In-kind transfers from Betterment to another provider can only be executed via the ACATS system. However, ACATS transfers may not be supported in all cases. If you are attempting to transfer funds to a new provider, but they are unable to fulfill your ACATS request or ACATS is otherwise unavailable, please see the instructions below depending on the account type you are transferring out.
Betterment Securities charges a flat fee of $75 for each investing account transfer to another company (outbound transfer).
Transferring your Betterment taxable account (non-IRA) to a taxable account (non-IRA) at another provider
For taxable (non-IRA) account in-kind transfers that are not ACATs eligible, we use the DTC method, which can only process full, in-kind transfers. This means we can only process transfer paperwork requesting the transfer of all shares in your taxable account directly to another institution. Please note, however, we cannot transfer fractional shares via the DTC method.
DTC requests to transfer specific shares or a partial amount from a taxable (non-IRA) account will be rejected. Additionally, requests to liquidate the shares and send a check to the new provider will either be rejected or the shares will be sent in-kind. If you wish to liquidate shares in your taxable account, you can do so by going to Transfer or rollover > Withdraw and withdrawing them to a linked bank account in your name.
Requesting the transfer:
You will first need to reach out to your receiving institution and request to have your assets transferred out of Betterment to the new provider. Please remember that the receiving institution should request a transfer of the full account, as we cannot accommodate partial transfer requests for taxable accounts. They will need to know your Betterment account number, which can be found in Settings > Accounts.
For non-IRA, non-ACATS transfers, we will transfer only full shares directly to another institution. We cannot transfer partial shares.
What we need:
- Transfer paperwork (from the receiving institution)
- A copy of the first page of your most recent Betterment statement, which you can find on your Activity page.
- If you are transferring out more than $250,000, the transfer paperwork will need to be medallion signature guaranteed.
- If you are transferring out less than $250,000, please simply send your completed transfer paperwork and a copy of the first page of your Betterment statement.
All outgoing transfer paperwork must be mailed to:
Standard Mail
Betterment Transfers
PO Box 207691
Dallas TX 75320-7691
Overnight Mail
Betterment Transfers
Wells Fargo Lockbox
2975 Regent Blvd
Suite 100
Lockbox Services 207691
Irving TX 75063
Joint Accounts:
Joint accounts at Betterment can only be transferred to joint accounts at another provider, though we can accommodate requests to transfer an individual account at Betterment to a joint account at another provider if requested.
Transferring an IRA account to an IRA account at another provider
If your receiving firm does not support an ACATS transfer, you will need to send paperwork for us to process your IRA transfer request.
Please note that if you are transferring assets out of a Tax-Coordinated Portfolio, this may lead to rebalancing in any taxable accounts that are part of the Tax-Coordinated Portfolio and remain at Betterment. Rebalancing may result in the realization of taxable gains. For information regarding the potential tax impacts of transferring out of a Tax-Coordinated Portfolio, please see this resource.
Lastly, if you request that an outbound transfer request be placed on hold, we will maintain the request for 30 days, at which point it will be canceled if you do not take further steps to complete the transfer.
What we need:
- Transfer paperwork (from the receiving institution)
- All transfers of accounts equal to or over $250,000 require a medallion signature guarantee
- A copy of the first page (only) of your most recent Betterment statement, which you can find on your Documents page
What you can expect:
- Betterment will liquidate holdings then issue a check to the new provider for the full amount or specified partial dollar amount requested
- Generally, transfers are completed within 3-4 weeks of receiving acceptable transfer paperwork
- Betterment Securities charges a flat fee of $75 for each investing account transfer to another company (outbound transfer).
How to Submit Transfer Requests:
Betterment cannot accept electronic transfer requests, faxed, or digital copies of transfer paperwork. Please mail the transfer paperwork to the appropriate address below.
First-Class and standard mail can be sent to:
Betterment Transfers
P.O. Box 207691
Dallas TX 75320-7691
Do not send overnighted mail or signature-required mail to the P.O. box address.
Overnighted, tracked or signature-required mail must be sent to:
Wells Fargo Lockbox
Betterment
Lockbox # 207691
2975 Regent Blvd Ste 100
Irving, TX 75063
Transferring an IRA account to a 401(k) or another qualified employer plan at another provider
You will need to send paperwork for us to process your transfer request from an IRA to a 401(k).
Please note that if you are transferring assets out of a Tax-Coordinated Portfolio, this may lead to rebalancing in any taxable accounts that are part of the Tax-Coordinated Portfolio and remain at Betterment. Rebalancing may result in the realization of taxable gains. For information regarding the potential tax impacts of transferring out of a Tax-Coordinated Portfolio, please see this resource.
Lastly, if you request that an outbound transfer request be placed on hold, we will maintain the request for 30 days, at which point it will be canceled if you do not take further steps to complete the transfer.
To transfer your Betterment IRA (Traditional only*) into your 401(k) at another provider, we’ll need the following:
- A Letter of Acceptance (LOA) from your new provider. An LOA is a standard document that instructs the sending provider on how the check should be made out and where it should be sent, and confirms that the receiving institution will accept the funds into a qualified account. This document should be obtained from the provider of your 401(k) plan.
- A copy of the first page of your most recent Betterment statement, found on your Documents page.
- A Letter of Intent (LOI). This is a signed letter from you, the account owner, including the words, "I, [first and last name], authorize the [full/specify $ amount if partial] transfer of assets from my Betterment Traditional IRA account into my [name of new provider]'s 401(k)."
*Note that we are not able to transfer a Roth IRA out to a 401(k) account, according to IRS guidelines.
If your balance is equal to or over $250,000 or more, your transfer paperwork will need to be Medallion Signature Guaranteed.
What you can expect:
- Generally, transfers are completed within 3-4 weeks of receiving acceptable transfer paperwork.
-
Betterment Securities charges a flat fee of $75 for each investing account transfer to another company (outbound transfer).
The transfer paperwork should be mailed to:
Standard Mail:
Betterment Transfers
PO Box 207691
Dallas TX 75320-7691
Overnighted, tracked or signature-required mail must be sent to:
Wells Fargo Lockbox
Betterment
Lockbox #207691
2975 Regent Blvd Ste 100
Irving, TX 75063
What is a medallion signature guarantee?
A medallion signature guarantee is an extra level of security to prevent the unauthorized transfer of your assets. You can obtain one at a local financial institution with which you have an account. You will need to bring a statement from your current IRA provider to obtain a medallion signature guarantee.
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