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Follower ○○○

Why I'm leaving Vanguard

I have been with Vanguard since early 2000 (just in time for the internet crash, remember that one?). Back then, minimums were lower for both buying a fund and subsequent funding. But, as much as I hated the new 3k minimus, my reason is that I simply don't trust Vanguard with my money. About 2 months ago, I was checking my IRA to be sure a transaction I had made to exchange from one fund some money into a new fund had been executed. Yes it was, but then I noticed that my account's total was a lot lower when it should have been the same, just moved 3k from one fund to another. HORROR, I discover my three international funds were mission, gone, poof....A total of 18-19k was gone. 

I called customer service and first they didn't believe me. When I told them that my latest monthly statement showed the three funds, they could corroborate I had not cash them out. They said it was no big deal, that it was only a front-end problem. About two days later, the three missing funds were added back, but in a sort of subaccount called IRA 2 (my old account now is IRA 1).  So I suggest everybody check their accounts periodically.

7 Replies
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Contributor ○

Re: Why I'm leaving Vanguard

Thanks for the alert.

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Frequent Contributor

Re: Why I'm leaving Vanguard

Odd event & odd fix.

My guess is that in keeping track of various holding that do or don't require reporting to IRS, things got messed up.

Anyway, it shows the merit of keeping some documentation on hand [paper or electronic/pdf].

YBB
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Frequent Contributor

Re: Why I'm leaving Vanguard

Kafir, what you describe, ending up with IRA1 and IRA2, has happened to other posters.

 

Vanguard has reasons why this was done...did you inquire further as to "why" this happened?

R48

 

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Frequent Contributor

Re: Why I'm leaving Vanguard

Generally IRA2 may mean you have bought and sold too many funds over a period of time.  When you sell a fund, it stays in the online list with zero balance.  When a total number is reached, the next purchase results in IRA2.  Also, when you buy a new fund, it may not show up online, unless you go to custom view and put a check mark next to the fund.

 

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Contributor ○○○

Re: Why I'm leaving Vanguard

We've been with Vanguard since the 1980s and haven't had any problems.  But, we don't do a lot of trading.  I'm an old school accountant.  I keep paper copies a long time.  I also use a bookkeeping software program, Quicken, to keep track of our budget/spending and investments.  I update it with every quarterly statement.  I like the program.  It has custom reports which makes taxes simple.

The only thing unusual with our accounts is that we now have  brokerage accounts.  We've never had them before and I don't know why they are necessary.  Its no big deal.  They don't seem to interfere with anything.  Transactions work as always.  They are just there with zero balances.

P.S.  I suspect your money was there all the time.  It just wasn't being displayed when you accessed your account.  Software is funny that way.  All the right boxes have to be checked.  Quicken is similar.  If I run a report and haven't checkmarked all the accounts I want it doesn't show them.

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Participant ○○○

Re: Why I'm leaving Vanguard

An advantage of the brokerage account is that you don't see that particular quirk of their OEF only accounts.  In comparison, the brokerage option is cleaner and easier to navigate. 

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Participant ○

Re: Why I'm leaving Vanguard

Man, sorry to hear this.  I have trusted Vanguard since 2011.  I also have some Wellsfargo Money.  At Wellsfargo if I put a limit order in for 47.26 and the market opens lower than that I still get the stock at 47.26.   At vanguard I get it at the opening price.  This has happened to me a dozen times.  I do have a Flagship representive that is young but worked in the retirement department before the Flagship department.  He can tell me stuff many others can't answer.  I did notice by keeping a daily log that the summary account totals and the performance screen shows of difference of about 20 cents an account a day.  I don't know what this is.  Maybe it is a fee or something. I'll have to call and check.  I did notice if you convert a fund to another fund it starts out showing full shares then in a couple days the partial shares show up. 


@Kafir wrote:

I have been with Vanguard since early 2000 (just in time for the internet crash, remember that one?). Back then, minimums were lower for both buying a fund and subsequent funding. But, as much as I hated the new 3k minimus, my reason is that I simply don't trust Vanguard with my money. About 2 months ago, I was checking my IRA to be sure a transaction I had made to exchange from one fund some money into a new fund had been executed. Yes it was, but then I noticed that my account's total was a lot lower when it should have been the same, just moved 3k from one fund to another. HORROR, I discover my three international funds were mission, gone, poof....A total of 18-19k was gone. 

I called customer service and first they didn't believe me. When I told them that my latest monthly statement showed the three funds, they could corroborate I had not cash them out. They said it was no big deal, that it was only a front-end problem. About two days later, the three missing funds were added back, but in a sort of subaccount called IRA 2 (my old account now is IRA 1).  So I suggest everybody check their accounts periodically.



@Kafir wrote:

I have been with Vanguard since early 2000 (just in time for the internet crash, remember that one?). Back then, minimums were lower for both buying a fund and subsequent funding. But, as much as I hated the new 3k minimus, my reason is that I simply don't trust Vanguard with my money. About 2 months ago, I was checking my IRA to be sure a transaction I had made to exchange from one fund some money into a new fund had been executed. Yes it was, but then I noticed that my account's total was a lot lower when it should have been the same, just moved 3k from one fund to another. HORROR, I discover my three international funds were mission, gone, poof....A total of 18-19k was gone. 

I called customer service and first they didn't believe me. When I told them that my latest monthly statement showed the three funds, they could corroborate I had not cash them out. They said it was no big deal, that it was only a front-end problem. About two days later, the three missing funds were added back, but in a sort of subaccount called IRA 2 (my old account now is IRA 1).  So I suggest everybody check their accounts periodically.


 

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