Help opening a roth IRA, please.

[jeepcj258]

I am about to open a scott trade account and want to set it up as a roth IRA. I already have a roth IRA with Hartford (has made no money and I don't manage it) and would like to move the funds from the Hartford account to the Scottrade account.

How do I cash out the funds from the Hartford fund and put them into the Scotttrade account? Any advise? Sorry if this is a noob question or is not in the correct forum.

Truly appreciate any and all advise.

Seth

 

[poolman]

I am about to open a scott trade account and want to set it up as a roth IRA. I already have a roth IRA with Hartford (has made no money and I don't manage it) and would like to move the funds from the Hartford account to the Scottrade account.

How do I cash out the funds from the Hartford fund and put them into the Scotttrade account? Any advise? Sorry if this is a noob question or is not in the correct forum.

Truly appreciate any and all advise.

Seth

I did this all from the Scottstrade website. The appropriate application information is there for you to fill out and how you set your account up is one of the questions in the application. Once you have filled out the application Scottstrade will take care of the transfer for you.

Also you might be interested to know that I also have an Account with TD Ameritrade and I like them better than Scottstrade. Scottstrade touts $7.00 Dollar per trade but this is not always true. Depending on what stocks you are interested in the Trade is not always $7.00

TD Ameritrade is $9.99 a trade and it is always $9.99 per trade. Just some information for you.

 

[jeepcj258]

Poolman,
thanks for the response.
For the additional cost on Scott Trade, was it a couple more $$ or some % of the trade?

seth

 

[jeepcj258]

Just off the phone with TD Ameritrade and Scott Trade.

It is $9.99 flat for TD. Scott Trade is $7 for most trades (likely 99.9% of what I would be trading) but varies for penny stocks, mutual funds, and option contracts (none of huge interest to me). Seems like it would make more sense to go the Scott Trade route if all of my trades fall into the $7.

Thoughts?

 

[Gumby]

I have used Scottrade for several years.... and I like it. I have two ROTH accounts set up with them.

 

[poolman]

Just off the phone with TD Ameritrade and Scott Trade.

It is $9.99 flat for TD. Scott Trade is $7 for most trades (likely 99.9% of what I would be trading) but varies for penny stocks, mutual funds, and option contracts (none of huge interest to me). Seems like it would make more sense to go the Scott Trade route if all of my trades fall into the $7.

Thoughts?

The one trade that bothered me to the point to get an account with TD Ameritrade was a penny stock that I bought through Scottstrade and sold through Scottstrade. I owned approx. 1.5 million shares of this stock. I did make quite abit of money with the trade But it cost me almost $300.00 round trip. The same trade with TD would have cost me $19.98 round trip.

I have accounts with both Brokerages. I just know what not to trade through Scottstrade.

 

[jeepcj258]

The one trade that bothered me to the point to get an account with TD Ameritrade was a penny stock that I bought through Scottstrade and sold through Scottstrade. I owned approx. 1.5 million shares of this stock. I did make quite abit of money with the trade But it cost me almost $300.00 round trip. The same trade with TD would have cost me $19.98 round trip.

I have accounts with both Brokerages. I just know what not to trade through Scottstrade.

This is great info, thank you.

I did go ahead with the Scottrade account this morning, but not without reservation. I opened it as a Roth IRA and plan to roll my other Roth into it.

I am still planning to open an additional traditional IRA (when I have extra funds available, I will have a place to contribute).

Thanks again
Seth

 

[Birchtree]

The Roth IRA is a great investment vehicle if you want to transfer another deferred program into one - otherwise starting fresh takes forever to buid a substantial base. But we all have to start somewhere. I wouldn't even mess with a traditional IRA - not worth the problems when you withdraw.

 

[jeepcj258]

The Roth IRA is a great investment vehicle if you want to transfer another deferred program into one - otherwise starting fresh takes forever to buid a substantial base. But we all have to start somewhere. I wouldn't even mess with a traditional IRA - not worth the problems when you withdraw.

BT,
Thanks.

You recommend a standard brokerage account rather than an IRA. Just keep reinvesting to avoid taxes until which time I actually need it to support me (many years down the road)?

Seth

 

[Birchtree]

You will be held accountable tax wise for dividend income - even if you reinvest that money. You will not incur a capital gain until you sell a stock. But you have nothing standing in your way if you want to load up the truck. I'm with Bank of America Merrill Edge and currently pay $4.95 a trade. If one has $25,000 in a bank account of any kind with BAC or Merrill you'll get 30 free trades a month. My margin interest rate is currently 5.25% and tax deductable - I use the interest deduction to help off set my dividend income tax. Plus I can get buying power without taking a capital gain - dangerous, of course, but that's the life I choose to live.