Online stock broker OptionsHouse sent me the following e-mail today:
On October 1, 2013, OptionsHouse is changing our stock commissions rate. However, we wanted to notify you that this change will not affect any of your current accounts with us. In addition, if you choose to open and fund any additional accounts in the future, you will continue to receive your current stock commission rate. For full details related to changes to our stock commissions, please visit our rules page.
Basically, their commission on stock trades is going up from $3.95 to $4.75 for new customers only. Existing customers will stay at $3.95. They’ve done this before, as I’m actually grandfathered in at $2.95 a trade (opened back in 2010), which I think is a good way to treat existing customers. Options pricing remains the same, starting at $5 for up to 5 contracts. Under $5 a trade with no minimum balance requirements is still very competitive.
There is still a small window if you want to get yourself grandfathered in at $3.95 a trade. You must complete your application prior to 10/1/2013 and fund your account prior to 1/1/2014. There are a variety of promotions available for new customers. You can only get one of these, so pick carefully:
- 100 free trades with 60 days of funding. Good for those starting up a new portfolio. Must open with a minimum of $5,000.
- $200-$600 Bonus for IRA Rollovers. Good if you are rolling over a 401(k) or similar with $25,000+ balance.
- Free Dell 23″-27″ LCD Monitor. Fund with at least $10,000 plus make 15 trades within 90 days of funding, and get a free Dell Monitor.
- Free Kindle Fire HD. Fund with at least $10,000 plus make 15 trades within 90 days of funding, and get a free Amazon Kindle Fire HD.