TD or Schwab?

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Tenesmus83
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TD or Schwab?

Post by Tenesmus83 » Sun Oct 06, 2019 9:17 pm

For taxable account. Can't decide because I'm overly paralyzed by own analysis.

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Rick Ferri
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Re: TD or Schwab?

Post by Rick Ferri » Sun Oct 06, 2019 9:19 pm

It makes no difference. Both have access to the same securities. Both have free ETF trading. It's a level playing field. FWIW, I prefer Schwab statements over TD.

Rick Ferri
The Education of an Index Investor: born in darkness, finds indexing enlightenment, overcomplicates everything, embraces simplicity.

Alan S.
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Re: TD or Schwab?

Post by Alan S. » Sun Oct 06, 2019 9:33 pm

Both have cut stock commissions to 0, and may have to make up the revenue loss elsewhere.

However, TDA commissions represent a much higher % of revenue than Schwab's, so if there are cuts to staff or service as a result of this revenue loss, TDA cuts would probably be deeper than Schwab's. Advantage Schwab.

aristotelian
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Re: TD or Schwab?

Post by aristotelian » Sun Oct 06, 2019 9:49 pm

I like Schwab's free checking account. I could be convinced to do TD for a nice bonus.

frcabot
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Re: TD or Schwab?

Post by frcabot » Sun Oct 06, 2019 10:08 pm

I prefer TDA due to having better trading platforms, level 2 quotes, etc., but this comes down purely to personal preferences. Schwab has good mutual funds if you prefer mutual funds over ETFs.

student
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Re: TD or Schwab?

Post by student » Sun Oct 06, 2019 10:20 pm

They are very similar but I would say Schwab is better due to no international ATM fees.

typical.investor
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Re: TD or Schwab?

Post by typical.investor » Sun Oct 06, 2019 10:41 pm

frcabot wrote:
Sun Oct 06, 2019 10:08 pm
I prefer TDA due to having better trading platforms, level 2 quotes, etc.
I qualify for level 2 quotes at Schwab. It''s in their Street Smart Edge tool.

Anyway, how is TDA for 2FA? Is it only via a phone number?

I prefer the Symatec VIP access app which Schwab uses. If someone hijacks my phone number, they aren't going to have access to 2fa verification.

TDA probably has a guarantee similar to Schwab against unauthorized I assume. It's probably not really a concern either way.

wootwoot
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Re: TD or Schwab?

Post by wootwoot » Sun Oct 06, 2019 11:19 pm

TDA, much better trading platform.

Jack FFR1846
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Re: TD or Schwab?

Post by Jack FFR1846 » Mon Oct 07, 2019 7:08 am

If you decide to move an account from TDA, there's no closure fee. Schwab will charge you.
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student
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Re: TD or Schwab?

Post by student » Mon Oct 07, 2019 7:28 am

Jack FFR1846 wrote:
Mon Oct 07, 2019 7:08 am
If you decide to move an account from TDA, there's no closure fee. Schwab will charge you.
Am I missing something? https://www.tdameritrade.com/pricing/br ... -fees.page says $75 for full account transfer. Are you thinking about leaving $1 and do a partial transfer, which is free? Schwab has $50 fee for full account transfer and $25 fee for partial. https://www.schwab.com/public/schwab/nn ... stors.html

neilpilot
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Re: TD or Schwab?

Post by neilpilot » Mon Oct 07, 2019 7:48 am

Is there a difference when it comes to access to each local office?

In my case, when I evaluated Schwab vs TDA years ago it came down in large part to my local office visit. Each office is convenient to me. The local Schwab branch manager seemed somewhat standoffish and couldn't accept that I was capable of self managing my 2-4 fund account al la BH. The TDA manager was much more helpful and accepting of my investment goals.

Some investors don't care or even want access to a local branch (Vanguard comes to mind), but for me it was an important factor, and has proven to be very helpful in the 4 years since I've been with TDA.

Another significant difference was the $3.8k in new account bonus money that TDA paid me back in 2015. :D

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sperry8
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Re: TD or Schwab?

Post by sperry8 » Mon Oct 07, 2019 7:52 am

student wrote:
Sun Oct 06, 2019 10:20 pm
They are very similar but I would say Schwab is better due to no international ATM fees.
Exactly my thoughts. But if OP never travels outside the USA then this point is moot.
BH contest results: 2018: #150 of 493 | 2017: #516 of 647 | 2016: #121 of 610 | 2015: #18 of 552 | 2014: #225 of 503 | 2013: #383 of 433 | 2012: #366 of 410 | 2011: #113 of 369 | 2010: #53 of 282

cheesepep
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Re: TD or Schwab?

