Cetera Cash Sweep Lawsuit Investigation

Cetera Wealth Services allegedly pays unreasonably low interest rates on cash held in self-managed brokerage accounts.  

 

If you have a brokerage account with Cetera, you may have lost money due to the low interest rates Cetera paid on cash sitting in your account. Most brokerage customers with cash in their brokerage accounts have their money automatically placed into low interest-bearing accounts without their knowledge. 

 

Our attorneys can help you determine whether you have been impacted. 

Cetera is supposed to consider the market environment and competitive factors when setting interest rates on its customers’ cash. Data, such as the Federal Funds Rate and interest rates paid by competing brokerages, show that Cetera has not considered such factors and instead has been keeping the lion’s share of earned interest for itself and/or its affiliates.

If you have a brokerage account with Cetera, then you likely have a cash sweep account. Cetera refers to its cash sweep program as its “Insured Deposit Sweep Account” or “Flexinsured Account,” which are terms that may show up on your statements.   

 

Many Cetera customers who have brokerage accounts are automatically placed into these sweep accounts, and don’t realize they’ve been put in one. If you’re unsure whether you have a cash sweep account, we can help determine whether you have been negatively affected. 

In July 2025, a federal court appointed Gibbs Mura partner, Rosemary M. Rivas, and our firm to lead the lawsuit against PNC Investments LLC for depositing brokerage clients’ uninvested cash into a cash sweep program that was paying unreasonably low interest rates.   

 

Like PNC, Cetera has allegedly had a similar pattern of paying unreasonably low interest rates on its customers’ uninvested cash, and our class action attorneys plan to hold it accountable and seek damages for impacted investors.   

Gibbs Mura is a California-based law firm committed to protecting the rights of clients nationwide who have been harmed by corporate misconduct. We represent individuals, whistleblowers, employees, and small businesses across the U.S. against the world’s largest corporations. Our award-winning lawyers have achieved landmark recoveries and billions of dollars for our clients in high-stakes class action and individual cases involving consumer protection, data breach, digital privacy, and federal and California employment lawsuits. Our attorneys have received numerous honors for their work, including “Top Plaintiff Lawyers in California,” “Top Class Action Attorneys Under 40,” “Consumer Protection MVP,” “Best Lawyers in America,” and “Top Cybersecurity/ Privacy Attorneys Under 40.”