Does Ameritrade give Interest on Balance?

Discussion in 'Retail Brokers' started by Sanjuro, Jun 2, 2004.

  1. Sanjuro


    Does Ameritrade give Interest on Balance?

    I search their entire site and couldn't find this information.
    I know FreeTrade does not give interest on unused Balance.
    I know Datek gave interest before it got bought by Ameritrade.

    Does anyone know the answer?
    And where on it's web site it shows this?

  2. From Ameritrade's Website (Site Map & Getting Started/FAQ):

    Interest on Cash Balances

    As a benefit to our clients, Ameritrade pays interest on credit balances over $25,000 in your account.

    Simple interest is calculated on the entire daily balance and is credited to your account monthly.

    We pay interest daily on all free credit balances of $25,000 or more that are being held for future investment. (Wisconsin residents cannot earn interest.)
  3. Sanjuro


    Thank you.

    I called them and found out you get 0.1% over 25k.
  4. Catoosa


    I established a "Reserve Fund" at AT into which my cash sweeps into each night on which I earn a return on the balance. This does not require a balance of as much as $25000 to earn a return. However, the returns earned in our current low interest environment are almost nothing and are not worth the trouble of setting up the Reserve Fund at this time.