Posted by William Charles on December 15, 2019
Deals

Published on December 15th, 2019 | by William Charles

201

[Expired] Tastyworks Brokerage Bonus: Transfer $5,000+ & Earn $250 Bonus

Deal has now ended, view more brokerage bonuses by clicking here

The Offer

Direct link to offer

  • Tastyworks is offering a bonus of $250 bonus when you transfer a new non-IRA tastyworks account with $5,000 USD or more to Tastyworks. They will also pay transfer fees up to $100

The Fine Print

  • Offer valid on new tastyworks non-retirement brokerage accounts opened by 12/31/2019 (“Qualifying Receiving Account”) and funded via Automated Customer Account Transfer (“ACAT”) within ninety (90) days from the account open date with a Net Liquidating Value of $5,000.00 USD or more at the time of ACAT settlement. Sponsor’s system records are the official determination of the Qualifying Receiving Account’s open date. Once the ACAT has settled with a minimum Net Liquidating Value of $5,000, a cash deposit of $250.00 USD will be posted to the Qualifying Receiving Account within thirty (30) business days. Offer is not valid for internal transfers.
  • Qualifying Receiving Accounts can receive a cash rebate up to $100.00 USD for ACAT fees charged by the delivering broker within 90 days of account opening date.

Our Verdict

Haven’t really heard of tastyworks before, but as far as brokerage bonuses goes this looks looks to be an easy one to complete. The bonus itself isn’t huge but the requirement of $5,000+ makes it much more achievable than some other brokerage deals.

Hat tip to reader Fred



201
Leave a Reply

avatar
 

  Subscribe  
newest oldest most voted
Notify of
Nate
Nate

Does this work just like ach funding, or do you specifically need to transfer from another brokerage like charles schwab?

Beefer

You need to transfer positions so if you don’t own $5k+ in stock, this is not for you.

HiddlestonN
HiddlestonN

If I just have 5k in my Charles Schwab brokerage account in cash and transfer it through “positions only”. Is it going to work?

beat2def
beat2def

I might open a Schwab account if this works.

Chunk
Chunk

Did this work?

SamL
SamL

@Beefer How do you know this? You can ACAT cash.

AD
AD

Where does it say you need to transfer positions? I don’t see that anywhere, just that the “net liquidating amount” must be at least $5,000 USD.

Chunk
Chunk

I’m curious about this too. Do I actually need to buy positions? Because I just ACH’d $5,100 to Vanguard.. and then planning to transfer to TW next week.

Steve

It just says you need to fund via ACAT. ACAT transfers can include cash (the tastyworks help page “How do I fill out the ACATS Form? (Instructions)” even has an example that has “Cash” as an entry in the Partial Transfer table). So I’m guessing that transferring cash would work.

Mike
Mike

This is a good deal. I have an account with Schwab that I may transfer over. Thanks for posting.

leapfrogger
leapfrogger

What a weird name. Doesn’t sound professional.

slowbrake
slowbrake

I don’t know how the platform is, but the company is professional.

The main guy, Tom Sosnoff, was a power player in the Chicago board options exchange in the 80s/90s. He than founded think or swim. Sold those tools and brand to TDameritrade for 1/2 a billion dollars and than founded tastytrade almost a decade ago.

They run a decent streaming/internet/app channel with a few of different trading personalities (and had their track records out in the open) – kinda like a daily trading/options radio station. The platform has been around a while too but I’ve never used it because robinhood has been cheaper for the past 5 years.

Chunk
Chunk

nice try, Tom

Fred F
Fred F

Karen the Supertrader biggest Fraud ever….lol. People actually believe options strategies like dead eagle split legs are a way to fame n fortune.

Fred F
Fred F

They have two babe traders. One who claims she trades her parents retirement acct in stuff like fat 🐆 right brain red straggles…..lol.

A M
A M

When I clicked through, I found “SHUFFLE” preentered as the “referral code.” So would be a good idea to double check that that’s there when applying from, say, another link

wilsonhammer
wilsonhammer

I would only do this if they allow partial ACAT transfers. Also, I’ll need to learn what ACAT fees both tastyworks and vanguard charge before pulling the trigger on this one.

Edit: vanguard has a $0 ACAT fee for partial or full transfers. TW has a $75 ACAT fee. Do this bonus just went from $250 to $175.

Sander
Sander

They provide rebate for up to $100 for ACAT fee.

“Qualifying Receiving Accounts can receive a cash rebate up to $100.00 USD for ACAT fees charged by the delivering broker within 90 days of account opening date.”

