Les Greco: Scottrade Review

Scottrade is one of the more established discount stock brokers in the industry, but I have to give them another praise after what happened since I wrote a review about them. This article outlines why Scottrade brings customer service to the next level, and what the brokerage firm offers.

Click Here to Open a Scottrade Account.

But First, What are the Commission Rates

Scottrade has always advertised its pricing of $7 per trade, while options are $7 per trade plus $1.25 per contract. Compared with its direct competitors who offer similar services, they are clearly the cheapest option. However, on a strict per trade level, there are others out there.

Scottrade’s Different Trading Platforms

Like many of the premium brokers, Scottrade offers multiple platforms that all have their unique advantages. Here’s a brief description of each:

Scottrade Trading Website – The web platform is great if you are paranoid about installing anything on your computer. It’s also comparable to most discount broker platforms and offers the majority of investors’ needs.
Scottrade Mobile – A special mobile application that simplifies the clutter to allow for faster trading on a mobile device. I will never know why you need to make trades on the go, but this option is there if you need it.
Scottrate Elite – The full blown trading application that rivals the hardcore trading platforms of other brokerages. Streaming quotes, customizable and savable sessions as well real time news that is pushed to you.

Scottrade Knowledge Center

In order to help investors, Scottrade put together one of the most comprehensive investment resources online. With nearly 2,000 educational articles and interactive tools, investors can learn about everything from the basics of options to what the yield curve of a bond is.

Scottrade Branches and Customer Service

There are actually more than 400 Scottrade branch offices nationwide, so you can get your questions answered either on the phone or in person. The company is one of the top 100 companies to work for (according to Forbes) and it shows in the attitude of the employees. Everyone I spoke with were genuinely helpful and happy.

Why I’m Seriously Considering Scottrade

I’m beginning to become a Scottrade convert. I wrote a review about two weeks ago, and not only did the company tweeted about it, the PR spokesman of the company also personally emailed me to clarify my concern on their physical locations and offered to answer any questions I had.

At the time of the review, I noted that the local branches didn’t provide much more than what a phone conversation would do. As it turns out, each Scottrade representative can walk you through the whole trading platform in person as well as make trades for you (if you choose, or if the website goes down for whatever reason).

I also learned that within the branches, they are hosting live seminars to teach Scottrade customers how to better invest in these times. This is what they have to say about the seminars.

This year we are hosting 24 User Summits across the country. User Summits are free workshops for customers to learn how to easily manage their accounts and use the functions and features of our trading platforms. There are two sessions, one in the morning and one in the afternoon. Each session focuses on a different topic.

I’ve repeated said that while it’s better to have good customer support than bad, I seldom use it and therefore it’s low on my list of priorities when looking at a new broker option. However, Scottrade seems to take customer service to the next level (the helpfulness and positive attitude of the employees were very apparent once I spoke with them). In fact, I’m so impressed that I’m thinking of moving my funds over to a Scottrade account. While there are cheaper solutions out there, I’m sure that the customer reps would be glad to help me if problems were to arise.

Is Scottrade Right for You?

At the end of the day, this is a personal choice that you have to make. Compared with any other broker that has all the higher end services of Scottrade, this broker is the cheapest (and probably the best). However, there are less expensive alternatives out there if you are looking strictly at per trade cost. Is the few dollars a trade worth the piece of mind of knowing you are in the perfect hands? It’s entirely up to you.

If you decide to go with Scottrade though, click here to get started.

Resources:

Scottrade.com – Official Site

Scottrade Promotion Code

Scottrade is currently offering everyone up to $100 to switch over the account. This reimbursement will cover the transfer fee that many brokers charge when you switch, which is a nice touch.

—
Related Articles at Personal Finance Blog by Money Ning: