LOYAL3 closing down, T-Mobile Stock Up shares will be transferred FolioFirst

johnlegerestockup

If you took advantage of Un-carrier 11 and Stock Up to get some T-Mobile shares last year, then there’s some news regarding your stock that you need to be aware of.

LOYAL3, the brokerage partner that T-Mobile worked with on Stock Up, is sending emails to T-Mobile stock holders to say that it’s shutting down. On May 19, T-Mobile customers using LOYAL3 will have their stock transferred to FolioFirst, and the stock will be in your FolioFirst account on May 22.

If you move your stock to FolioFirst, you have a few actions available to you. First, you can sell your T-Mobile stock and remove the cash from FolioFirst within one year of the date that you received your T-Mobile stock. You can determine this date by going to the LOYAL3 site and going into My Account > Statements and Forms > Trade Confirmations.

Another option is to keep the T-Mobile stock in FolioFirst and do nothing else. You won’t be charged anything until February 1, 2018, at which time you’ll be charged a $15 annual account maintenance fee.

If you sell your T-Mobile stock after your one-year anniversary of receiving it or buy or sell any securities with FolioFirst, you’ll pay $5 per month. With this monthly payment comes brokerage features like commission-free trading (up to 2,000 per month in twice-daily trading windows) in more than 200 stocks and ETFs. FolioFirst says that it’ll waive this monthly fee until August 1, 2017 to let you try its features.

If you’d prefer not to have your stock moved to FolioFirst, you can either transfer your account to another brokerage firm or sell your shares that are being held at LOYAL3 and then transfer the cash to your bank account.

LOYAL3 says that if you want to have your account transferred to another brokerage firm, May 18 at 5:00pm ET is the deadline for having your new broker send your info to LOYAL3. The last day to withdraw funds from LOYAL3 is May 16 at 12:00 pm ET, and the last day to sell T-Mobile stock in your LOYAL3 account is May 16 at 1:45 pm. The money from stock sold on May 16 will be sent your bank account or by check.

So there’s all of the info you’ll need to make a decision about what to do with your T-Mobile stock. The news that T-Mo customers that’d like to continue holding on to their stock will have to pay a fee at FolioFirst may be disappointing since it was free to have your account with LOYAL3, but at least now you’ve got about a month to figure out what you want to do with your T-Mobile stock.

What are you going to do with your T-Mobile stock?

Thanks, Shawn!

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  • neospade44

    I was thinking of keeping my share with Loyal3 a couple years, have it increase and perhaps add a couple more shares as part of referrals. This move forces me to sell it as I don’t want to bother with monthly fees. Unfortunate, but I guess it’s business.

    • Erik Papesh

      Did the same, sold it today

      • Iceman

        Me too. I suspect many people sold their share today. Roughly $65 isn’t bad. Wish I could have held it a little longer.

        • John Doe

          Why though? I thought FolioFirst won’t charge you until August 1st 2017 so you can sell it through FolioFirst before August and not get charged the monthly fee.

        • C G

          That may be so, but it seems that FolioFirst has a $25 transfer fee. I have not been able to get ahold of anyone to confirm that, but it is in their fee structure chart. Due to some delays at my receiving institution, and an apparent “data mismatch”, I’m stuck needing to sell and transfer the cash. Sigh… not my plan. Did anyone else see that transfer fee?

  • Aurizen

    Can it be sent to Robinhood?

    • Travis

      Unfortunately, the way I read it…No.

      Broker to Broker Transfers (ACAT)

      Broker to broker transfers are processed via ACATS (Automated Customer Account Transfer Service). We don’t currently support ACATS into Robinhood, but we’re working to add this feature in the future.

      We do support outgoing ACATS, from Robinhood to another brokerage. This process should be initiated from the receiving brokerage and we will follow through to complete the process.

      Please see our Commission and Fee Schedule for fees associated with ACATS out of Robinhood.

      • John Doe

        Hopefully they add it before August 1st when FolioFirst starts charging customers.

        • Aurizen

          I hope so! that would be great.

    • David DiPilla

      just re buy it on robinhood thats what i am going to do

  • D. Duran

    Could’ve been their plan all along, give customers a piece of the company only to later force us to sell, either way they gave us money.