HiddlestonN
HiddlestonN

It’s going to reimburse you up to $100 for the transfer fee. So I think you still get $250 bonus.

wilsonhammer
wilsonhammer

Yeah, but when you’re ready to pull it out, that’s a $75 fee. Unless you liquidate and ACH out.

Steve

But there’s a high likelihood that the brokerage you transfer to from TW will reimburse that fee.

Samosa
Samosa

Steve My man! I was a bit hesitant after finding out the $75 transfer-out fee but you, Sir, just pointed out the solution. I have a Vanguard account with very little invested, will probably invest ~$5.1K in an ETF and will then transfer those to TW and grab $250 bonus. I hope partial transfer triggers the bonus.

Steve

A possible complication is that the next brokerage you send to might not reimburse the transfer fee if you’re only depositing a small amount like $5k. Someone else posted that Ally requires $10k. Though, you could transfer a larger amount to TW to begin with. Or, maybe you could transfer $5k from TW plus more from somewhere else.

TJ
TJ

Just keep the $5k there. Nobody is going to incentivize you to move $5k.

Chunk
Chunk

market is gonna crash soon anyways, so it makes sense to cash out asap.

Samosa
Samosa

I have been hearing this for the last 2 years.

Chunk
Chunk

yes it’s been building up to go over the cliff

Samosa
Samosa

And it may keep building up for another 2 years, or may collapse within the next few hours. The thing is no one knows for sure when this will happen, and nobody in the world has the ability to predict it Consistently correctly!

A M
A M

Talk like this kept me on the sidelines, while the market kept (and keeps) going up. Invest consistently in a broad low fee index fund, and you’ll do great long term

Avi
Avi

For those interested in index funds, market timing, etc., check out The Simple Path to Wealth, by JL Collins.

Geemo
Geemo

Dollar cost averging does work.

Superman
Superman

How does dollar-cost averaging work?

A study by Vanguard found that lump-sum strategy has historically outperformed dollar-cost averaging 64%, 68% and 92% of the time in U.S. markets over 6-month, 12-month and 36-month rolling periods.

The lump-sum strategy beat dollar-cost averaging by an average margin of 2.4%, 2% and 1.5% in U.S., U.K., and Australian markets.

Lump-sum strategy works to give savvy investors better returns.

Dollar-cost averaging works to give emotional investors better feelings.

https://www.fool.com/investing/dollar-cost-averaging-what-investors-need-to-know.aspx

Avi
Avi

Those numbers don’t lie, but it sure is tough to expose a big chunk of change to the stock market after the 10+ years we’ve had because SURELY there must be a better opportunity around the corner. Of course, one would say the same if the stock market were in a 10 year free fall. SURELY it’ll fall some more, so why invest now?

DingDingDang
DingDingDang

How does a 25 year old lump sum $100 K . All he got is a New great job n a Buck fifty To his name

Samosa
Samosa

$50 is THE lump sum for that 25 year old. There isn’t a threshold above which money becomes lump sum.

el_pistolero
el_pistolero

Does anyone know if a partial transfer of account >5k will work?

:)
:)

I use Robinhood and Stash. Wondering if I could transfer from them.

Rob
Rob

Does opening brokerage accounts incur an EWS/ChexSystems inquiry? Any downsides to having too many brokerage accounts?

Marty
Marty

I’ve opened multiple brokerage accounts and never had an EWS or Chex inquiry with any of them. The only way I could see there being a need for an EWS or Chex inquiry with opening a brokerage account would be if there was some sort of check writing feature associated with the account.

Betelgeuse ㊙️

When I opened my Merril edge account the broker who helped on the phone said there is no credit check but there a bank check. Not sure what that means

Yaro
Yaro

I dont see Mutual Fund mentioned in the pricing page. So, only stocks/efs can be transferred from other brokerages to this brokerage ?!

Chao Xu

Tastyworks does not manage mutual funds as you can see in this article. https://www.barrons.com/articles/mutual-funds-arent-an-option-at-tastyworks-an-online-broker-1483163581
I have no idea what will happen if you do an ACAT transaction on those mutual funds.

Justin
Justin

If you want to trade mutual funds you’ll have to call them. So should be able to transfer them.

Chao Xu

I did a transfer. In the email they said “Please note that tastyworks does not accept bonds, mutual funds, OTC securities, expiring options three weeks or less, or foreign securities.” and “It is important to keep in mind that you will incur all of the fees associated with transferring, liquidating, or maintaining any positions in the aforementioned securities. ” so likely they will sell your mutual funds and turn it into cash. (note all I have are vanguard ETFs, so that was not a problem for me)

John
John

Brainstorming here: Can’t I buy $5000 worth of a money market ETF, transfer it to Tastyworks, liquidate it there, and ACH out, making this a minimal risk bonus?

