Just Received Papers From The Sending Institution For The 2 Roth IRA CD Transfers Mailed Monday--

  |     |   2,891 posts since 2010

With the papers written on the check stub is the added information----

"A stop payment cannot be placed on this check for 90 days after the issue date unless the physical check is present at the time of request." 

In the past, after a stop payment was made on a cashier check it would take another 30 days after a 

stop payment was placed before a new check would be issued. 


This is the 4th day and the receiving institution still has not received the check, though the receiving 

institution has received mail from me mailed from the same city as the sending institution the next day. The sending institution is 1 block from the post office. I could have picked the check up and over-nighted both IRA's and the receiving institution would have had the check Tuesday had the law not changed. 

I wonder how many late or lost checks there will have to be before Congress will pass laws that

would make it easier, faster, and safer so we can, if we want, make the rollovers ourselves and follow

the progress of the check to its destination on the computer. 

  |     |   2,891 posts since 2010
This transfer took 9 days to get completed. I should state that the check took 9 days to get to the receiving credit union. I just received an email from the sending institution and they will make out the IRA checks to the receiving institution as an IRA for the benefit of me and I can pick the next 2 up myself and overnight it and it will be considered a transfer. I have 2 more IRA maturing in April.  So some things are not changing. This is what I did in the past. I spoke to the receiving institution Sat and they said when the IRA's mature they will overnight them for $13. So those with maturing IRA's may want to speak with their institution to see if they will overnight or if the checks are close to where you live pick it up with the check made out to the receiving institution, or if out of state have the check mailed to you so you can overnight it yourself if they will not. 9 days is not acceptable. 
  |     |   2,891 posts since 2010
Spoke to IRS yesterday. Anytime you pick up a check now it is considered a rollover even if the check is made out to the new institution. So the bank or credit union has to overnight the check themselves. The credit union that has this IRA CD is WRONG. 
  |     |   783 posts since 2010
Agree - Congress needs to make transfers much easier. Of course, the IRS made it much harder by allowing only one 60-day rollover for all your IRA accounts in a 12-month period. Don't use the courts as an excuse for this ridiculous rule.
  |     |   2,891 posts since 2010
Lou the Bankrate article said it was the TAX COURT that made the rule. http://www.bankrate.com/finance/retirement/new-ira-rules-close-up-loopholes.aspx
  |     |   113 posts since 2013
This is an issue I have with the new rollover regulations that I mentioned in this forum in the past. Last year I attempted a bank to bank transfer of an ira cd. After 3 weeks the receiving bank still had not received the check and indicated they may not be able to hold the special rate. I went into my local Bank of America branch which was suppose to transfer the funds to the new bank and they indicated to me they had 6-8 weeks to make the transfer. I told them to cancel that request and give me a check. Fortunatly I had not already done a rollover so was able to do this but then was hand cuffed for 12 months from doing it again. 
I asked my accountant last week and he did not know for sure but thinks each bank has their own policy. Does any one know if there is a time limit when banks have to make the transfer? If they do not want to give up the funds whats to stop them from saying they did not receive the request and with the individual out of the loop then we do not know which bank to blame or the mail for dropping the ball.

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