IRA Funds Low Interest Rate Lawsuit: See If You Eligible
Did you receive the IRA Funds Low Interest Rate Lawsuit email? It is not a scam. You received the mail because you filed a claim.
Who Is Eligible For The IRA Funds Low Interest Rate Lawsuit
Did you have cash in your IRA account that was swept into a deposit account? You may qualify to participate in a class action, especially if your account is at:
- Merrill Edge, i.e., the online brokerage product of Merrill Lynch, Pierce, Fenner & Smith Inc.
- E*Trade
- Wells Fargo
- JPMorgan Chase
When you’ve got some cash chilling in your IRA account, most brokerage firms have this habit of sweeping it into an FDIC-insured deposit account. But there’s a catch.
They tend to pick their buddy bank, an affiliated one, as the lucky receiver of your swept cash. For instance, Merrill Lynch sweeps it over to Bank of America, N.A., which is like their cousin company. But here’s where it gets a bit tricky – the interest rate you get on that cash is not exactly making you rich. Right now, Merrill Edge customers are getting a whopping 0.01% interest.
How Much Is The Settlement
There is no settlement amount available right now.
Having an Individual Retirement Account (IRA) often means you’re automatically part of a “sweep program.” This program usually takes the cash you have and sweeps it into an FDIC-insured account at a bank closely connected to your brokerage firm.
Now, this setup can get a bit tricky due to a conflict of interest. To tackle this, federal laws and contracts often require these affiliated banks to pay a “reasonable” interest rate on the swept cash. But, here’s where the plot thickens – these laws specifically apply to IRAs.
Right now, there’s a class action lawsuit simmering in federal court that claims Merrill Lynch’s IRAs aren’t paying out reasonable interest rates. The Investigations are also sniffing around the possibility of similar class actions against other firms.
How To File A Claim
If you are eligible, fill out a valid claim form.
Click here to fill out one.
Conclusion
IRA Funds Low Interest Rate Lawsuit is not a scam. Just like Frontier Mt Caroll Mutual Insurance Settlement, Having an Individual Retirement Account (IRA) often means you’re automatically part of a “sweep program.” This program usually takes the cash you have and sweeps it into an FDIC-insured account at a bank closely connected to your brokerage firm.
