Is this legal? Ameritrade is on crack

[novon]

Just got this in the email, can they just take it out on the customer like this?


Dear Valued Client,

Ameritrade strives to offer you exceptional value.
However, some service requests and account activities
require special handling. Rather than passing on
these costs through higher commissions, we'll be
implementing the following fees beginning May 1,
2002:

Voluntary Re-organization Fee $30
Mandatory Re-organization Fee $20
Close-out Fee $25
Outbound Wire Fee $20
Late Payment Flat Fee* $10

If you have any questions, e-mail a Client Services
representative at clientservices@ameritrade.com, or
call 800-669-3900 24 hours a day, seven days a week
(excluding market holidays).

 

[SociallyChallenged]

I dont know...

 

[fr]

What?

 

[Gonad the Barbarian]

<< Rather than passing on
these costs through higher commissions, we'll be
implementing the following fees beginning May 1,
2002: >>



I got a real kick out of this part. That's basically saying instead of anal raping you they are skull fscking you instead.

 

[ttn1]

Sounds nice.

Instead of making the people who do more complex transactions pay more, we're
just going to charge everybody more.

Like a car salesman saying, I know you bought the Kia, but I have to charge for the Lexus.
I hope that's OK.

 

[Pliablemoose]

Translation: "We've been it hard by the dot com crash & after 9-11 & the downturn in the economy (the correction everyone knew was coming, but chose to ignore), and in order to raise a few million $ to meet payrolls and meet our inaccurate earnings guidance, we're going to charge you this completely arbitrary fee for having the bad luck to choose Ameritrade."

"Since our balance sheet is a complete work of fiction, we may be closing in the near future, you may wish to consider using another brokerage."

[Sarcasm mode off]

 

[dirtboy]

I wonder how often they'll be reorganizing!

 

[911paramedic]

When are companies going to figure out that this business model does not work:

Piss poor financial structure = stick it to the customer

WTF are idiots like this thinking? Oh, wait, they are managers so they don't think.

 

[telstar1]

Basically you should have a period of time between when your initial terms are valid, and when these new terms are enacted.
Within that time, you should be able to cancel your account under whatever terms your signed up for initially without paying the new fees.
I'd recommend you find your original contract, find out how much a cancellation fee would cost you, and decide whether you want to stay with them or not.

Telstar

 

[gotsmack]

I almost used their services when I was looking for a brokerage. Good thing I was lazy and chose tdwaterhouse because that's when my parents use.

kinda regret I didn't choose datek though

 

[Spooner]

a "voluntary" fee?

Now that's just plain humorous.