How long can RCG hold on to my money?

Discussion in 'Retail Brokers' started by heech, Sep 1, 2009.

  1. heech


    I know there are folks who have had positive experiences with RCG. I'm unfortunately on the extreme, extreme other end of the spectrum.

    I've talked in the past about the horrible experiences I've had with RCG risk management, and RCG application-support/ehelp. Now I have a new reason to be disgusted with RCG as a clearing firm...

    I moved all of my funds over to Vision during the middle part of August (7-digit account).

    First of all, it was NEVER explained to me that there were monthly platform fees (for Pats) in addition to the very high transaction fees I was already paying at RCG. I did around 600 round-trips in July/August at $11.50 a contract (after fees), and the implicit message was everything would be covered.

    It was literally only when they were processing the wire out, that they unilaterally informed Vision they were with-holding $2k for fees. But frankly, since these platform fees are piddling pocket change anyways ($100 for Pats in July)... whatever, I'll get over it. But just get it DONE, get out of my life.

    And yet, 2 weeks after transferring out my account... RCG is still holding on to $2k of my funds as a deposit for possible platform fees. My original RCG broker says he has no idea why they're doing this.

    I have to wonder about the legality of this. How long can RCG hold on to my funds, after I explicitly requested a transfer?