Author Topic: ABSA stockbrokers becoming more expensive  (Read 556 times)

willemm

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Re: ABSA stockbrokers becoming more expensive
« Reply #15 on: April 21, 2018, 10:19:34 am »
Talking about the standard account.  As you say the TFSA is  free to move.

For those that are interested is R171 per counter - going up to R200 in May.

Hi, can you please clarify if moving a TFSA is free? My TFSA is currently with absa as well and I'll definitely be moving to EasyE, but can only do so next month (May)

I'm really upset with absa still over their new fee's and for me to pay R200 per ETF (i'm still a student) is ridiculous .
The only thing they said on twitter to me was ''were sorry to see you go'' , yeah whatever. I opened my TFSA with EE this week, waiting for my docs to be ficad.

I feel your pain. Same boat with my wife's and daughter's TFSA. The buggers. Busy moving to EE also.

I think Patrick mentioned a R172,50 cost to transfer per ETF holding. So hopefully you just own one type of ETF :)

Probably best to phone them and get the details for confirmation.

Duan

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Re: ABSA stockbrokers becoming more expensive
« Reply #16 on: April 21, 2018, 10:51:01 am »
Talking about the standard account.  As you say the TFSA is  free to move.

For those that are interested is R171 per counter - going up to R200 in May.

Hi, can you please clarify if moving a TFSA is free? My TFSA is currently with absa as well and I'll definitely be moving to EasyE, but can only do so next month (May)

I'm really upset with absa still over their new fee's and for me to pay R200 per ETF (i'm still a student) is ridiculous .
The only thing they said on twitter to me was ''were sorry to see you go'' , yeah whatever. I opened my TFSA with EE this week, waiting for my docs to be ficad.

I feel your pain. Same boat with my wife's and daughter's TFSA. The buggers. Busy moving to EE also.

I think Patrick mentioned a R172,50 cost to transfer per ETF holding. So hopefully you just own one type of ETF :)

Probably best to phone them and get the details for confirmation.

See that's the problem, I currently have 4 ETF's (part of my diversification strategy)  , can't wait to get process over and done with.

I will definitely phone them but is there any costs involved from EE side as well?
« Last Edit: April 21, 2018, 04:28:43 pm by Duan »

Hamster

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Re: ABSA stockbrokers becoming more expensive
« Reply #17 on: April 22, 2018, 08:43:45 am »
Talking about the standard account.  As you say the TFSA is  free to move.

For those that are interested is R171 per counter - going up to R200 in May.

Hi, can you please clarify if moving a TFSA is free? My TFSA is currently with absa as well and I'll definitely be moving to EasyE, but can only do so next month (May)

I'm really upset with absa still over their new fee's and for me to pay R200 per ETF (i'm still a student) is ridiculous .
The only thing they said on twitter to me was ''were sorry to see you go'' , yeah whatever. I opened my TFSA with EE this week, waiting for my docs to be ficad.

A couple of guys moved from FNB to EE and it was free. The only cost that might be involved is if they do not transfer the shares between the platforms and require you to sell it and move the money (transaction fees).

Duan

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Re: ABSA stockbrokers becoming more expensive
« Reply #18 on: April 22, 2018, 04:12:34 pm »
Talking about the standard account.  As you say the TFSA is  free to move.

For those that are interested is R171 per counter - going up to R200 in May.

Hi, can you please clarify if moving a TFSA is free? My TFSA is currently with absa as well and I'll definitely be moving to EasyE, but can only do so next month (May)

I'm really upset with absa still over their new fee's and for me to pay R200 per ETF (i'm still a student) is ridiculous .
The only thing they said on twitter to me was ''were sorry to see you go'' , yeah whatever. I opened my TFSA with EE this week, waiting for my docs to be ficad.

A couple of guys moved from FNB to EE and it was free. The only cost that might be involved is if they do not transfer the shares between the platforms and require you to sell it and move the money (transaction fees).

That would be a huge problem, that means that I would lose all my contribution limits? Meaning I would have to sell, transfer the money out of the TFSA in to my bank account and then into EE.

I personally think its just absa that wants to be typical and charge a person R173 per ETF, if FNB can do free transfers why can't absa?

But i'll just make sure of everything before I start this process, also if they charge R173 per ETF , I want to pay them directly with a EFT, they can't sell units or use my cash component in my TFSA in order to cover costs because that means I will lose contribution limits as well.

gcr

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Re: ABSA stockbrokers becoming more expensive
« Reply #19 on: April 22, 2018, 11:21:51 pm »
On March 3, 2018 Martin Hesse wrote an article for IOL's Personal Finance section on the ability to move TFSA's from one provider to another and it is apparent that there are no transfer fees to be levied and the issue around selling ETF and then moving the cash is covered.
Suggest you read the article and any others before making any decision to move from one provider to another
Not everything that counts, can be counted, and, not everything that can be counted counts - Albert Einstein

Hamster

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Re: ABSA stockbrokers becoming more expensive
« Reply #20 on: April 23, 2018, 06:21:58 am »
That would be a huge problem, that means that I would lose all my contribution limits? Meaning I would have to sell, transfer the money out of the TFSA in to my bank account and then into EE.

No man, they/you sell the ETFs within and transfer the cash from one TFSA/BDA to another. You don't cash out to a bank account.

Cash is the common currency/denominator between all the TFSAs. Example, if I had a unit trust TFSA from FNB and wanted to move it to EE which only uses ETFs there will be no other way other than to sell the unit trust and use the cash to buy ETFs - you cannot transfer the unit trusts. I don't know what would happen if you transfer ETFs from one provider to another though, maybe you can do a normal securities transfer or treasury took the one-solution-fits-all approach and you transfer cash.

Either way, you are transferring your TFSA between providers, regardless of what is in it, so no contribution limits will be affected.

Duan

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Re: ABSA stockbrokers becoming more expensive
« Reply #21 on: April 23, 2018, 10:40:18 am »
That would be a huge problem, that means that I would lose all my contribution limits? Meaning I would have to sell, transfer the money out of the TFSA in to my bank account and then into EE.

No man, they/you sell the ETFs within and transfer the cash from one TFSA/BDA to another. You don't cash out to a bank account.

Cash is the common currency/denominator between all the TFSAs. Example, if I had a unit trust TFSA from FNB and wanted to move it to EE which only uses ETFs there will be no other way other than to sell the unit trust and use the cash to buy ETFs - you cannot transfer the unit trusts. I don't know what would happen if you transfer ETFs from one provider to another though, maybe you can do a normal securities transfer or treasury took the one-solution-fits-all approach and you transfer cash.

Either way, you are transferring your TFSA between providers, regardless of what is in it, so no contribution limits will be affected.

Ahh I see, Sorry i didn't quite understand the whole process on how they do it. Thank you for the clarification.