Schwab Bank Interest

jms397

I get bank interest credited to my Schwab account, but when it gets downloaded into Quicken, it appears as a deposit instead of interest. Each month I have to go in and change it from a deposit to interest income. This has been going on for the last 3-4 years. I reported it to support a long time ago, but nothing has been done.

Quicken Jasmine

Hello @jms397,

When you say that you "reported to Quicken", do you mean you submitted a problem report? If that is the case, please remember that problem reports are used as a tool during a Quicken Support interaction. Submitting a Problem Report does not warrant a response from Quicken Support.

Due to the length of time of the issue that you have been experiencing, we recommend contacting Quicken Support directly for further assistance as an escalation may be in order.

The Quicken Support phone number can be found through this link here. Phone support is available from 5:00 a.m. PT to 5:00 p.m. PT, Monday through Friday.

Thank you. 

jms397

I have contacted Quicken support about it twice including today.

mshiggins

I recall one of the super users ( @Tom Young ?) mentioning that Schwab has downloaded interest as deposits for many many years, despite repeated user protests. Rather than calling Quicken support, perhaps you should contact Schwab.

Tom Young

@mshiggins

Here's how the interest deposit is shown on Schwab's site on an account's history page:

and here's the download into Quicken:

I believe this has always been the presentation ever since Schwab switched their sweep feature from a Schwab Brokerage MM fund over to deposits in Schwab Bank, a change that occurred back when Schwab was still using the DC downloading method.

From the point of view of the brokerage operations this is a "deposit" as it came over the wall that separates the brokerage from the bank, but the interest income is reported on the broker's year end Form 1099s, not the bank's Form 1099s, a somewhat inconsistent presentation.

It might very well be that Schwab instructed Intuit to continue to this pattern of reporting with the change to EWC+, though as a practical matter having it come into Quicken using an IntInc action would provide a small benefit to Quicken users - no need to edit what gets downloaded - and wouldn't require Schwab to change their 1099 reporting.

It's not clear which party needs to be convinced here to make a change.

jms397

Thanks for the comments. I think it's been 4-5 years since they made the change to this bank account instead of the sweep money market fund. Annoying on a number of levels. I like my Quicken reporting to match the 1099's that Schwab sends me which is why I find it an issue.

Tom Young

@jms397

I am puzzled by your last sentence. I have always found that interest earned on cash in Schwab Bank - interest that stays in the bank account - is reported on the Bank's 1099, and bank interest earned on cash in the brokerage accounts is reported on the Brokerage's 1099. Do you see something different?

In a way, calling this a "sweep" feature seems to be a bit of a misnomer as there's no visible "sweep" action employed here. That is, cash in the brokerage account simply sits in the brokerage account, earning bank interest, with no visible movement of the cash back and forth between the brokerage and the bank.

mshiggins

What now? How would one know if their interest is from Schwab bank or Schwab brokerage?

Tom Young

Downloads from Schwab bank accounts into Quicken Accounts set up as "Checking" or "Savings" show month end interest entries:

and the sum of those interest entries show up, properly, on 1099s issued by Schwab Bank.

Downloads from Schwab brokerage accounts into Quicken Accounts set up as one of the "Investment" types download into those Accounts as I've shown in my first above, and the sum of those interest entries show up properly on 1099s issued by the Schwab Brokerage firm.

In Quicken the Financial Institution for all Schwab accounts is simply "Charles Schwab & Co., Inc."

There's really no difficulty tracking this that I've ever encountered and the core subject of this thread is that a Quicken user has to do some extra work with Investment Accounts to properly Categorize the download. You can either add an interest income Category to the download, or edit the download to use an IntInc action for a "security" called "Schwab Bank" or something.

jms397

Interesting idea. I will look into it. Thanks.