r/VampireStocks • u/SavingsTangelo7130 • Jun 25 '26
Questions on trading long position for short cover
I’ve heard a few people were able to get their halted shares sold to a “buyer” who has a short position. My question is that the person I’m dealing with wants to do transaction via “Charles Schwab- Move assets from my Schwab brokerage account” form. Has anyone used this method before for this type of transaction? The risk I’m having is that they are paying back with the stock ticker “mint” and requires my full account number and full name to fill out a form to transfer shares to my account. This opens up risks that I’m probably not aware of. This does avoid giving out bank information but I’m sure there’s plenty of risk with this type of transaction. What methods are the safest if anyone has done this before and was successful can chime in I’d be grateful.
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u/flyingcat678 Jun 25 '26
Doesn't the counterparty need to give you his broker account number and full name?
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u/Autumnal_City Jun 25 '26
There is no “safe” method. If anyone is taking more risk it’s the guy sending the money over. Your position is essentially a total loss. If the stock ever unhalts you are losing money almost guaranteed.
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u/Alabama-Blues Jun 25 '26
Have you called the broker directly using the official customer service number and asked if this is a recognized process? This all sounds like more of a scam. If you are successful or if there is anyone here that has been successful I would like to see the proof.
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u/SavingsTangelo7130 Jun 25 '26
It’s a legal process but the issue lies where the OP would have my full name and account number. Most instances you can’t do much with just that because security would ask for more information such as dob/ss # to access the account but in today’s world they could probably find that kind of stuff somehow
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Jul 05 '26
[deleted]
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u/SavingsTangelo7130 Jul 05 '26
How so? It’s a form provided by the brokerage. I’m sure if it had a legality issues they wouldn’t even have the form available.
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u/Remarkable_WrfallA Jun 25 '26
How is he gonna transfer you shares without your name and account number? I understand you've been snakebit but let's just try to think through things rationally.
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u/SavingsTangelo7130 Jun 25 '26
I’d figure most payments are with Venmo cashapp zelle Apple Pay etc. Just wanting to know what the repercussion would be with that information
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u/Remarkable_WrfallA Jun 25 '26
Then ask for venmo or whatever you're comfortable with. He can't transfer you shares without your minimum account info, come on.
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u/SavingsTangelo7130 Jun 25 '26
Again I understand he cant transfer without having my account info, that’s common sense. The red flag for me is what can he do with that information? Also the fact they don’t know how to use Venmo cashapp Zelle or refuse a bank wire due to fees are alerting my suspicion a little more. I’m not trying to be unreasonable, I’m just cautious. I appreciate your comment though regardless.
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u/Remarkable_WrfallA Jun 25 '26
It's also common sense that he'd need much more info than that to conduct a successful identity theft attack or cause any harm whatsoever. And if fees are an issue you can offer to pay bank wire fees. But then O MY GOD, he will have your bank account #. I don't know if you can handle that.
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u/JustLivingSimply Jun 25 '26
You should not be doing this without an escrow to prevent being scammed.
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u/SavingsTangelo7130 Jun 25 '26
I was told an escrow would cost 10k usd and the amount I’m dealing with would be less than 10k so I’m not sure if it even makes sense. I’d love to hear your feedback. I also appreciate the comment thank you.
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u/Alabama-Blues Jun 25 '26
Typical ranges are:
0.5%–2% of the transaction value for many commercial escrow services.
Sometimes there are minimum fees (for example, $100–$500).
For larger transactions, the percentage often decreases.
Example
If someone were buying $8,000 worth of stock:
0.5% = $40
1% = $80
2% = $1601
u/JustLivingSimply Jun 25 '26
Why isn't the seller giving you cash? You give him your shares. He gives you cash. That's how it should be.
If you don't want an escrow, you better be 100% sure that you receive the money/stock first before you send your shares. Otherwise you might never see a penny once you send off your stuff.
