Brokers have a reputation for cold-calling others to pitch their brokering/consultation services. But they also have a reputation of sometimes calling their existing customers for various reasons. If you’re a customer of TD Ameritrade, you have a right to know if they will call you too.
TD Ameritrade might call you to ask you about your investment goals if you deposit a large fund to them. They also might call you if they notice you withdrawing a large amount of cash. Last, they could call you if you’ve been losing a lot of money by trading.
In this article, I will go into more detail about the reasons TD Ameritrade might call you. This way, I also intend to give you all the info you’ll need to figure out how to react to their call.
Let’s get to it right away!
The Reasons TD Ameritrade Might Call You
You Have Deposited A Large Amount of Cash
On Reddit, a TD Ameritrade customer has reported that the broker has called them after a large deposit. The reason seems to be always talking about your investment goals to see if you’ll benefit from their asset management programs.
This makes sense as the people with a lot of cash are the ones who are going to be benefited from tailor-made advice the most. At the same time, it makes sense for them to manage large funds because of the bigger cut they are going to receive from management fees.
I need to also note that when it comes to how much money you need to deposit to trigger that call, only TD Ameritrade knows. They, of course, don’t say they will do this in the future if you open an account with them. We only know this from customers who had this experience.
You Have Withdrawn A Large Amount of Cash
If you have withdrawn a large amount recently, they might call you to ensure that you weren’t put off by something they were responsible for. But it’s been more than a decade from the time such a call has been reported online that it’s not certain if it still happens.
They probably have algorithms in place that notify them when something like this happens. But we can’t be sure about what that “large amount” may be for them.
This is actually a very good thing as you may not have withdrawn the money yourself. Also, let’s not ignore that this compliments them as a broker. They seem to want to make sure that they provide the best service and want to keep track of any complaints.
You Have Been Losing A Large Amount Trading
Options are a very risky investment vehicle and you can lose most or all of your investment very easily.
Even though this hasn’t been stated, maybe the customer has been losing a lot of money lately. TD Ameritrade doesn’t want you to be discouraged by severe losses because if you stop trading, they stop being of use to you. Bottom line, they stop making money off you.
That may explain the call in part. But we never learned what followed so we can’t be sure whether the representative’s goal was to tell the customer to take it easy or something else. It could also be a sales pitch for one of their asset management programs.
What To Do If TD Ameritrade Calls You After you Deposit a Large Amount of Money
First of all, ensure it’s really them because there might be a phishing attempt. Do this by searching for the number online. You can also ask the name of the representative and then call TD Ameritrade to verify they work for them.
If the call is about depositing a large amount of money, consider if you’re looking to manage your fund by yourself. If not, then you have nothing to lose by listening to their pitch.
If you have $25,000 to $250,000 to invest, it’s probably the Selective Portfolio they want to pitch because that offer is appropriate for the range.
The Selective Portfolio is focused on mutual funds and ETFs. TD Ameritrade will keep track of your portfolio and balance it periodically. If you’re a long-term investor thinking about retirement, then this will be a great option.
Their support team will also report on your investment performance and how close you are to your goals. There will also be an online dashboard available to see these things for yourself at any time.
As for fees, they will charge you an expense ratio of 0.75% to 0.90% for the first $100,000 depending on how much you invest and what investment vehicles you choose.
Now, If you have over $250,000 to invest, it’s the Personalized Portfolio they want to pitch because that amount is the minimum to be eligible
Let’s just say that this goes much more into depth about your financial situation. This way they will be able to create the best tailored advice and recommend an ideal portfolio.
The major difference, however, is that they will assign a consultant with whom you will be able to have a one-on-one relationship.
The advisory fees here are 0.60%-0.90% always depending on your portfolio and how much you invest.
Most of the time, TD Ameritrade will call you if you have deposited a large amount of money into your account with them. And it’s because they want to see if one of their asset management programs will be a good fit for your situation.
The other less common reasons are about calling you after you withdraw a lot of money and if you’ve been losing money trading to a great degree. But what amount may trigger their algorithms to help them decide to call you is unknown.
Now, did this answer your question? If it did, consider sharing this post with others!
If it didn’t, you can leave a comment below and I’ll get back to you to see how I could help. You can also leave a comment if you need help with something else.
Thanks for reading and I’ll talk to you the next time…
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