What is the cheapest online broker?

Do you wish to have financial freedom? It’s not enough to put money in a savings account. Given the low interest rates offered by banks, you will soon lose your capital to inflation.

If you truly wish to grow your money, you must start investing in stocks.

When selecting an online stockbroker, keep in mind that any gains could be lost in costly fees and commissions.

It’s tricky to recommend just one broker since the fees also depend on your preferred financial products. You can’t go wrong when you choose an online discount broker that offers:

  • Commission-free trading or zero fees per trade
  • No account minimum
  • Promotions like free stocks or cash credit

To get you started, here’s a list of the cheapest online brokers that meet these criteria.

1.Robinhood

Website: https://robinhood.com/us/en/

Robinhood provides commission-free trading for all kinds of investors, particularly those interested in exchange traded funds and cryptocurrency.

Pros

  • Offers cryptocurrency trading
  • Provides stocks, options, or ETFs
  • Great for mobile uses and individual accounts

Cons

  • Customer support is not extensive
  • No retirement accounts
  • Does not provide mutual funds or bonds

2.Interactive Brokers IBKR Lite

Website: https://www.interactivebrokers.co.in/en/home.php

Interactive Brokers has great options for active investors. In 2019, they launched the IBKR Lite option for casual traders who want to invest in mutual funds, options, fixed income, etc.

Pros

  • Provides large investment selection
  • Resources and research tools
  • Variety of mutual funds with no transaction fee
  • Attractive discounts
  • Ideal for casual or day traders

Cons

  • Complicated user interface
  • Additional fees on IBKR Pro

3.TD Ameritrade

Website: https://www.amtd.com/home/default.aspx

TD Ameritrade offers a versatile application that is great for casual and active traders. With its diverse investment options, there is something for everyone.

Pros

  • Provides ETF trades and options trades
  • Resources and tools to research
  • Premium customer service
  • Provides large investment selection

Cons

  • No fractional shares
  • Smaller margins of profits
  • Platform can be more user friendly

4.Webull

Website: https://www.webull.com/

The Webull application is a great option for active and casual traders. With a wide range of tools, Webull offers many resources to all kinds of investors.

Pros

  • Low margins rate tiers
  • Easy-to-use interface
  • Offers cryptocurrency trading

Cons

  • No mutual funds
  • Poor customer care support

5.TradeStation

Website: https://www.tradestation.com/

This TradeStation platform is great for active traders. However, its premium plans are costly, which isn’t advisable for newcomers.

Pros

  • Multiple trading platforms
  • Provides ETF trades and options trades
  • Resources and tools to research
  • Offers cryptocurrency trading

Cons

  • Bad customer care service
  • No Forex trading

6.J.P. Morgan Self-Directed Investing

Website: https://www.chase.com/personal/investments

J.P. Morgan offers a great platform for newcomers and beginners. The self-directed app has tools that help investors make the right decisions.

Pros

  • Easy interface
  • Self-directed app
  • Great for free traders and new investors

Cons

  • Mobile-based app is sometimes tricky to use
  • Limited options for different accounts

7.Ally Invest

Website: https://www.ally.com/invest

Ally Invest is great for newcomers and active traders. It offers a versatile range of mutual funds, both paid and free.

Pros

  • Provides ETF trades and options trades
  • Strong resources for research

Cons

  • Mutual funds have transaction fees
  • No branches

8.Merrill Edge

Website: https://www.merrilledge.com/

For casual traders, Merrill Edge is a great option. You get the best of its cutting-edge technology and research tools.

Pros

  • Offers third-party research
  • Premium customer service
  • Access to national banks
  • A wide range of accounts
  • Investment vehicles like ETFs, stocks, etc.

Cons

  • Low securities
  • High margin rates

Please note that this information can change at any time. Visit https://www.bestbrokerreviews.com for a more in-depth look at these companies. With BestBrokerReviews.com, you get facts and figures on the top brokerage sites, comparison rates, reviews on trading applications, and other financial details.