Scottrade Review 2022 (TD Ameritrade Merger) • Benzinga
Scottrade no longer exists, they merged with TD Ameritrade on September 18, 2017. Read the full TD Ameritrade review.
Who uses Scottrade?
Scottrade, with its extensive physical branch network and dominant online presence, is a good fit for a diverse customer base.
Beginners and passive investors use Scottrade
Among discount brokers, Scottrade is ideal for beginners, given its extensive branch network that makes it easy to communicate one-on-one with real Scottrade advisors. (This is in addition to excellent customer service provided by live chat, phone and email.)
Scottrade’s multiple platforms, including a mobile platform for on-the-go investors, technologies such as streaming quotes, news and analytics, and the wealth of third-party research are also popular with investors.
Retirement planners also love Scottrade
For those considering retirement, Scottrade offers transparent pricing, no minimum account balance requirements, a host of investment products as well as third-party research. The company helps you focus on the right type of retirement investment option by asking you a series of questions.
Scottrade offers Rolling IRAs, Traditional IRAs, Roth IRAs, SEP IRAs and SIMPLE IRAs.
Scottrade Investment Products
- Shares
- International investment
- Fixed income securities, including treasury bills
- CD
- Choice
- Mutual fund
- AND F
- Margin and interest rate trading
Scotttrade Commissions and Fees
| Order type | Stocks and ETFs | Choice |
|---|---|---|
| On line | $6.95 | $6.95 + $0.70/contract |
| assisted by a broker | $32 | $32 + $0.70/contract |
| Touchstone Telephone System (IVR) | $32 | $32 + $0.70/contract |
| Option exercises and assignments | N / A | $17 |
Scottrade Trading Fees for Mutual Funds
| Funds | To buy | Sell and trade | Purchase assisted by a broker | Broker Assisted Selling and Trading |
|---|---|---|---|---|
| No fees, no transaction fees | No charges | No charges | $25 | $25 |
| Without charge | $17 | $17 | $42 | $42 |
| Load | No charges | $17 | No charges | No charges |
Scottrade charges a short-term redemption fee for all free shares purchased from it and held for 90 days or less.
Scottrade Fixed Income Options
| Product | Costs | Minimum | Increments |
|---|---|---|---|
| CDs, new company offerings, secondary company OTC, treasury investments | Scottrade acts as principal | $5,000 | $1,000 |
| OTC secondary municipalities | Scottrade acts as principal | $5,000 | $5,000 |
| Listed corporate bonds | $35 + $3 per bond | $1,000 | $1,000 |
| Unit investment trusts | $50 clearance | Consult the prospectus | N / A |
Scottrade also charges additional fees such as mail confirmation to online account ($1), mail statement to online account ($2), next day delivery ($25) and certificate deposit. pre-reorganization action ($90).
Scottrade requires a minimum account balance of $2,500, except for IRAs, which are zero-balance accounts.
However, the company does not charge account maintenance and inactivity fees.
To use ScottradeELITE, clients must have either $25,000 in their main account, or a minimum of $15,000 in their main account and combined link account assets of $25,000 or more, as well as nine or more trades in stocks or options over the previous three months.
Scottrade offers four different platforms, including its general client website, Scottrader Streaming Quotes, Mobile, and ScottradeELITE. The company promotes these platforms for different categories of customers such as long-term investors, active investors and traders, investors and traders, and trading enthusiasts.
The mobile app is available for iOS and Android operating systems.
All four platforms offer investment research and market news, watchlists and stocks, ETFs and options trading.
Additional Features:
- Customer website (aimed at long-term investors) includes filters, portfolio management tools, and mutual fund, CD, and bond trading
- Scottrader Streaming Quotes (for active investors and traders) offers real-time quotes, streaming news and NASDAQ Level II. Besides continuous quotes, the platform allows to create charts, analyze market patterns and identify opportunities with more than 30 different technical indicators and trendlines.
- Mobile (for investors and traders) offers streaming real-time quotes.
- ScottradeELITE (for trading enthusiasts) offers real-time streaming quotes, filters, streaming news and NASDAQ Level II, access to Intraday Trader by Recognia, NASDAQ TotalView. This customizable desktop application also provides access to many third-party tools, including Recognia’s search and predefined filters.
The Scottrade Pro is a platform available on desktop, web and mobile modes, is specifically designed for options trading and was built in conjunction with Interactive Brokers. However, the company’s website currently advises clients to upgrade to TD Ameritrade’s thinkorswim platform for a more elite trading experience.
Account types allowed by the company include standard, retirement, education, and specialty accounts. Bank accounts provided by the company include savings, checking, money market and certificate of deposit.
Scottrade’s Knowledge Center provides educational resources under various headings such as articles and insights, investment education, calculators (investing, retirement savings, IRA comparison and college savings), platform help and customer training events.
Scottrade Customer Service
Scottrade can be reached at 1-800-619-7283 between 6 a.m. and 1 a.m. ET, Monday through Friday and Saturday and Sunday from 9 a.m. to 7 p.m. ET.
Chat and email service is also available on its website during the same hours.
Customers can also contact a local Scottrade team for assistance and easily find a local branch on the website.
Scottrade’s social media team also answers questions between 9 a.m. and 9 p.m. ET, Monday through Friday.
Scottrade and its ease of use
Opening an account is quite simple. Enter basic information such as first name, last name, and email address, then choose a password.
Clients can fund their account by wire transfer, external brokerage account transfer, funds transfer, check deposit and stock certificate deposit.
The company also offers an online banking service, although it has stopped opening new bank accounts since September 14, 2017. Customers who had a banking relationship with Scottrade before September 14 can benefit from traditional banking services such as transfers, deposits and withdrawals, ATMs. /debit cards, online bill payment, online banking and overdraft protection.
Clients can link multiple accounts to the brokerage account, which facilitates quick transfers.
Final Thoughts on Scottrade
Scottrade offers a wide variety of services and products, including getting started for beginners. With its multiple and powerful platforms, online support and in-person customer service, its low cost complements the benefits of Scottrade’s unique selling proposition. However, with TD Ameritrade’s integration overhead, new traders may prefer to wait and watch to see how things pan out.
Use Scottrade if:
- You are just starting to invest
- You are planning your retirement and looking for the best investment services for your retirement
- You are picky about excellent customer service
Do not use Scottrade if:
- You are a futures trader
- You are looking for commission-free ETFs
- You are an advanced investor, performing personalized research and analysis with sophisticated trading tools and techniques