Scottrade Review

Scottrade ranks high on our list of brokers for their customer service, transparent fees, and network of local brick-and-mortar retail locations where you can get service in person.

Scottrade is best for investors who want a mix of personal service, online features, low fees, and physical locations. Scottrade isn’t the cheapest online broker, but they have consistently solid marks for customer satisfaction (by SmartMoney and JD Powers and Associates.)

Scottrade Fees and Commissions

Scottrade Minimums to Open Account

The minimum balance to open a Scottrade cash account is $500 for a cash account. The minimum to open a Scottrade margin account is $2,000.

Scottrade Review

While many competitors have been around for less than 10 years, Scottrade is one of the most established discount stock brokers. Although some competitors offer lower trade commissions, Scottrade’s flat $7 stock commission is competitive, and Scottrade earns points because they don’t charge “hidden” fees such as IRA maintenance fees, after-hours trade fees, inactivity fees, or account closing fees.

We like the Scottrade offers about 3,000 mutual funds that can be traded commission-free. Combined with educational materials and solid customer service, Scottrade makes a good choice for beginning investors who want to build their portfolios with low-cost (or free) trades, learn about investing, and get some help when they need it from customer service.

One quirk: Scottrade offers debit card access to your trading account but does not allow electronic (direct deposit) withdrawals…you’ll have to wait for a physical check.

How to Open a Scottrade Account

You can open a new Scottrade account online in about 10 minutes without mailing and forms and with as little as $500. You can link your bank account electronically to deposit funds and a customer service rep will likely give you a call the next day just to see if you have any questions.

###