Is Zacks Trade free?

Zacks Trade does charge a commission for real stock trading on US markets, so in this sense it is not a free-to-trade broker. However, it might still be a reasonable choice for some of you, as there are many other aspects other than commissions that are important when you choose a broker. If you wish to stick with Zacks Trade though, then you will find the fees they charge below. Alternatively, you could check our article detailing the best zero commission brokers and how their apps scored in our test.

We should note that the payment-for-order-flow model, which is used by some zero-commission brokers to generate income (rather than relying on commissions), could potentially create a conflict of interest between you and your broker. This could result in trade execution (like routing your orders to specific market makers) that might be unfavorable for you under certain market conditions, especially when using market orders (as opposed to limit orders, which seem to be less affected).

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Zacks Trade fees
Overview of Zacks Trade fees and charges

It's safe to say that Zacks Trade's fees are low in general. They either don't charge a brokerage fee for things that other brokers do, or they only charge a small amount.

Here's a high-level overview of Zacks Trade's fees

Zacks Trade Fees snapshot
Assets Fee level Fee terms
US stock fee Low $0.01 per share commission for stocks above $1 share price, or 1% of trade value for stocks below $1 share price. The minimum fee is $1 minimum.
EURUSD fee - Not available
US mutual fund fees High $27.50 per transaction
Inactivity fee Low No inactivity fee

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Zacks Trade fees
Zacks Trade fees explained

Online brokerages in general charge much lower brokerage fees than traditional brokerages do - this is largely because online brokerages' businesses can be much better scaled: from a purely technical standpoint, it doesn't make that much of a difference for them if they have 100 or 5,000 clients.

This is not to say, however, that they don't charge any fees at all. They make money by charging you various rates for various actions or events. Usually you need to keep an eye on the following three types of fees:

  • Trading fees - these are brokerage fees that you pay when you actually carry out a trade, like buying an Apple share or an ETF. What you pay is either a commission, a spread or a financing rate. Some brokers apply all of these.
    • A commission is either fixed or based on the traded volume.
    • A spread is the difference between the buy price and the sell price.
    • A financing rate or overnight rate is charged when you hold your leveraged positions for more than one day.
  • Non-trading fees. These are usually related to some operations you carry out in your account, such as depositing money, withdrawing money, or not trading for an extended period.

We compare Zacks Trade fees with its closest competitors, ChoiceTrade and TradeStation.

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Zacks Trade fees
Zacks Trade trading fees

Zacks Trade's trading fees are low, which makes it suitable for you even if you trade often (i.e. several times a week).

Let's break down trading fees according to the different asset classes available at Zacks Trade.

Trading fees

Zacks Trade's trading fees are low.

Stock fees and ETF fees

Zacks Trade has low stock trading fees.

Stock fees of a $2,000 trade
Zacks Trade ChoiceTrade TradeStation
US stock $1.0 $0.0 $1.0
UK stock $15.6 - -
German stock $14.4 - -

Fund fees

Zacks Trade fund fees are high.

Fees of a $2,000 fund purchase
Zacks Trade ChoiceTrade TradeStation
Mutual fund $27.5 - $15.0
EU mutual fund - - -

Bond fees

Zacks Trade has low bond fees.

Fees of a $10,000 bond trade
Zacks Trade ChoiceTrade TradeStation
US Treasury bond $5.5 - $20.0
EU government bond $25.0 - -

Options fees

Zacks Trade's options fees are low.

Options fees for 10 contracts
Zacks Trade ChoiceTrade TradeStation
US stock options $7.8 $4.0 $10.0
US stock index options $7.8 $4.0 $10.0
UK stock index options - - -
German stock index options - - -

Margin rates

Zacks Trade margin rates are average.

Zacks Trade margin rates
Zacks Trade ChoiceTrade TradeStation
USD margin rate 3.6% 6.3% 9.5%
EUR margin rate 3.5% - -

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Zacks Trade fees
Zacks Trade non-trading fees

When it comes to non-trading fees, Zacks Trade is a rather cheap broker.

Non-trading fees include various brokerage fees and charges at Zacks Trade that are not related to buying or selling assets. This can be a withdrawal fee, deposit fee, inactivity fee or account fee.

A high-level overview of how Zacks Trade stacks up in terms of non-trading fees
Zacks Trade ChoiceTrade TradeStation
Withdrawal fee $0 $5 $0
Deposit fee $0 $0 $0
Inactivity fee No Yes Yes
Account fee No Yes No

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Zacks Trade fees
Zacks Trade deposit fee

Usually, brokers don't charge anything for deposits, and Zacks Trade is no different.

Zacks Trade deposit methods
Zacks Trade ChoiceTrade TradeStation
Bank transfer Yes Yes Yes
Credit/debit card No No No
Electronic wallets No No No
Deposit fee $0 $0 $0

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Zacks Trade fees
Zacks Trade withdrawal fee

Zacks Trade generally doesn't charge a withdrawal fee.

Zacks Trade withdrawal fees and options compared
Zacks Trade ChoiceTrade TradeStation
Bank transfer Yes Yes Yes
Credit/debit card No No No
Electronic wallets No No No
Withdrawal fee for bank transfer $0 $5 $0

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Zacks Trade fees
Zacks Trade inactivity fee

Zacks Trade does not apply an inactivity fee, which is great because your account won't be charged even if you do not trade for an extended period (like several months or years).

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Author of this article

Nicole Conrad

Author of this article

Nicole is an intern content contributor for Brokerchooser. She comes to Brokerchooser with experience and certification in Accounting, and she currently is pursuing graduate studies in Economic Policy. Nicole writes broker reviews to provide transparency for customers: highlighting brokers’ exceptional services and holding them accountable for questionable practices.

Nicole Conrad

Broker Analyst

Nicole is an intern content contributor for Brokerchooser. She comes to Brokerchooser with experience and certification in Accounting, and she currently is pursuing graduate studies in Economic Policy. Nicole writes broker reviews to provide transparency for customers: highlighting brokers’ exceptional services and holding them accountable for questionable practices.

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

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