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What went wrong · Account restricted or closed

“They found out I moved, and now my account is frozen.”

Your US brokerage found out you live abroad and froze, restricted, or closed the account.

Over the last several years most large US brokerages have adopted policies restricting or terminating accounts held by non-US residents. A firm is generally free to decide whom it will serve. It is not free to execute that decision carelessly. Forced liquidations at bad prices, positions sold without authorization, sixty-day deadlines with no realistic transfer option, and a “helpful” hand-off to an affiliate selling an unsuitable replacement product are all things a firm can be held responsible for — separately from the policy itself.

Recognize it

You may have this claim if

  • A letter or email stating your account is “liquidation only,” “restricted,” or must be closed by a date
  • Mutual funds or ETFs sold — by the firm — without your instruction
  • A tax bill from sales you did not choose to make
  • A transfer to a new firm or affiliate that came with a new product you did not fully understand
  • Positions that could not be transferred in kind and were sold in a down market

The rule

What the firm owed you

Firms owe customers a duty of reasonable care in handling their accounts, including account closures. Unauthorized sales violate FINRA rules regardless of the reason. And if a representative recommended a replacement product during the transition, that recommendation is subject to Regulation Best Interest and FINRA’s suitability rule like any other.

From abroad

Why distance does not matter here

This claim is proven with the firm’s own letters, your statements, and trade confirmations — all of which you already have or can request. Nothing about it requires you to be in the United States.

Guides

  1. My US Brokerage Is Closing My Account Because I Live Abroad Got the closure letter? What the deadline means, how to stop a forced sale, how to transfer in kind, and when the closure becomes a claim. 7 min read
  2. Can I Keep My IRA or 401(k) If I Move Abroad? Yes — Mostly You can generally keep an IRA or 401(k) after moving abroad. What changes is who will hold it — and what brokers get wrong about rollovers and cashing out. 7 min read
  3. How to Keep a US Brokerage Account While Living Overseas Address, residency, the “we no longer serve your country” letter, and how to move an account without a forced sale — for Americans abroad. 7 min read
  4. FINRA Arbitration From Overseas: Start to Award The whole FINRA arbitration process for an investor abroad — filing, the answer, arbitrators, discovery, mediation, the hearing, and getting paid. 8 min read
  5. FINRA Simplified Arbitration for Claims of $50,000 or Less How FINRA Rule 12800 works: one arbitrator, a decision on the papers unless you ask for a hearing, lower fees, a shorter timeline — and why to file. 6 min read
  6. Non-Traded REITs: Why You Cannot Sell Them Why a non-traded REIT cannot be sold, where the distributions really came from, and when the recommendation — not the market — was the problem. 7 min read
  7. What to Send a Securities Lawyer: A Document Checklist The documents a securities lawyer needs for a free case review — statements, confirmations, the account application, the firm’s letters — from abroad. 6 min read
  8. The Retirement Rollover Checklist Before You Move Abroad Before you roll a 401(k), TSP, or pension into an IRA and leave the country: what Regulation Best Interest requires, and the questions to ask in writing. 7 min read
All guides

Free case review

Sound familiar? Send the statements and let us check.

Free and confidential review by Richard Frankowski. Calls scheduled in your time zone, never ours.

Call — US toll-free

+1 888 741 7503

From abroad: +1 205-390-0399

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The other four

Often more than one applies.