    • Paul Rivers

      “You won’t be charged anything until February 1, 2018, at which time you’ll be charged a $15 annual account maintenance fee.”

      Aka “I guess we’re going to have to confiscate your tmobile stock to cover out newly declared bill on you!”.

      1. “Give” stock shares to people
      2. Move them to a different company where they start charging a fee
      3. Confiscate their stock in the name of recovering your fee
      4. Profit off the stock you stole from them

  • colonelcasey

    At least most who sell now will earn a tidy profit now that TMUS is trading around $64

  • Lexster

    What a “thank you”. Well, guess at least I get 64 bucks…that I have to remember to note on my taxes now.

  • Dylan Wentworth

    I rang the proverbial register last week.
    My advice would be to not wait until the last minute if you’re going to cash out.
    Loyal3’s batch trading took almost a week and then the process for withdrawing took even more time. There was a problem with the ACH transfer and had to call tech support. More time wasted than it was worth.

    The recent spectrum auction didn’t drive the stock much higher and there’s a quarterly report later this month but some analysts have a convincing argument that it won’t be that rosy.

    • John Doe

      There is a rule in the spectrum auction that the winners can’t discuss any mergers or anything like that until the end of April (That is what John said on Periscope when people were asking him to buy Dish) so MAYBE, just maybe T-Mobile is cooking something up in May with Dish and that might increase the stock price.

      • Arysyn

        I sure hope T-Mobile does buy Dish. After the excellent 600mhz spectrum auction results, a Dish purchase would make it where T-Mobile would be nearly identical in its competitive ability against AT&T.

      • Dylan Wentworth

        That could very well happen. Of course with Loyal3, by the time your stock was batch-traded, it’d go back down again.
        Might as well just use a fo-real brokerage.

  • Adampk17

    I moved my share to my eTrade account back in August. No fees at eTrade. Loyal3 didn’t make it very easy.

    • John Doe

      Did they charge you any fees for doing do?

      • Adampk17

        No

    • William C Bonner

      Were you able to do everythign required for the transfer via the on-line etrade interface? The details I got from Loyal3 either via logging in or their email didn’t seem to match up with the Etrade form values.. (The Etrade entries made more sense to me..)

      • Adampk17

        No, I had to call etrade to ask some questions. I had to download some forms, fill them out, and because they needed a signature, fax them in.

        • William C Bonner

          Thanks for that information.. I kept trying to get things started on-line, then putting it back on the to-do list.. At least now I know what I need to do.

  • John Doe

    I am a little confused by all those dates. Is August 1st the last day to sell the T-Mobile stock without getting charged any fees since FolioFirst won’t charge their monthly fee until August First?

  • TheCudder

    I’m transferring mine over to my CapitalOne Investing account.

  • David DiPilla

    selling it and buying it on robinhood where i dont have to pay any fees to have it and trade or sell it or what ever i want to do with it

    • gtg008p

      That’s exactly what I’m doing.

  • Adam

    Sell in May and go away.

  • Nobody Special

    i sold mine last year December ’16 :)

  • Lin Watchorn

    Selling the stock that is up. Holding the stock that is down. And hoping that Folio First ends up good.

    • Name

      For most stock, just use “Robinhood” since it’s free. For more expensive stock like Amazon and google, use “stockpile” since it allows fractional shares and only $1 per trade.

  • Alan Goldberg
  • Mark Bickford

    First, I’m very unhappy that TMONews forces us to log into Disqus now. Please bring back guest account posting!

    On-topic, the annoying thing is that the one-year anniversary is also the date that the capital gains tax rate kicks in, so it’s damned if you do, damned if you don’t.

  • gmo8492

    So you can keep your share in stockpile and pay no fees for it.

  • Carlos Luis Ayala

    I don’t have an account, if I make one can I transfer the stock online or do I have to submit forms like the the guy said about Etrade?

  • Name

    I just switched to “stockpile” and “robinhood”. Stockpile does fractional shares, so great if you buy more expensive shares like amazon and google. Charges $1 a trade. Robinhood is for everything else and free. No reason to go to FolioFirst.

    I’m sad to see loyal3 go. They should have been like “stockpile”…but was nothing going on.

  • Good

    I’m using Merrill Lynch now

  • mbrav

    What happens if you miss the deadline? Where does the money go?