Author Topic: STRATA Public Unsecured Notes balance not equal LC balance  (Read 2193 times)

lascott

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STRATA Public Unsecured Notes balance not equal LC balance
« on: April 24, 2019, 06:58:58 PM »
My son has sold all his LC notes.  All the money was transferred to STRATA with the transfer transactions matching between LC and STRATA.

However, his STRATA account shows over $40 for a balance in 'Unsecured Notes balance' still.  Has anyone else seen that?

We emailed both STRATA and LC about it but have not heard back.
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lascott

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Re: STRATA Public Unsecured Notes balance not equal LC balance
« Reply #1 on: April 24, 2019, 07:42:14 PM »
My son has sold all his LC notes.  All the money was transferred to STRATA with the transfer transactions matching between LC and STRATA.

However, his STRATA account shows over $40 for a balance in 'Unsecured Notes balance' still.  Has anyone else seen that?

We emailed both STRATA and LC about it but have not heard back.
Here is what LC said:

Quote
Thank you for reaching out! STRATA Trust Company does not have the same breakdown of Notes as we do, and everything will show on their end as a debt instrument. This means that there is no distinction between funds that have been 'Charged Off' and funds that have not, so it is possible to have a different balance show on their statement.
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Fred93

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Re: STRATA Public Unsecured Notes balance not equal LC balance
« Reply #2 on: April 24, 2019, 09:55:37 PM »
That's a really weak response. 

The notion that it's ok if the numbers don't match can hide so many sins of many different kinds.

Fundamental principle of accounting -- you gotta make the numbers match.

lascott

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Re: STRATA Public Unsecured Notes balance not equal LC balance
« Reply #3 on: April 25, 2019, 12:43:16 AM »
That's a really weak response. 

The notion that it's ok if the numbers don't match can hide so many sins of many different kinds.

Fundamental principle of accounting -- you gotta make the numbers match.
100% agree.  I was actually afraid that STRATA won't let us close the account with a balance and will want to charge the $100 IRA annual fee again.
Will need to get the transfer form in for all the cash to go to Vanguard.
Tools I use: (main) BlueVestment: https://www.bluevestment.com/app/pricing + https://www.interestradar.com/ , (others) Lending Robot referral link: https://www.lendingrobot.com/ref/scott473/  & Peercube referral code: DFVA9Y

Fred93

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Re: STRATA Public Unsecured Notes balance not equal LC balance
« Reply #4 on: April 25, 2019, 10:39:35 PM »
100% agree.  I was actually afraid that STRATA won't let us close the account with a balance and will want to charge the $100 IRA annual fee again.
Will need to get the transfer form in for all the cash to go to Vanguard.

But my interpretation of your relay of LC's support guy comments ... says that the money that STRATA thinks is there doesn't actually exist.  ...oh... I suppose STRATA could refuse to close the account based on $40 that doesn't exist.  That would be really funny.

lascott

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Re: STRATA Public Unsecured Notes balance not equal LC balance
« Reply #5 on: April 26, 2019, 12:26:12 PM »
100% agree.  I was actually afraid that STRATA won't let us close the account with a balance and will want to charge the $100 IRA annual fee again.
Will need to get the transfer form in for all the cash to go to Vanguard.

But my interpretation of your relay of LC's support guy comments ... says that the money that STRATA thinks is there doesn't actually exist.  ...oh... I suppose STRATA could refuse to close the account based on $40 that doesn't exist.  That would be really funny.
Ha, not funny to me if it goes past the annual date and they want to charge us $100 account fee!

The LC lenderAccountDetail.action screen shows: Charged Off* (32) $527.64
The STRATA display shows: Public Unsecured Notes $42.67

So very different.  I don't care at this point and we just want my son's account closed.
Tools I use: (main) BlueVestment: https://www.bluevestment.com/app/pricing + https://www.interestradar.com/ , (others) Lending Robot referral link: https://www.lendingrobot.com/ref/scott473/  & Peercube referral code: DFVA9Y

Ryutaro Hashimoto

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Re: STRATA Public Unsecured Notes balance not equal LC balance
« Reply #6 on: May 04, 2019, 12:30:55 PM »
100% agree.  I was actually afraid that STRATA won't let us close the account with a balance and will want to charge the $100 IRA annual fee again.
Will need to get the transfer form in for all the cash to go to Vanguard.

But my interpretation of your relay of LC's support guy comments ... says that the money that STRATA thinks is there doesn't actually exist.  ...oh... I suppose STRATA could refuse to close the account based on $40 that doesn't exist.  That would be really funny.
Ha, not funny to me if it goes past the annual date and they want to charge us $100 account fee!

The LC lenderAccountDetail.action screen shows: Charged Off* (32) $527.64
The STRATA display shows: Public Unsecured Notes $42.67

So very different.  I don't care at this point and we just want my son's account closed.

