Getting started with TD Ameritrade
Are you a new investor considering opening a brokerage account at TD Ameritrade but don't know how to do it? Are you wondering how long the process takes and how difficult it is?
Opening a brokerage account can seem daunting, but we'll show you it's often easier than you think. Account opening at TD Ameritrade is in fact a great experience that needs no prior knowledge.
Together with my brokerage analyst colleagues, I have thoroughly tested the services of TD Ameritrade by opening a real-money account. Here’s what you need to know about account opening if you want to start investing with TD Ameritrade:
-
Account opening at TD Ameritrade is fully online and takes 1-3 days.
-
You will need to prove your identity and residency with documents.
-
Choose an account type that suits your needs.
-
The only available base currency is USD.
-
The minimum deposit at TD Ameritrade is $0.
-
Browse the best brokers for beginners for some great alternatives.
Before we start, let's check if TD Ameritrade is available in your country:
Account opening at TD Ameritrade vs other competitors
Account opening at TD Ameritrade is fully online, meaning you can do it from the comfort of your chair. In fact, you don't even need a chair: you can simply do it on the go on your mobile phone.
See how we rated the account opening experience and how long it takes to get started at TD Ameritrade compared with its main competitors:
Account opening score
|
4.4 stars | 4.4 stars | 5.0 stars |
---|---|---|---|
Account opening fully online
|
Yes | Yes | Yes |
Time to open account
|
1-3 days | 1-3 days | 1 day |
Opening an account is always free of charge, but the time it takes differs from broker to broker. At some brokers, it's as quick as signing up for a new Gmail account. At others, it might take a couple of days as they run a background check on your data. At TD Ameritrade, it usually takes 1-3 days to have your account up and running.
Navigating the complexities of trading can be challenging. If you're a new investor, you'll need a broker with a user-friendly trading interface and robust educational materials. So where to find such brokers? Start with our toplist of brokers we rated as good for beginners.
How to get a verified trading account at TD Ameritrade?
First, you need to go to TD Ameritrade's website and fill a registration form to apply for an account. It takes the broker a bit of time to review and verify your application - usually 1-3 days - after which you can make your first deposit and start trading.
Opening a brokerage account is not unlike opening a bank account. As you go through the steps, you’ll find that it is a simple and familiar process. Once your brokerage account is set up, you’ll find that the experience is similar to what you get with a bank account that you use for savings and transactions. See, it’s just another way of managing your money!
The sign-up procedure is usually self-evident; just follow the instructions carefully. Here's what awaits you at TD Ameritrade:
The account opening process is straightforward and easy. However, when you complete the online account opening form, you may be required to confirm your identity by mailing or faxing the generated document and a copy of your ID card of choice.
The good news is that the last time we opened an account, the process did not require paper documentation. In the course of separate attempts, it took us 1-3 business days to open the account.
If you are interested, you can apply for a margin account. A margin account allows you trade with a bigger buying power provided you meet the requirements. If you want to enable margin trading, you can do so in the account settings and you need a minimum account balance of $2,000.
The online application took roughly 20 minutes and our account was verified within 3 business days.
The following steps are typical toward the end of the application process or after verifying your identity:
-
You'll have to fill out a trading experience survey. It might seem scary at first, but it is nothing to worry about. This is standard procedure, as brokers need to make sure that you have some basic financial knowledge and are aware of the risks of trading.
-
Next, you'll have to choose an account type and a base currency.
-
As a final step, you'll need to fund your account before you can start trading.
Which TD Ameritrade account to choose?
Brokers usually provide multiple account types. When choosing an account, consider how experienced you are in trading, and pick an account that suits your needs. Some factors to take into account: your investment goals, risk tolerance, trading frequency, and any associated fees or account balance minimums.
If you're a beginner, we recommend selecting the most basic account offered by the broker, which is the standard account.
The above apply to retail accounts opened by private individuals. If you're looking to open a brokerage account for your company, see our overview of whether you can open a business investment account at TD Ameritrade and under what conditions.
Alternatively, find out more about TD Ameritrade's specific account types in our comprehensive TD Ameritrade review for 2024.
Which base currency should you choose?
At TD Ameritrade, the only available currency is USD. If possible, try to deposit money to your brokerage account in USD.
Why is all this important? If you fund your trading account in the same currency as your bank account, you won't have to pay a conversion fee. Conversion fees apply if:
-
You make a deposit in a different currency than the currency of your brokerage account.
-
You trade assets denominated in a different currency than your brokerage account's base currency.
A convenient way to save on currency conversion fees is by opening a multi-currency bank account at a digital bank.
Fund your account and start trading at TD Ameritrade
Once you have filled out the registration form, uploaded your documents, finished the trading survey and selected your account type and base currency, TD Ameritrade will verify your account shortly. After successful verification, you need to fund your account to be able to begin trading.
-
Choose your funding method.
-
Enter the amount to be deposited and other necessary details for the transaction.
-
Double-check if payment details are correct.
-
If all looks OK, click to submit your deposit request.
At TD Ameritrade, the minimum deposit is $0. This means that you can deposit as little money as you wish.
Brokers that don't require a minimum deposit do so to encourage people to try their services without requiring a large initial commitment. Many brokers no longer require a minimum deposit nowadays; so if you want to compare TD Ameritrade and its rivals along other criteria, you can do so using our broker comparison tool.
At TD Ameritrade, the only available option to deposit money to your account is via bank transfer.
Broker | Minimum deposit | Bank transfer |
---|---|---|
TD Ameritrade | $0 | |
E*TRADE | $0 | |
Charles Schwab | $0 |
After successfully funding your account, you're all set to start trading.
To explore TD Ameritrade’s top competitors, head over to our top list of the best brokers for beginners, whose low fees and user-friendly features benefit new investors like you.
FAQ
What is needed to open a TD Ameritrade account?
You need to complete a registration form on TD Ameritrade’s site. You’ll need a Social Security Number (SSN) or Individual Taxpayer Identification Number (ITIN), foreign tax ID, passport, or visa number (if you're not a citizen or permanent resident of the US.) You will need to give your employer’s name and address too. The application needs time to be verified (1-3 days) after which you can deposit and start trading.
How long does it take to open a TD Ameritrade account?
First, you need to fill out a registration form to apply for an account. Your application needs time to be verified, usually 1-3 days, after which you can deposit and start trading.
Can non-US citizens open a TD Ameritrade account?
TD Ameritrade's services are available mainly in the US and a few other countries, including China, Hong Kong, Malaysia, Singapore, Thailand, Taiwan, and Canada (through TD Direct Investing), and you can trade only on US markets. Note that services offered may vary from country to country based on the residence of the trader. For example, clients from Hong Kong, Malaysia, and Singapore can't trade mutual funds and forex, only stocks, ETFs, and options.
Can I open a TD Ameritrade account online?
Yes, you can open an account fully online at TD Ameritrade.
Does TD Ameritrade have a monthly fee?
TD Ameritrade does not charge a commission to trade stocks, options or ETFs. A $0.65 per contract fee applies for options trades. A $6.95 commission applies to trades of over-the-counter (OTC) stocks, which includes stocks not listed on a US exchange. However, there are no inactivity or annual fees, nor is there a fee to make partial transfers out of your account. If you want to transfer out your full balance, you'll pay $75. Check out the details on fees in our dedicated article.
Check out this short video for a behind-the-scenes peek into how our experts personally test and evaluate brokers.
Everything you find on BrokerChooser is based on reliable data and unbiased information. We combine our 10+ years finance experience with readers feedback. Read more about our methodology.