Post by cheesepep » Mon Oct 07, 2019 8:21 am

Schwab. Has better customer service. I was a former TD customer also after they bought Scottrade. Also, better checking account rates.

TallBoy29er
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Re: TD or Schwab?

Post by TallBoy29er » Mon Oct 07, 2019 9:24 am

typical.investor wrote:
Sun Oct 06, 2019 10:41 pm

Anyway, how is TDA for 2FA? Is it only via a phone number?
I would love to be corrected on this, but TDA does not have 2FA. They do challenge response questions, but that is very different (and archaic).

Momus
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Re: TD or Schwab?

Post by Momus » Mon Oct 07, 2019 9:26 am

Schwab since they are one of the first to drop commission to 0. Others are just following suit, scrambling trying to avoid losing customers.

galectin
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Re: TD or Schwab?

Post by galectin » Mon Oct 07, 2019 10:08 am

I have had a good experience with TDA. The advisor at my local office has been supportive of my self-directed three-fund index approach and helpful when I did a back-door Roth conversion. I got a phone call from him letting me know that they had gone to the zero-commission fee structure.

He has never tried to upsell me to an advisor-managed acct.

Momus
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Re: TD or Schwab?

Post by Momus » Mon Oct 07, 2019 10:11 am

galectin wrote:
Mon Oct 07, 2019 10:08 am
I got a phone call from him letting me know that they had gone to the zero-commission fee structure.
See how they are afraid to lose customers? Lol...

Workable Goblin
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Re: TD or Schwab?

Post by Workable Goblin » Mon Oct 07, 2019 11:17 am

sperry8 wrote:
Mon Oct 07, 2019 7:52 am
Exactly my thoughts. But if OP never travels outside the USA then this point is moot.
Not really. It still works on domestic ATMs, after all, so it takes all of the guesswork and legwork out of finding fee-free ATMs to use. And there are places in the United States where [insert big bank here] doesn't have ATMs; Hawaii, for instance, where I'm guessing if you happen to be vacationing here you don't want to go to the trouble of opening up a local bank account just for the pleasure of being able to grab cash fee-free. Of course, plenty of other banks offer domestic ATM fee refunds, but I'm not sure if TD Ameritrade is one of them.

shess
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Re: TD or Schwab?

Post by shess » Mon Oct 07, 2019 11:42 am

Tenesmus83 wrote:
Sun Oct 06, 2019 9:17 pm
For taxable account. Can't decide because I'm overly paralyzed by own analysis.
If you're really paralyzed, is there a big downside to just getting accounts with both and trying them out?

If you're just starting out with this whole thing, let me tell you a secret ... it mostly doesn't matter. Companies like these who have been in business for a few decades are almost uniformly adequate for most of the obvious things. Often, the things which convince you to keep or toss a company are pretty minor things that nobody would ever mention because they don't do those things (and you do).

Usually what I find with myself when I'm in such a "dilemma" is that either choice is sufficient (otherwise I wouldn't be paralyzed), so flipping a coin is as good a way to break the logjam as any. Or pick the one who's logo you like best.

{As someone else said, I would give light preference to whichever one has a physical office within a half hour or so of you.}

neilpilot
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Location: Memphis area

Re: TD or Schwab?

Post by neilpilot » Mon Oct 07, 2019 11:45 am

Workable Goblin wrote:
Mon Oct 07, 2019 11:17 am
sperry8 wrote:
Mon Oct 07, 2019 7:52 am
Exactly my thoughts. But if OP never travels outside the USA then this point is moot.
Not really. It still works on domestic ATMs, after all, so it takes all of the guesswork and legwork out of finding fee-free ATMs to use. And there are places in the United States where [insert big bank here] doesn't have ATMs; Hawaii, for instance, where I'm guessing if you happen to be vacationing here you don't want to go to the trouble of opening up a local bank account just for the pleasure of being able to grab cash fee-free. Of course, plenty of other banks offer domestic ATM fee refunds, but I'm not sure if TD Ameritrade is one of them.
Interesting only if you use an ATM when you travel. We travel very often since retirement a few years ago. Maybe as much as 25% of the year. We use an ATM 1-2 times during our annual trip to Europe, since that's how we handle foreign exchange that's not thru our travel credit card. However, I can't recall the last time we used an ATM in the USA, other than when we're home in Memphis. I find that if I carry around $200 in cash on a 1-2 week trip, I generally charge all substantial spending and NEVER need to us an ATM.

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