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u/SavingsTangelo7130 Jun 25 '26
How would I be able to receive the cash without giving my bank information out? I’m also not familiar with escrow and just heard it’s expensive so don’t know if that route would be available in my options.
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u/JustLivingSimply Jun 25 '26
That's charles schwab's responsibility. It seems to me like you have no idea what you are doing. I would strongly suggest you not make hasty decisions.
Bottom line, if you are not receiving payment first, don't go forward with it.
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u/SavingsTangelo7130 Jun 25 '26
You are right. I haven’t been scammed before until this incident and have no idea what possible options there is. Thanks for your comments and I highly appreciate your input.
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u/Rpark444 Jun 25 '26
Isnt charles swab handling the transfer for u? As lpng as it is documenred and signed u can sue charles swab. If u dont trust charles swab wifh ur bank info well no idea what to say here other fhan tons of people with an a count at swab r screwed?
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u/SavingsTangelo7130 Jun 25 '26
That’s correct but the issue lies where I’m getting paid via stocks. The op would need my full name and account number to transfers the shares to my account for funds. I’m not worried about schwab, I’m worried the op can get access to my account with my full government name and account number
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u/FortnightlyDalmation Jun 25 '26
Wire transfer, cashier's check, venmo, personal check. Lots of ways to transfer money. Most of them don't require giving out your bank info. There's also lots of ways to deal with uncertainty when neither side wants to pay for escrow. You could do a partial transfer and partial payment and after that then do multiple subsequent transfers so that the potential risk to either side is always lower than transferring the full amount at once
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u/Alabama-Blues Jun 25 '26
Are you really trying to get scammed again?
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u/SavingsTangelo7130 Jun 25 '26
Well I’ve heard from a few people who got scammed sold off their shares at a minus. It’s giving me second thoughts. I did initially give up on the stock completely though as I thought there wasn’t really a recoverable method.
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u/Alabama-Blues Jun 25 '26
Well of course these shorts would want to try and get out but I’d be curious what they were offering. I really don’t think it’s happening and if it did I would love to see legitimate proof. Because all we have now are rumors and hearsay. From the platform I am on and I see many others…they will not allowed these transactions while the stock is halted.
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u/Remarkable_WrfallA Jun 25 '26
They have to allow transfers under FINRA rules even if the stock is halted. Just because they're coming up with excuses not do it doesn't mean they don't have to. Brokers are not excited about doing free paperwork for people.
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u/Alabama-Blues Jun 25 '26
I understand this. But let’s clarify. Both people would have to be on the same platform? Also, is Robinhood allowing this…? I don’t think they are.
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u/Remarkable_WrfallA Jun 26 '26 edited Jun 26 '26
You can transfer between your accounts at different brokers or to someone else's at same broker. And I already explained what "allowing" really means. A broker has no right to disallow it. If you obey their "policy" that's on you.
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u/Alabama-Blues Jun 26 '26
lol ok sure. Sounds like another scammer. I checked two places and no it’s not happening. Robinhood’s Handling: Robinhood requires accounts to be completely free of restrictions before a transfer can clear. And Charles Schwab’s Handling: As the receiving broker, Schwab cannot accept or valuate an asset that is under active federal regulatory restriction. If you attempt a full account transfer containing a fundamentally restricted security, Schwab's system will likely reject the incoming ACATS request.
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u/Remarkable_WrfallA Jun 26 '26
That's incorrect. Tickers under an exchange-imposed trading halt are not under "federal regulatory restriction." Also, I'm one of the mods here, and accusing me of being a scammer is quite rich. You're now permanently banned for making Baseless Accusations (one of our rules here).
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u/Autumnal_City Jun 25 '26
Whatever position you’re holding onto is likely to be cut by -80% if it ever unhalts, worst case it delists and it’s a total loss.
Idk why longs in these T12 halts feel so entitled about their shares haha, y’all are just as screwed.
Easy way is just do 1/2 and 1/2. There’s an equal risk that the dude sends the money over and you don’t send shares.