Account Transfer Out Fees For Major U.S. Brokerages
ACAT Fees: Scottrade, Etrade, TD Ameritrade, CapitalOne Investing, Charles Schwab,
Merrill Edge/Merrill Lynch, Fidelity Investments, Vanguard, TradeKing, Optionshouse, Wells Fargo Wellstrade.
In pursuit of low trading commissions, many investors can pay very little attention to many other fees, which brokerage
firms charge to compensate for their low pricing. Fees can be much higher than trading commissions and add up fast,
thus potentially decreasing earnings. Account transfer fee is one of the brokerage's fees that investors should be aware of.
The fee can be as high as $125.
Account transfer fee, otherwise known as ACAT, is charged when an account transfer from one brokerage firm to another
is initiated by an investor. Both full and partial account transfer can incur fees. The account transfer fee
is charged to the investor by his current broker; however, the investor always works through the company he is transferring
his assets to. The good news is that the new broker can sometimes cover investor's charges for him by offering
special offers on reimbursing account transfers. It's always good to ask a broker if the company would cover investor's
transfer out charges.
As of September 2016, TradeKing offers the most generous offer. The broker reimburses up to $150 in fees for transferring
an account from other brokerage firms.
In addition, if you plan an account transfer, beware of the account closing fee some brokerages charge. Some firms have
no ACAT fees, yet they might have almost identical or even higher fees for account closure.
1 - per account for Fidelity IRAs (excluding SIMPLE IRAs), Fidelity Retirement Plan (Keogh) Accounts.
2 - IRA closing/termination fee.
3 - A $2,500 minimum equity balance must remain in the account; otherwise the $75 full transfer fee will apply.
4 - Transfer a security through the Direct Registration Service (DRS).