I thought STRATA's balance updates quarterly. Did you request to close the account? You should be fine as far as your Lending Club account value is $0. You can keep your Lending Club account open until you receive all recoveries. Lending Club will mail you a check when you request an account closure.

lascott

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Re: STRATA Public Unsecured Notes balance not equal LC balance
« Reply #7 on: May 05, 2019, 12:13:11 PM »
100% agree.  I was actually afraid that STRATA won't let us close the account with a balance and will want to charge the $100 IRA annual fee again.
Will need to get the transfer form in for all the cash to go to Vanguard.

But my interpretation of your relay of LC's support guy comments ... says that the money that STRATA thinks is there doesn't actually exist.  ...oh... I suppose STRATA could refuse to close the account based on $40 that doesn't exist.  That would be really funny.
Ha, not funny to me if it goes past the annual date and they want to charge us $100 account fee!

The LC lenderAccountDetail.action screen shows: Charged Off* (32) $527.64
The STRATA display shows: Public Unsecured Notes $42.67

So very different.  I don't care at this point and we just want my son's account closed.

I thought STRATA's balance updates quarterly. Did you request to close the account? You should be fine as far as your Lending Club account value is $0. You can keep your Lending Club account open until you receive all recoveries. Lending Club will mail you a check when you request an account closure.
Yes, we sent in the form to close the LC and STRATA accounts. You have to send the form to LC and they initiate it AFAIK.

When you request the closing of the LC account there seems to be a place to forfeit all the recoveries (attached picture). This account is so small and is a ROTH so we don't need any complications anyway.

Tools I use: (main) BlueVestment: https://www.bluevestment.com/app/pricing + https://www.interestradar.com/ , (others) Lending Robot referral link: https://www.lendingrobot.com/ref/scott473/  & Peercube referral code: DFVA9Y

Ryutaro Hashimoto

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Re: STRATA Public Unsecured Notes balance not equal LC balance
« Reply #8 on: May 05, 2019, 12:30:58 PM »
100% agree.  I was actually afraid that STRATA won't let us close the account with a balance and will want to charge the $100 IRA annual fee again.
Will need to get the transfer form in for all the cash to go to Vanguard.

But my interpretation of your relay of LC's support guy comments ... says that the money that STRATA thinks is there doesn't actually exist.  ...oh... I suppose STRATA could refuse to close the account based on $40 that doesn't exist.  That would be really funny.
Ha, not funny to me if it goes past the annual date and they want to charge us $100 account fee!

The LC lenderAccountDetail.action screen shows: Charged Off* (32) $527.64
The STRATA display shows: Public Unsecured Notes $42.67

So very different.  I don't care at this point and we just want my son's account closed.

I thought STRATA's balance updates quarterly. Did you request to close the account? You should be fine as far as your Lending Club account value is $0. You can keep your Lending Club account open until you receive all recoveries. Lending Club will mail you a check when you request an account closure.
Yes, we sent in the form to close the LC and STRATA accounts. You have to send the form to LC and they initiate it AFAIK.

When you request the closing of the LC account there seems to be a place to forfeit all the recoveries (attached picture). This account is so small and is a ROTH so we don't need any complications anyway.

Gotcha. For those who are thinking to do same, I suggest to close only STRATA IRA. Keep LC IRA open and let LC voluntary close it (they will close after a few months if there is no activities). This way, you don't need to forfeit all the recoveries. They will mail you any future proceeds from settlement.
« Last Edit: May 05, 2019, 12:49:12 PM by Ryutaro Hashimoto »

lascott

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Re: STRATA Public Unsecured Notes balance not equal LC balance
« Reply #9 on: May 11, 2019, 09:40:18 AM »
My son has sold all his LC notes.  All the money was transferred to STRATA with the transfer transactions matching between LC and STRATA.

However, his STRATA account shows over $40 for a balance in 'Unsecured Notes balance' still.  Has anyone else seen that?

We emailed both STRATA and LC about it but have not heard back.
Here is what LC said:

Quote
Thank you for reaching out! STRATA Trust Company does not have the same breakdown of Notes as we do, and everything will show on their end as a debt instrument. This means that there is no distinction between funds that have been 'Charged Off' and funds that have not, so it is possible to have a different balance show on their statement.

They cleaned it up yesterday with this entry.  Not sure if the cleanup is one of the steps when closing the account (via LC form).

Tools I use: (main) BlueVestment: https://www.bluevestment.com/app/pricing + https://www.interestradar.com/ , (others) Lending Robot referral link: https://www.lendingrobot.com/ref/scott473/  & Peercube referral code: DFVA9Y

lender90530

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Re: STRATA Public Unsecured Notes balance not equal LC balance
« Reply #10 on: May 12, 2019, 01:46:01 PM »
Do you know if strata charges a fee to close the ira account?

Ryutaro Hashimoto

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Re: STRATA Public Unsecured Notes balance not equal LC balance
« Reply #11 on: May 18, 2019, 09:55:46 AM »
Do you know if strata charges a fee to close the ira account?

$150 Account Termination Fee