Scottrade vs. TradeKing: Compare The Best Discount Brokers

Scottrade and TradeKing are another two very popular online discount brokers. Both of them have been around for quite a long time and won multiple awards for their services over the years. From my personal experience, I like Scottrade’s convenience because of their local presence. Also, with Scottrade, I can use money just deposited into my account to buy stocks immediately (as long as the price is $4 or above). As for TradeKing, they have a very neat interface and an array of research tools to help me research on stocks and ETFs. Their latest Blackberry Mobile Trading App really makes trading stocks on the go much easier.

Anyway, here’s a side-by-side comparison of the two brokers.

Broker Scottrade TradeKing
Apply online Yes, open an account Yes, open an account
Account minimum deposit $500 $0.00
Paperwork No No
Free trades No No
Referral program Yes, 3 free trades Yes, $50.00
Stock commission $7.00 $4.95
Options commission $7.00 + $1.25/contract $4.95 + $0.65/contract
Mutual fund fee (NTF)* $17.00 $14.95
No-fee IRA Yes Yes
ACH Yes (MoneyDirect) Yes
ACH hold period No** 5 business days
Account transfer-in fee No No
Account transfer-out fee $0.00 $50.00
Account transfer fee reimbursement Yes, up to $100.00 Yes, up to $150.00
Dividend reinvestment No Yes
Check writing Yes Yes, for account balance of >$10,000
Mobile trading Yes Yes, Blackberry App
Web based trading platform Yes Yes
Stand alone trading platform Yes No
Fractional shares No No, but yes with dividend reinvestment
Real-time stream quote Yes No
Free gain/loss tracker Yes Yes
Free research tools Yes, including stock, ETF and mutual fund screener, CDs & bonds, news & commentary and more Yes, including stock, ETF and mutual fund screener, technical analysis, and tax manager and more
Free educational seminars Yes Yes
Monthly fee No No
Local branch office Yes No
Investor community Yes Yes
Additional promotions No Yes, quite often (usually $50 bonus/account)

*NTF: No transaction fee;
**You have to wait for 3 business days before using the fund to buy stocks that are less than $4.00/share at Scottrade;

If you don’t have an account with either one of them, which one do you like better from just the comparison, Scottrade or TradeKing?

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One Response to “Scottrade vs. TradeKing: Compare The Best Discount Brokers”

  1. kb |  May 23, 2011 at 7:47 pm

    Nice work, appreciate the side by side and the updated 2011 reviews. It took me a while to find this up to date information while considering which brokerage account to initiate.

    I’ll see if I can get $50 into your account via referral.