No. of Recommendations: 0
The problem with using NDB, Scottrade, E*Trade, and Datek is that their trading commissions are too high. If you make 5 or more trades during the year, you already spend more than 2% of the $2000 contribution on commissions.

If you are truly a LTBM, I would suggest using BuyAndHold ( You must participate in their EZ-Vest program to waive their account maintenance fee, but if you plan on making more than 4 trades a year, the cost of using Buy & Hold vs. the next lowest priced reputable online brokerage (Ameritrade) is less. I wouldn't suggest Ameritrade tho, they are one of the most poorly reviewed online discount brokers.

If you plan on trading more often, then I would suggest Datek. Datek is the best broker for active online trading (that is not direct access). Firstrade may sound appealing from a money standpoint, but whether they can trusted is a different matter. Keep in mind that trading often can be hazardous to accumulating wealth in an IRA...I would suggest applying a LTBH philosophy. A

Also with Buy & Hold, you can transfer money electronically from your checking account at your local bank to your Buy & Hold account for free and for next business day use. And money not invested in the market is invested in a money market fund, which is not so for Datek.

Print the post  


The Retirement Investing Board
This is the board for all discussions related to Investing for and during retirement. To keep the board relevant and Foolish to everyone, please avoid making any posts pertaining to political partisanship. Fool on and Retire on!
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.