Personal Finance (Not Investing) • [Split from "Fidelity as a one stop shop" thread - locked or restricted Fidelity account issues]

Don't get me wrong, I'm happy with some services CMA provides (fast transfers, free wire, spaxx). But for normal banking activities, I'd rather use cap1 or some other real bank (atm card, checks, cleaner interface, customer support issues etc.). CMA has just become a HYSA for me. Another reason was that I didn't want all my fidelity accounts (brokerage, 401k) blocked because I did something innocuous that fidelity finds criminal/offensive.

In that case, you should look at Chase or Bank of America. You get a real bank and their money market offerings have higher yields than SPAXX. But the concern about getting your accounts shut down for doing something innocuous isn't just limited to Fidelity. Chase is pretty well known for shutting down accounts if you do something that triggers its fraud algorithms. This is going to be the new normal for most banks as long as fraud and scams are so prevalent. And banks can get into huge trouble if someone uses them for an illegal purpose, which is why they are so vigilant about potential misuse.

I completely understand. I have had 30+ years relation with BOA. But that loyalty doesn't mean anything to them. They are a transactional account, just like Cap1 checking. I keep about 5-10k in each of these accounts for normal activities. Bulk of my emergency/longterm transactional money is at CMA or Schwab MM. I can transfer that in a couple of days to any bank, and they are shielded from these scam/fraud shenanigans.

If BOA or Cap1 decides to pull some funny business, I'd say close it and send my remaining money back to me in whatever means they decide. I can take that inconvenience.

Statistics: Posted by tarheel91 — Mon Dec 16, 2024 11:34 am — Replies 920 — Views 66747

---