There can be similar problems with your traditional local bank . . .
A couple weeks ago I got notices that four of our IRA CDs were maturing 9/24. When I went to look at our
portfolio 
in my word processor, probably around 9/18, I saw that two IRA CDs had matured 9/14, that we had not received notices for, and that had renewed at 2% lower than the previous ones.
At that point, there was little hope of doing something about them . . . opening new ones elsewhere, getting the apps completed and getting the funds transfer in the ten-day grace period.
I researched the problem on the Internet and found that it is common when transferring IRA CDs. The 10-day grace period is not quite enough to accomodate application, account approval and transfer to a new institution.
Five phone calls and two emails to our local bank did not solve the problem. They refused my request to hold the funds in cash. They would either renew them or redeem them, which would be reported as a
distribution, rather than a trustee-to-trustee
transfer.
So, we had a face-to-face during which we compromised to leave the CDs there for a few tenths of a percentage point higher than their renewal rate.
We pointed out that we like banking there, and the people there, but when they cut our earnings 2 percentage points they did not cut theirs (on a loan) from the times of higher interest rates.
Linear Mode
