up process. Never been a Schwab customer before nore done this bonus, didn’t know it could be churned.

BG
BG

There seems to be some system changes implemented recently, maybe around April or May. The signup process didn’t change so what I saw was the same as you probably. But a few things I noticed, one is when I ACATS out from my account they don’t auto-close the account. I had to manually request the closeout. Closing out is required to churn since you can’t create a new login and apply the referral code if you have an account open. Second, no “Thank you for enrolling in Schwab’s Referral Offer” email after signing up. But instead I get another set of welcome emails that makes no mention of the referral offer. Lastly in some cases I’m able to see statements from my old closed accounts in my new account, which indicates they’re linking accounts. It makes me feel like they’re trying to discourage or disable churning.

007
007

Probably not the question you wanted, but did they charge you $75 fee if you did full transfer out but account wasn’t closed? Also, I’m guessing this fee applies to IRAs also? Trying to plan my exit strategy

BG
BG

Their full ACATS fee is $50, including for IRAs

esther
esther

Do I have to call 800-398-8640 to enroll this offer? Can I just click “open an account” in a referral link? THX

007
007

Just click open an account on main Schwab site. First question is referral code which is the REFER… text at the end of your referral link. You’ll see terms right after you enter the code

Ben
Ben

Schwab defines New as no previous or current relationships. I closed my Schwab Checking and Brokerage accounts before going after this offer with Traditional and Roth IRAs. Confirmed with agents multiple times during account opening and asset transfer that I would qualify but the bonus didn’t post automatically. Currently working with an Investment Specialist to have an exception processed / approved

Ben
Ben

Escalation / exception was approved after a few days and bonus posted a few days after that.

007
007

Thanks. Reading the terms, it seems that for a Roth IRA (i) bonus amount depends on value after 45 days (as opposed to Merrill Edge which counts value at transfer) and (ii) there is no one-year holding period for a Roth IRA (only for taxable accounts) after bonus is deposited so could pull funds afterwards for another bonus. Is this correct? Thanks!

Ben
Ben

007 it’s not account value at 45 days, it’s net deposits on the 45th day. That way you’re not impacted based on market fluctuations after your transfer(s) completes

Agree on the second point though – no 1 year holding for the Roth IRA

007
007

Ah, I see, even better. Thanks for your super rapid reply!

007
007

Thanks again! Ben you mentioned doing the bonus for both your Roth and traditional IRA accounts. Is this bonus generally available for multiple accounts? If so, is the bonus based on the total amount or each account gets separate bonus (so $100k in Roth plus $100k in traditional gets $500 each or just a single $500 for aggregate amount)? Thanks!

Ben
Ben

007 I opened both a Roth and Traditional IRA to do mega backdoor Roth IRA contributions / rollovers, not to do the bonus for two separate accounts. Pretty sure you’d only be able to get the bonus on one of the accounts

007
007

I see, thanks for clarifying! That is what I thought re bonus but wanted to make sure.

Paola
Paola

Hi! Need some help! I opened the Individual Brokerage account under the $50 Bonus Start Kit last year in December. No hard pull. I would like to open the checking account for the ATM reimbursements. Is this still a hard pull as of 2022? Appreciate any input!

Some1odd
Some1odd

Schwab stopped doing hard pulls… but they are still Chex sensative and known to shutdown checking accounts shortly after opening if they don’t like what they see on Chexsystems.

Ben
Ben

Paola I opened Roth + Traditional IRAs in early March 2022 and then Brokerage + Checking accounts in early April 2022. No hardpulls were done as part of the account openings.

Paola
Paola

Thank you for the feedback. I definitely have been churning a lot bank bonuses in the last six months. I might wait a few more months to open the checking account then.

ShawntheShawn

Paola You do not need to open the checking account. The brokerage account has debit card and check writing feature that you can enable. The associated debit card also offers global ATM fee reimbursements. And you can avoid a Chex hit in this way.

killdozer
killdozer

Is this churnable? Dont see any language saying otherwise. Did the $100 bonus for $1k deposit, closed in Q2 2021. Edit: ehh… not really worth it to keep for 1 year. $500 for $100k is 0.5% for 1 year, a bad offer unless you plan to actually invest with them.

GM
GM

If P2 is a joint account holder, are they eligible to get this bonus by opening a new account for themselves?

Scott
Scott

I would like to give this a try, but I see on the Schwab referral page that it says you have to call an 800 number to enroll – i.e., no setting up the account online. Curious as to the experience of anyone who has used this promo recently; when you called in what did they ask for to validate the promotion? Thanks in advance.

Shawn
Shawn

You don’t need to open the account from referral landing page. Just open an account normally online and on the first screen it will ask for referral / bonus code. Paste the code there and continue the application. Should receive a confirmation email shortly after approval.

David
David

Does anyone know if it is possible to churn this?

Z
Z

Can I get the a referral code for this? Or DoC does not allow this?

Dith
Dith

Schwab allowed me to open a brokerage account, then shut it down a month later with a notice saying my Chex report indicates that I “do not meet the business guidelines set by Schwab Bank.”

Gadget - Bank Bonus Geek

Typically you can avoid this by opening the Schwab One Brokerage, which is a cash management account with a debit card, and not opening the Checking.