Charles Schwab Pledged $1,000 Match but Lost Treasury’s Trump Accounts Contract
Charles Schwab joined Robinhood, BlackRock and Chime in pledging to match the $1,000 federal contribution for Trump accounts for its employees. However, the Treasury tapped Bank of New York Mellon—not Charles Schwab—to serve as financial agent for the US Treasury’s Trump accounts program launching this summer.
1. Treasury Awards Trump Accounts Contract to BNY Mellon
The US Treasury Department appointed Bank of New York Mellon as financial agent for its upcoming Trump accounts program, sidelining rivals including Charles Schwab. The program offers a $1,000 federal contribution for eligible children born between January 2025 and December 2028 and will launch this summer with an associated app and brokerage services.
2. Charles Schwab’s Pledge and Strategic Impact
Charles Schwab was one of the first firms to announce a matching $1,000 contribution for employees’ Trump accounts but failed to secure the Treasury agent role. Missing out on this contract may limit Schwab’s access to fee-generating flows, customer engagement opportunities and prestige that comes with federal partnership.