Bad news. Now IB refuse wire transfer to new accounts

[murray t turtle]

What if you change/close accounts?

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BETTER do that after one gets the funds.
As others noted, the risk of theft is too great. Sounds like that policy is best/ due to the risk of a thief stealing 100%. That even looks strange to me + i'm no broker; send business money to a bank one never sent money out of, HUH??

 

[luisHK]

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That even looks strange to me + i'm no broker; send business money to a bank one never sent money out of, HUH??

Sounds alright to me, and it has been OK with IB at least until very recently, not sure how safe is their security system. I funded at least a couple of new bank accounts with funds wired out of IB btw. Know 1 person who did so only a couple of months ago, to an account in a different continent than where they live, no question asked from IB, which is their most usual behaviour ime. So not sure who is now facing the restriction.

 

[def]

LuisHK - not sure what you are getting at with "Know 1 person who did so only a couple of months ago, to an account in a different continent than where they live, no question asked from IB,"

For example, I live in HK and have no issues sending money to/from accounts of mine in other countries (or continents as you state). There is nothing unusual about that. Certain countries, entities and even people are higher risk than others and will demand extra scrutiny but I would think that is obvious. Some of the new logic is driven by our banks who also have their own AML responsibilities. For better or worse, not all jurisdictions/people are created equal when it comes to AML risk and thus some transfers require higher level review than others.

 

[luisHK]

LuisHK - not sure what you are getting at with "Know 1 person who did so only a couple of months ago, to an account in a different continent than where they live, no question asked from IB,"

For example, I live in HK and have no issues sending money to/from accounts of mine in other countries (or continents as you state). There is nothing unusual about that. Certain countries, entities and even people are higher risk than others and will demand extra scrutiny but I would think that is obvious. Some of the new logic is driven by our banks who also have their own AML responsibilities. For better or worse, not all jurisdictions/people are created equal when it comes to AML risk and thus some transfers require higher level review than others.

Just getting at "I haven´t noticed anything new in the way IB handles withdrawals, in year of experience with IB they have worked very well. Can´t say I ever faced much of issue wiring funds to a new account either"

From memory 2 or 3 times I had to phone IB to confirm the authorization of a wire out, it happened at least a couple of years ago so nothing new. IB didn´t contact me but by the next day the wire status was still showing Under Review, IB rep double checked my details over the phone than the system processed those wires. Can´t recall whether the destination account was a new one.

 

[thepalatinezoom4]

%%
BETTER do that after one gets the funds.
As others noted, the risk of theft is too great. Sounds like that policy is best/ due to the risk of a thief stealing 100%. That even looks strange to me + i'm no broker; send business money to a bank one never sent money out of, HUH??

Policy is stupid
If hacker want steal my account they just need send 1 cent to my account

Now, costumers need wait more 2 or 3 days to send a transfer

 

[legend4life]

One annoying thing is that if your broker sends your money to your bank account, the tax people can see it. And tax you. If they don't see it, they dont' know about the existance and you escape taxation.

The broker reports the gains for tax purposes anyway by law

 

[murray t turtle]

Policy is stupid
If hacker want steal my account they just need send 1 cent to my account

Now, costumers need wait more 2 or 3 days to send a transfer

%%
HMC has such a complicated radio replacement code /battery change /I yelled @ the customer serve rep ''dont make such a big deal on that its impossible''
BIG banks can have so many stupid regs/thats why I left BAC/but the restrictions noted here make sense.
Same way WITH raising margins on appreciating assets/or certain% down pay on REALTY.