Betelgeuse ㊙️

Yeah sounds like it should work

JW
JW

I’m thinking the same. ACAT into TastyWorks then ACH out to bank and then just tell TW to close the account (No need to risk the TW ACAT out fee)

SamL
SamL

Is “money market ETF” a misnomer?

Marty
Marty

I think you are right. The closest thing to a “money market ETF” is an ultra short duration bond fund.

SamL
SamL

Right, it seems so-called “money market ETFs” are really ultra short bond funds. Pretty safe, but still can have price dips.

A M
A M

Would it make sense to open now and start ACAT transfer process in new year, so that the tax forms can be cleaner? Also, to transfer TO this one, I would just use the Tastywork ACAT form, right? And this is taxable on 1099? First time I’ve done a brokerage bonus

wilsonhammer
wilsonhammer

If you transfer in-kind, it’s not a taxable event.

Steve

Maybe they mean paying tax on the $250 bonus. I haven’t seen any data points for this brokerage yet, but possibly they’ll send a 1099-INT or 1099-MISC.

Chimpo Chee
Chimpo Chee

If they don’t send tax formS it’s FRAUD.

Marty
Marty

A transfer in-kind can be a partially taxable event. If you have fractional shares in stock or ETFs, those fractional shares can’t be transferred and they are liquidated and the proceeds are transferred instead, which results in capital gains or losses on the sale of those fractional shares. At least, that’s what happened to me when I transferred my Vanguard account to a Chase You Invest account as part of a bonus offer. However, fractional shares in mutual funds can be transferred with no problem.

joanne
joanne

It is for that reason I still left a couple whole shares in my Fidelity account on the security I transfered to Chase. This way I keep the dividend reinvestment in both places. Only drawback is you are holding the shares in two accounts.

Brian C 🐕

I can confirm they will transfer your partial shares and keep them intact.

You won’t see them in the platform, because they cant be displayed, but they can be transferred and held, which is what I did.

Chimpo Chee
Chimpo Chee

You need to make sure basis is transferred correct.

ChubbySnorlax
ChubbySnorlax

Will you be able to get the $250 bonus if you transfer $3000 worth of stocks along with at least $2000 of cash from the brokerage account?

Sarah D
Sarah D

$75 fee to transfer out without liquidating. I’m going to invest 5k of new money with a fresh fidelity brokerage account so I can liquidate on the way out without incurring a significant taxable event. Fine print doesn’t seem to imply you need to park the money for the duration, but I suppose it’s probably better just to be safe.

A M
A M

You just gave me the idea of transferring 5K ish of holdings I’ve had for a while now (1 year +) in my Fidelity account to a new one just for the purpose of transferring for this brokerage. Then can liquidate what I intended to sell anyway and be hit with less taxes. Thanks!

tribesman55
tribesman55

Why do they keep saying liquidate in the offer? To me that sounds like they are going to auto liquidate whatever stocks you transfer in into cash.

Steve

I just see them say “Net Liquidating Value” as a way to measure how much you transferred; it doesn’t say they will liquidate anything. https://wiki.stockfuse.com/glossary/net_liquidation_value/

tribesman55
tribesman55

Ok thanks for the clarification!

Bob
Bob

They want u trading options Not holding stocks for 20 years.

john m
john m

You need to send them a statement from your current brokerage firm for them to approve an ACAT. Do some account setting up-external accounts. Can happen in 2 weeks? Cutting it close with any waiting time.

Steve

The terms say the account needs to be opened by 12/31, but you have 90 days from the account opening date to do the funding.

The part about sending them a statement from your current brokerage, which I indeed see that their ACATS form asks for, makes me a little worried that they would only allow a full transfer, not partial transfer. But, the form has a box you can check for Partial Transfer (and then fill in the details of which assets to transfer), so I guess partial transfer would work.

roger
roger

Is there any penalty for closing the acct after getting bonus? You can always transfer this acct out to Merrill or Tdameritrade & get them to pay the transfer fee out !

Chao Xu

You have to be careful. Transfer fee are not always covered, especially if you only transfer in a small amount of money. Ally requires at least $10k. I do not know about Merrill and TD, they say they will reimburse me when I told them about transferring $50k and $25k, respectively.
So if you are only here to earn that bonus and only transferred in $5k, transferring out could be a problem.

Fred
Fred

I think as long as you open the Tastyworks account by 12/31, you have 90 days to complete the transfer:

“Offer valid on new tastyworks non-retirement brokerage accounts opened by 12/31/2019 (“Qualifying Receiving Account”) and funded via Automated Customer Account Transfer (“ACAT”) within ninety (90) days from the account open date…”

Back to Top ↑