Free of Payment (FOP) Transfers

概観: 

Free of Payment (FOP) is term used by IB to refer to a process of transferring long US securities between IB and another financial institution (e.g. bank, broker or transfer agent) through the Depository Trust Company (DTC).

The FOP transfer method is often used when:

1. The delivering form is not a DTC ACAT (Automated Customer Account Transfer) Participant.

2. The customer would like to expedite the delivery of their securities.   The processing time frame for securities transferred via FOP may, in certain instances, be less than that associated with an ACATS transfer.

The following steps are to be followed in order to create a FOP notice:

1. Log into Account Management.

2. Select Funding or Funds Management and then Position Transfers.

3. From the drop-down list, select the Transfer Method: Free of Payment.

4. Select the applicable transaction Type: Deposit or Withdraw.

5. In the case of a FOP Withdrawal, the steps are as follows:

    - Select the Destination to whom the securities are being transferred.

    - Enter your account number of the Third Party Broker Acount Information.

    - Specify the security (Stock, Warrants or US Bonds).

    - Enter the Symbol, Shares and the Exchange (optional) and click Add.

    - Provide your electronic signature authorizing the transfer request and clicking on the Continue button.

    - Verify your identity by entering your password and clicking on the Confirm Request button;

    - If your account is enrolled in the Secure Transaction Program (STP), the processing of your request   will take place once you enter your confirmation code and click on the Confirm Request button.  If not STP enrolled, your request will be subject to security verification, requiring that you contact our Customer Service Center to validate your identity and request.

6. In the case of a FOP Deposit, the steps are as follows:

    - Select the Source to whom the securities are being transferred.

    - Enter your account number of the Third Party Broker Acount Information.

    - Specify the security (Stocks, Warrants or US Bonds).

    - Enter the Symbol, Shares and the Exchange (optional) and click Add.

    - Provide your electronic signature authorizing the transfer request and clicking on the Continue button.

    - A printable version of the FOP request is made available should your transferring firm require an authorization form.

7. Transfer requests are typically completed within five business days.

 
IMPORTANT NOTE:

While IB does not assess a fee to process FOP transfers, other firms may and we therefore recommend that you confirm with the contra-firm their policies in this regard prior to submitting a request.  In the event a contra-firm does charge a fee to IB, the fee will be passed to the IB account holder.

 

Glossary terms: 

Feedback

Please provide feedback on this information

Please note that while we read and take into consideration all feedback, we are not able to respond directly to comments or questions submitted through this forum. Should you have an inquiry or require assistance, please contact Customer Service.