Is Thinkorswim platform free of charge to open and use? Is stock trading on Thinkorswim free to all customers?

Is Thinkorswim Free To Use?

The thinkorswim trading platform offered by TD Ameritrade is one of the best and most used trading platforms in the industry. If you are considering using thinkorswim, you may be wondering what the costs are. In this article, we cover all the relevant details regarding the costs of the thinkorswim platform.

Thinkorswim Costs & Fees

The thinkorswim platform is available completely free for all TD Ameritrade customers to download and use. Thinkorswim has three different versions including web, mobile, and desktop — all of which are free.

There are no hidden costs or fees when using the platform. Unlike some other brokers’ trading platforms, there are no minimum balance requirements or minimum trading requirements to get access to thinkorswim.

All non-professional users get access to real-time quotes and level 2 quotes within thinkorswim for free.

A few of the amazing free tools and features automatically included inside of the downloadable desktop version of thinkorswim are the paper trading feature, derivatives and stock scanners, a learning center packed full of a wide range of content, and the thinkscript feature that allows you to write and execute scripts within the platform.

You can choose to subscribe to TD Ameritrade’s optional Market Edge Daily subscription which costs $9.99 per month and provides you with comprehensive fundamental and technical research and evaluation of more than 4,500 stocks on a daily basis.

Open TD Ameritrade Account

Open TD Ameritrade Account

Thinkorswim Trading Commissions & Fees

Although thinkorswim is totally free, you still have to pay the regular commissions and fees for trading within the platform. Thinkorswim offers commission-free trading for U.S. exchange-listed ETFs and stocks, but there is a caveat to be aware of.

The caveat applies specifically to OTC stocks which come with a cost of $6.95 per trade. So, for a round-trip of buying and selling an OTC stock, you will pay almost $14.

Thinkorswim offers over 3,000 no-transaction-fee mutual funds. Beware though that if you hold one of these mutual funds for less than 181 days, you are subject to a short-term-redemption fee of $49.99 per sell order. For futures trading on thinkorswim, you are charged $2.25 per contract. Thinkorswim doesn’t charge any commissions for FOREX trading however, they do implement a fee within the bid/ask spread.

If you plan on using margin for your trading on thinkorswim, other than for day trading, then be prepared to pay relatively high margin interest rates. Thinkorswim charges 11.75% interest for margin balances under $10,000 and their lowest published margin interest rate is 9.75% for margin balances between $250,000.00 - $499,999.99.

Is Thinkorswim Free

Other Thinkorswim Costs & Fees

In addition to thinkorswim’s free platforms and commission-free trading offering, they don’t charge for processing voluntary tender offers, removal of worthless securities, or partial account transfers. You can also open and fund accounts for free.

Some various costs and fees that thinkorswim charges are $25 for outgoing wire transfers, $25 for broker-assisted stock, ETF, and options trades placed for you over the phone, $50 for forced margin liquidation trades, $40 plus all applicable local market charges for foreign security trades, and $38 for mandatory reorganizations.

Thinkorswim Cost

Open TD Ameritrade Account

Open TD Ameritrade Account

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