If IB's Website Contains Falsehoods, Customers are SOL

Discussion in 'Retail Brokers' started by himself, Mar 14, 2006.

  1. himself


    I tried IB's new CME pit access today.

    IB's website says they take stop orders for the CME pit orders.

    I entered stop orders in cattle.

    When my orders were not executed IB said that their website is false, that only limit orders are taken and they refused to compensate me for the orders not executed, writing to me:

    "IB would not compensate you based upon incorrect information
    on the web site as there is a disclaimer posted to our home page
    that basically states that we do not indemnify the information
    provided against error or omissions"
    "The contents of this Web Site are believed to be reliable....."

    I am sure I am not the first person that used an order other than a limit order, and they could not believe "The contents of this Web Site are believed to be reliable....."" they knew their website had false information.
  2. I guess if they accidently "misplaced" all your money too... it wouldn't be IB's fault, we could all just blame the website.

    Gotta love the "big" companies that screw all their customers. Funny how IB has a following though, even though the same people that support the company are just screwing themselves out of money. But, people are dumb enough to support the "big ones" like Etrade and IB. Their own fault, they deserve how they get screwed.

    Sorry, but you should seek out better alternatives, otherwise they will continue to blame it on the website :)
  3. himself


    I wonder how many others placed non-limit orders and got screwed?
    I'm out $480, and they are telling me to stuff it?
    I don't think so!
  4. When I see all these IB threads, I thank God that I have a broker that truly exemplifies customer service.
  5. himself


    I never had trouble with IB before,
    but now they are trying to service me like
    Ferdinand the Bull serviced Elsie the cow.
  6. LMAO, I love that analogy! Seriously though, I have done some research, haven't used them yet, but Open E Cry seems to be good for commissions and pit traded. Take it for what it is worth, maybe a nickel!:D

    I don't trade pit as pit = shit (fills) that is IMO.

    PS. Upon thinking about, maybe you should contact the CFTC or NFA on this one. Just a thought.
  7. mhashe


    There were several threads that had IB personnel like Def pretty much state that you trade pit traded futures contracts through IB at your own risk, because once the order hits the floor it's out of their control what price you get filled unless it's a limit order. He did'nt go all out and say "you're pretty much screwed ", but that was the essence of his posts on the subject. Do a search, I think there are 2 threads on this subject.
  8. if what you are saying is accurate and is the whole story--- IB will have a serious issue. Suggest you copy those statements on the website just in case its changed magically.


  9. It says they simulate a stop order.

    As well as other orders besides limit.

    Are we getting the whole story here?
  10. himself


    Yes you are getting the "whole story"here.

    Below is my email to IB, followed by their response.

    Here is my email to IB:
    xxxxxxx wrote on 03/14/2006 02:09:29 PM:

    > Acct name:xxxxxx>
    > Date 14 March, 2005
    > Client Order ID: 366258183
    > I read your website about your new service to trade cme pit
    > contracts, see attached _screenshot:
    > http://www.interactivebrokers.com/en/trading/exchanges.php?
    > exch=cme&ib_entity=llc
    > and decided to try the meats.
    > So, early today I entered an order to sell 2 june Live Cattle at 79.15 stop.
    > A few hours later, it traded down through that price and when I did
    > not get a fill in about 15 _minutes I called up_ 877-442-2757 and
    > "Bob" checked on the order. He said that only limit _orders are acceptable.
    > That is not what I had read on you website, see above attachment,_
    > which says that IB _simulates 5 other types of orders including "Stop".
    > When one then clicks on the highlighted "Stop" one goes to another
    > IB page, a screenshot _of which I have attached herewith:
    > http://www.interactivebrokers.com/en/trading/orders/stop.php_
    > Which defines "stop orders": "Sell Simulated Stop Orders become market _orders
    > when the _last traded price is less than or equal to the stop price."
    > I doubt that I am the first person who entered an order other than a
    > limit order for you it _service, and therefore IB knew that the
    > information on their website was false and did not _accurately
    > reflect the services that you would provide when orders were entered.
    > You customer service people said there was no way to put the
    > position into my account but _that I should email you_ for
    > compensation. Because nobody knows whether the live cattle _will
    > continue to fall tomorrow, or will rally, the only neutral way to
    > compute compensation _therefore is from today's close.
    > June live cattle closed at 78.55, so my contracts would have been 60
    > points in the money.
    > compensation due:
    > 2_ contracts X 60_ points X $ 4/pt= $480
    > Thank you,
    > xxxxx
    > Acct #xxxxx

    _Here is IB response to me:

    Dear Trader,

    IB would not compensate you based upon incorrect information
    on the web site as there is a disclaimer posted to our home page
    that basically states that we do not indemnify the information
    provided against error or omissions:


    The contents of this Web Site are believed to be reliable, but the accuracy or completeness of any information contained herein is not guaranteed and members of The Timber Hill Group shall not in anyway be liable for any delay in keeping such information current. Members of The Timber Hill Group specifically disclaim all warranties, express or implied, except those derived from its executed Customer Agreements.

    Although Interactive Brokers believes that the information provided on these pages is accurate, it provides no warranty with respect thereto. The information may not be suitable for all persons; it should not be relied upon in connection with a particular investor's trading; and, is not intended to be, nor should be construed as, an offer, recommendation or solicitation. Interactive Brokers does not provide investment advice, and it only accepts Customers who have read and understand the relevant risk disclosure documents. The information on this web site is not intended for persons who reside in jurisdictions where providing such information would violate the laws or regulations of such jurisdiction.“


    John W
    IB Customer Service
    #10     Mar 14, 2006