If I close these now I pay $16.24 in commissions. So now I have to wait till probably Monday to free up my funds. If on margin don't most brokers waive the fees under .05 for puts/naked calls because you are taking off the risk?
Same here. All of the brokers that I trade with don't charge commissions when the price is 5 cents or less. I thought that's the industry standard.
I think they will do that (Schwab/Fidelity) if you let them route it (PFOF). If you choose your own exchange, they will charge you...
Really? I thought that's a broker's thing. It's zero commission if the price is 5 cents or less regardless how you route it. And besides nowadays everything is PFOF no matter how you route it.
You may be right...We know there is an added exchange fee, but it's usually small. I'm not that active...I buy back calls (do puts) about once/twice a year. I noticed the free fees, but I usually don't route them. Leaps/long calls, buying back during expiration week to have it not get called away...Then do another Covered call.
Me either. I usually write a lot of options and I just let them expire worthless instead of closing them out unless I am really worried about the pin risk. I mean if the price has dropped to be within 5 cents, what's the point of closing them out when you can enjoy the entire premium? And besides, it's really hard to close them at 5 cents. The fill was HORRIBLE. I spent an entire day closing them. The underlying was well within the price range but the SOB's just won't move. And I bet you if I moved my price to 10 cents, my orders would be filled instantly but I stood my grounds and held onto my price and at the end they were all closed at 5 cents with zero commission. I won the staring contest! LOL So it's quite strange OP would be charged commission when the price is below 5 cents.