Monex Troubles
Posted: Thu Dec 02, 2021 9:03 am
Just wanted to update everyone on some recent experience with Monex which differed from my earlier experience.
I was unable to do a direct 振込 transfer from my bank account even though I had been successful several times last year using the same account. The names on the accounts very slightly differ (one uses テ in part of my name while the other uses チ) and previously it had been possible to get that to go through by writing out my name again in the ご依頼人 field but not this time. Instead of the money automatically going back into my bank account I had to go to my bank and do paperwork for something called a クミモドシ (組み戻し) and pay some 800 yen fee. When I asked the bank worker who was helping me with the paperwork whether I would have any trouble getting the money back she said that this was very routine and is happening a lot specifically with Monex money transfers. (She was right, after doing the paperwork yesterday the money arrived back in my account today).
One other unfortunate development. I am a US citizen but Monex had allowed me to buy the SPDR S&P 500 ETF 1557 which does not come with the burdensome PFIC tax rules from the IRS. I've had those ETF shares in the account for over a year now but got a call today from Monex asking me to please sell them. Monex had been the only discount broker in Japan that allowed me to buy those shares so they are not unusual in having this (counterproductive) policy but this reinforces the need for US investors to use an account based in the US for index fund investing.
I was unable to do a direct 振込 transfer from my bank account even though I had been successful several times last year using the same account. The names on the accounts very slightly differ (one uses テ in part of my name while the other uses チ) and previously it had been possible to get that to go through by writing out my name again in the ご依頼人 field but not this time. Instead of the money automatically going back into my bank account I had to go to my bank and do paperwork for something called a クミモドシ (組み戻し) and pay some 800 yen fee. When I asked the bank worker who was helping me with the paperwork whether I would have any trouble getting the money back she said that this was very routine and is happening a lot specifically with Monex money transfers. (She was right, after doing the paperwork yesterday the money arrived back in my account today).
One other unfortunate development. I am a US citizen but Monex had allowed me to buy the SPDR S&P 500 ETF 1557 which does not come with the burdensome PFIC tax rules from the IRS. I've had those ETF shares in the account for over a year now but got a call today from Monex asking me to please sell them. Monex had been the only discount broker in Japan that allowed me to buy those shares so they are not unusual in having this (counterproductive) policy but this reinforces the need for US investors to use an account based in the US for index fund investing.