Sometimes, investors find the need to transfer their funds to a new brokerage. Schwab certainly has a lot of benefits that appeal to investors. This brokerage offers a great mobile platform and a large selection of funds, as well as commission-free stock and options. So it makes sense that you may consider moving your funds around to take advantage of these benefits. If you are ready to transfer SoFi to Schwab, there are a few things you should know.
There are two primary ways to transfer your SoFi account to Schwab: through paperwork or online. Both methods require you to have a snapshot of your account information handy. You will first need to contact Schwab to initiate the transfer request. Then, they can help guide you through the rest of the process.
If you are ready to move your assets around, here is everything you need to know.
How to Transfer SoFi to Schwab: Paperwork
Transferring your funds from SoFi to Schwab has the potential to be smooth sailing for you. The first thing you need to do is establish your account at Schwab. If you have not already done so, then you need to ensure that your accounts match. You should have the same name on both accounts. Without this, you will be required to provide additional documentation such as:
- Marriage certificate
- Certified divorce decree
- Certified court documents for a last name change
- Court documents for a first name or middle name change
- Second-name letter
From there, you only need to fill out this form to transfer securities or funds from another financial institution such as SoFi. Be sure to gather all of your pertinent documents and account information before you sit down to fill out this paperwork. It will make the process go much quicker and more smoothly for you.
You will need to know:
- Schwab account type and registration
- Schwab account number
- Name and title of the SoFi account
- SoFi account number
- SoFi account type and registration
Once you have the basic information covered, you will fill out sections three through six. Only one section needs to be filled out before moving onto section seven, where you will sign on the dotted line.
Sections three through six give you options about what you want to transfer from SoFi to Schwab. The first section applies to credit unions, banks, brokerages, trust companies, and/or dividend reinvestment transfers. Section four details liquidating Certificates of Deposit and transferring the money. Section five walks you through surrendering or liquidating annuities and transferring the cash. Last but not least, section six is for mutual fund company transfers.
You may move your account in full or partially. However, remember that you will need to include a copy of your most recent statement for your SoFi account along with the transfer paperwork. The paper application can be mailed via regular mail to:
Charles Schwab & Co., Inc.
Attn: IS Document Control
P.O. Box 982600
El Paso, TX 79998-2600
Transfer SoFi to Schwab – Online Transfers
There is a good chance that your account may be eligible for an online transfer instead of going through the physical paperwork process. This is done through the Automated Customer Account Transfer Service (often abbreviated as ACATS).
The initial steps are still very much the same. You will need to open your Schwab account first, preferably with the same name that is on your SoFi account. While you can still transfer if the names do not match, you will have to provide some form of documentation to prove that you are the same person.
Once completed, you need to initiate the transfer request from Schwab. You can determine if you are eligible for an online transfer by going to schwab.com/transfer and logging in.
When you open an account with Schwab, you can select investment account transfer as your funding option. The account should be approved and ready to fund within the next five business days or sooner.
From here, you can log in and enter the information for your SoFi account. It will give you the opportunity to decide what to transfer, whether you want to fully close your SoFi account or just move specific assets. Last but not least, you will provide your personal information to authorize the transfer.
You can transfer assets to your Schwab account with no transfer fees on their end. However, SoFi does charge $75 to transfer assets regardless of whether it is a full or partial transfer.
Can All Assets Be Transferred?
Be aware that there is a possibility that not all assets can transfer from SoFi to Schwab. This depends on what you specifically invest in. For example, you will not be able to transfer any stocks or funds that are proprietary to SoFi. This is the most common reason that you might have difficulty with the transfer.
If you come across this issue, you have a couple of options. First, you can sell the asset and transfer the cash to your new Schwab account. You could also transfer the money out of SoFi. This could affect your taxes, so make sure to run this option past your financial adviser before proceeding. The other option would be to leave the asset in your SoFi account and maintain it after the switch.
When in the process of transferring from SoFi to Schwab, there is a possibility that your assets may appear to have disappeared from both accounts for a couple of days. This is only temporary and should be restored within the week.
Preparing for the Transfer
The biggest headache in a transfer SoFi to Schwab is in the preparation of the documents. Gathering up the information you will need ahead of time can save you precious minutes or hours. Have a snapshot of your account information and your investments handy before you begin with either the paperwork or the online transfer. This will help speed up the process for you!