Brokerage Account Sale

Lets   see if I got this right.

USAA sold their brokerage account to Chas Schwab for several billion dollars.

Chas Schwab got millions of new accounts and billions in account dollars in exchange.

What did the USAA members whose dollars and account were transferred  get.

I  feel that the members who entrusted their funds to USAA should share in some way in the widfall that USAA recieved from the sale of the members assets.

Isnt that the way to do it right.

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36 REPLIES

NO because they care about their bottom dollar not the customers. I am closing my account, a bunch of thieves.

I canx Insurance first, once I refinance my auto loans with another company, I am gone after 22 years. USAA is not longer a legit company, just more of the same.

Just another way to bilk the members.

Couldn’t agree more with the majority of your post!!!   Don’t know how money transferred from Schwab and VC [a little karma in that acronym that shouldn’t be lost on old guys].   Know nothing about Schwab as all my six accounts went to VC.   But your comments about VC are SPOT ON!   I hate dealing with the VC website in every aspect.   The sale caused yet another episode of wanting to leave USAA.   It might have made corporate sense to drop out of that market sector; we should have been given a detailed heads-up and be allowed to opt out, if desired.   Could have transferred our money elsewhere, especially for those who knew Schwab and VC.   Setting up login at VC was a tad challenging, but I’ve actually seen worse, to my dismay.   But navigating the VC website, and finding info, is an infuriating challenge.   Then, of course, USAA informing us we’d be able to see our account on the USAA page [which hasn’t worked after many attempts] is a pain.   Every call to USAA about that, alone, resulted in an apology and promise USAA was working to fix the disconnects.    As for windfalls, your point may/may not be applicable: hadn’t considered that, since as I understand USAA’s structure, any moneys generated from any source should go into the mixed pot of USAA assets.   Every member “should” benefit indirectly from whatever Schwab and VC paid to buy us.   If not, there should be an audit and method to track where the money went.   I’m not suggesting the CEO or BOD did anything nefarious [like many here would scream], but only that we need to know the effect the sales had.   The services provided have been disappearing for years; many deserved to be dropped.   And of those still in effect, at least some are administered poorly.   I’ve always thought USAA got too big to run effectively because of sheer size and complexity.   But that sale of our records and accounts to Schwab an VC really ticked me off.   No telling how much of our private info went to other than those two companies.   Some worry if a glass is full or empty; I worry if someone p##d in the glass.   No way do I trust big businesses, but we can’t control what they’ll do.   

OldeSoldier,

 

I am in full agreement with one of your points: we should have been given a detailed heads-up and be allowed to opt out, if desired.  And, I am in disagreement with another one of your points: but we can’t control what they’ll do. That is the point of the Annual Meeting. Granted, it may not be an easy task.  But, we are soldiers, airmen, marines, sailors and alike. As my daughter stated, difficult is what we do best.

 

Yet, I will give leadership the benefit of the doubt. Maybe, this stuff was discussed at a meeting that I was not in attendance. That is why, it would be nice for the minutes of the meetings to be posted somewhere or sent out.

You got to stay a member of USAA and a virtual pat on the back

I would have been OK had my account landed in Schwab, but my usaa conerstone fund ended up with Victory capital,I was not pleased..never heard of victory and the ER jumped up to 1.14%. hard to contact victory..hard to set up online account with victory and they never ansered phone or emails. Thankful i was able to get vanguard to do a broker to broker transfer of my mutual fund,that way I did not have to deal with victory capital. why usaa added victory to the mix is beyond me. they should have just moved all accounts to schwab. victory capital is terrible high fees sad that wells fargo is probably a better choice than victory and wells Fargo is basically ran by crooks.

Birds of a feather... They got a huge commission. As long as they get theirs they are fine. Closing my account.

Yep, As soon as I found out I had everything moved, no response to calls or emails. Once someone did contact me it a run around FAKE forms to get my funds transferred.  I contacted Schwab, and they did all of the paperwork, just sent me what I needed to have signed/notarized and done

 

@Army 37 yrs BJD, thank you for reaching out and providing feedback regarding your recent experience. I'm sorry to hear of your dissatisfaction with the transition to Victory Capital. I will be sure to share your feedback with the appropriate department for further review. - Robyn

at this point it does not matter if my feedback is hared with whatever usaa department, the damage  of moving the mutual funds of investers to Victory capital is already done. I suspect most veterans like myself did  not sit and put up with Victory capital and their outrageous fees..most of us contacted Vanguard or Fidelity or both and had our investments moved out with broker to broker transfers. Victory was impossible to deal with. Too bad usaa did not go with Vanguard or fidelity, Victory was a very very poor choice by usaa  to force onto  customer's. 

 

 

Money to line USAA pockets. I am closing my account.

I was not even aware that schwab was an option. usaa moved my ira mutual fund ..usaa cornerstone moderate growth to Victory capital.. I could not contact victory without a 2 -3 hour wait time they did not respond to email either and the expence ratio for the conrenerstone fund jumped from 0.32% to 1.14 % . I also struggled to get my Victory account established and had password reset issues. I finally said EFF it and called VanGuard and they actually answer their phones over there and when i send Vanguard an email they answer usually the same day sometimes within the hour. I did not want any contact with the crooks at Victory so Vanguard did a broker to broker transfer of my funds.. Now I am in Vanguard Star fund and Vanguard Wellesley ER is cheaper too. I think Star fund is 0.22% wellesley is 0.24% .And these funds do way better  I am retired so these are taxable so i need a fund that does well and the profits dont get sucked up by fees.  I went with vanguard because I did not no the Schwab was already in USSA.. ohh well no regrets about leaving Victory  they are a poor excuse for an investment company that's for sure. So far i still have checking and saving and car home insurance with usaa..but there are other options like Navy credit union and local credit unions in my own city that could probably do just as well or better. usaa does not really offer any more than regular credit unions do. Usaa lost lots of investers when they switched to Victory Capital....the ceo and top executives should be ashamed of themselves.

Selling USAA "members" resulted in Billions $s gain for USAA. So the celebration is on at USAA. All the best in 2022.

SSA, just like the military play the waiting game.  i received a message last week (17th) it stated disrubution to be made mid December.   ok now we wait, it's basicly past mid December so where is it?  now i have a question, both of my son's are members the oldest get the SSA and when i joined i got the SSA.  however my youngest has never received it.  heck i don't even know how i got it, so i can't tell him.  so how does he get into the SSA?

The way that I understand it, it is basically a rebate of unused insurance premiums. If USAA does not incur losses as forecasted, the difference is returned to members. In the past, it was all used premiums. Now, it is a percent, and USAA put the rest aside in an account designated for the member but available for USAA's use (and probably collects part of the interest as well).

I got a distribution check for $107.00 this year.. I call it Beer money.

Hello @MG1976, we certainly understand your questions about your distribution and how you received yours.  Disbursements are still processing throughout the week and for more information on Subscriber's Account, please log into your USAA.com profile and in the search area (Magnifying Glass Icon) enter "Subscriber's Account" for detailed information.  Thank you for your membership and allowing USAA to serve yours and your family's insurance needs.  ~Marco

Thanks USAA for hiding this infomation. 

@pinetree, I would want to be sure we are forwarding any concerns you have to the appropriate area to review. I would like to understand your post better. Please provide additional details. Thank you. ~Suzy