optionsXpress » Stocks, Options & Futures

It is always a good idea to review the account transfer process before submitting the request. Please feel free to talk to a customer service representative to help ensure that there are no known problems with a request. Some of the most important steps to consider are:

• For margin debits, confirm that the account meets our minimum requirements
• Confirm that we can hold any mutual funds you would like to transfer
• Ensure registrations match or that required supporting documentation is included
• Avoid trading during the transfer process as it may stop or delay the process. To avoid potential problems, many firms freeze an account while a transfer is in process.

When transferring between unlike account registrations it is best to check to see what documentation the delivering firm may require. Below is a listing of what can sometimes be used to transfer assets between unlike account registrations; however, please note that these are dependent on the delivering firm’s requirements. The list below is not exhaustive—please contact us for more detailed information if you are transferring account types not listed.

From an Individual to Joint account

This type of account transfer requires all account holders to sign a Letter of Authorization (LOA) and an account transfer form.

From a Joint to Individual account

This type of account transfer requires all account holders to sign a Letter of Authorization (LOA) and an account transfer form. In addition, the account holder that is giving up account ownership must provide a Medallion Guarantee for his or her signature.

From an Individual to Trust account

This type of account transfer requires all account holders and trustees to sign a Letter of Authorization (LOA) and an account transfer form.

From a Trust to Individual or Joint account

This type of account transfer is only acceptable when the trustee(s) named are identical to the individual or joint account. This type of account transfer requires all account holders to sign a Letter of Authorization (LOA) and an account transfer form.

Below is a list of unacceptable retail account transfers:

• Individual/joint to Corporation or Partnership
• Corporation or Partnership to individual/joint account
• Partnership to Corporation or vice versa

• Any mutual fund holdings should be confirmed with a customer service representative prior to submitting your request as there may be some mutual funds that we cannot hold
• Securities sold exclusively by the prior firm (proprietary funds), including any money market funds
• Limited partnerships
• Annuities
• CDs
• Bankrupt securities or securities under reorganization

If an account includes any non-transferable securities, it may delay the transfer. If submitting an ACAT transfer, the prior firm is required to transfer all acceptable securities or assets through the ACAT system and verify with you how to handle the remaining assets. You generally have two choices:

1. Sell the non-transferable securities or assets and transfer cash
2. Leave the securities with the prior firm.

It is an industry-wide practice to request a copy of the most recent statement from the delivering firm to help control transfer problems and protect our customers from incorrect movement of assets. The statement needs to include all of the following pre-printed information (hand written comments will be rejected):

• The name and registration on the account
• The account number
• The firm where the account is held
• The most current listing of the account’s assets

This statement should not be more than three (3) months old. If you do not have a current statement, you may request a duplicate copy from the delivering firm or provide any document(s) that combine all the above information as this may potentially be used to meet the requirement.

In the case of a Depository Trust Company (DTC) transfer, instructions are accepted via fax or e-mail except in the case of a charitable donation where the account titles do not match. In such cases a signed Letter of Authorization (LOA) is required including all of the information below. The LOA can be mailed or faxed. Once the information below is received, the DTC process takes approximately three (3) business days.

To initiate a DTC transfer into optionsXpress

You will need to contact the delivering firm first and give them instructions as to where to send the assets. They will likely ask for the following:

• Account title at receiving firm (the name on your account at optionsXpress)
• Name of firm (optionsXpress) and DTC number (0338)
• optionsXpress account number (your account number with us)
• Name of security and Symbol/CUSIP to be delivered
• Number of shares

Once you have submitted your instructions to the delivering firm, please also provide the following information via email to optionsXpress:

• Account title at delivering firm
• optionsXpress account number
• Delivering firm name and DTC number
• Name of security and Symbol/CUSIP to be received
• Number of shares

To initiate a DTC account transfer from optionsXpress to another firm

Please fax or email the following information:

• optionsXpress account name and number
• Account title at receiving firm
• Account number of recipient
• Receiving firm name and DTC number
• A contact name and number at the receiving firm
• Name of security and Symbol/CUSIP to be received
• Number of shares

The Direct Registration System (DRS) provides for electronic direct registration of securities in an investor’s name on the books for the transfer agent or issuer, and allows shares to be transferred between a transfer agent and broker electronically.

To initiate a DRS transfer, you will need to provide us with the following information via fax or e-mail:

• Account title at receiving firm (the name on your account at optionsXpress)
• optionsXpress account number (your account number with us)
• The account number of your DRS account, which can be found on the DRS account statement sent to you by the transfer agent or company whose shares you own
• The security name and ticker Symbol/CUSIP to be delivered to your optionsXpress account
• The complete registration and Social Security number(s) (SSN) or Tax Identification Number (TIN) of your DRS account. This is necessary only if it is not exactly the same as your account at optionsxpress. For example, we would need to know if the names on a joint account were in different order.
• The number of whole shares you wish to transfer
• This documentation should be signed and dated by all account holders
• And, for verification purposes, please send a copy of your latest statement for the account holding the shares

Once the information above is received, the DRS process will take approximately 3–5 business days.

Please note:

Only shares labeled “DRS shares,” “Direct Registration shares,” “book entry” or a similar label can be transferred via DRS. Shares labeled “Dividend Reinvestment,” “DRIP,” or “Restricted” generally cannot be transferred via DRS. You will need to contact the agent or company to find out if any of those shares are eligible to be moved into the DRS account. “Certificated” shares are shares for which you have an actual certificate in your possession and this method of transferring would not apply to those.

Fractional shares cannot be delivered via DRS. If your remaining account balance is less than a full share, you may need to contact the transfer agent or company and ask for the fraction to be liquidated and the cash proceeds mailed to you. Often, that will be done for you automatically.

Please be aware that many transfer agents charge a reject fee if provided information that does not correctly and exactly match their records. Important: If you have provided us with incorrect information, these fees may be passed along to you.