Opening a new brokerage account with ETRADE can earn you a cash bonus or commission-free trades. ETRADE frequently offers new account promotions to attract new customers. As an established online brokerage with over 30 years of experience, they have the tools and resources to meet most investors’ needs.
These new account deals provide an incentive to try E*TRADE’s investing platform and extensive research tools. However, you must meet certain requirements to qualify for these bonuses. Having a clear understanding of the terms will ensure you earn the bonuses smoothly.
This comprehensive guide covers all the need-to-know details about current and past ETRADE promotions. Read on to learn how to maximize these offers and see if opening an ETRADE account fits your investing needs.
Overview of E*TRADE New Account Promotions
E*TRADE occasionally offers promotions for new brokerage and IRA accounts. These limited-time offers provide cash bonuses or commission-free trades when you open an account and meet certain deposit minimums.
For example, in 2022 they offered the following new account promotions:
- Up to $3,500 cash bonus – For depositing $25,000 to $1 million in new brokerage accounts
- $0 commissions – For 60 days when opening a new brokerage account
E*TRADE also provides referral bonuses if an existing customer refers family or friends who then open accounts. Referral bonuses range from $50 to $500 in recent offers.
These promotions give you extra incentives to try E*TRADE’s investing services and tools. However, you need to read the fine print to ensure you fully qualify for the bonuses.
Current E*TRADE New Account Promotions
E*TRADE Brokerage Account Bonus
E*TRADE is currently offering a cash bonus for opening new brokerage accounts:
- Deposit $25,000 to $49,999 – Get a $150 bonus
- Deposit $50,000 to $99,999 – Get a $300 bonus
- Deposit $100,000 to $249,999 – Get a $600 bonus
- Deposit $250,000 to $499,999 – Get a $1,200 bonus
- Deposit $500,000 to $999,999 – Get a $2,500 bonus
- Deposit $1 million+ – Get a $3,500 bonus
To qualify for this E*TRADE promotion you must:
- Open a new E*TRADE brokerage account by December 31, 2023
- Deposit cash or securities within 45 days of opening your account to meet the minimum balance requirement
- Maintain the qualifying balance for at least 3 months from the date you reach the balance threshold
E*TRADE will deposit the bonus in your new account within approximately 60 days of meeting the requirements. This offer applies to individual, joint, trust, estate, non-profit, and IRA brokerage accounts. It’s not valid for entity accounts like LLCs and corporations.
E*TRADE IRA Account Promotion
E*TRADE offers a $50 bonus when you open a new traditional IRA, Roth IRA, or Rollover IRA account with a minimum $500 deposit. To qualify you must fund your account within 45 days of opening it.
They’ll deposit the $50 IRA bonus within 60 days after you meet the requirements. This IRA promotion does not have an expiration date, so it’s frequently available.
E*TRADE Preferred Savings Promotion
While not a brokerage account, you can earn bonus interest on E*TRADE Preferred Savings accounts. Their current offer includes:
- 0.50% bonus rate for 3 months on new Preferred Savings accounts
- To qualify, open a new account with a minimum $10,000 balance
The Preferred Savings account pays competitive interest rates, with the bonus which currently equates to 4.30% APY for the first 3 months.
Past E*TRADE New Account Promotions
While the above offers are current as of August 2023, E*TRADE periodically changes its new account promotions. Reviewing recent historical offers provides an idea of potential future deals.
60 Days of Commission-Free Trades
One popular E*TRADE promotion is 60 days of $0 commissions when opening a new brokerage account. They’ve run variations of this offer in 2021 and 2022.
It usually requires a minimum $5,000 deposit within 60 days of opening your account. And applies to US exchange-listed stocks, ETFs, and options trades. Other transaction fees still apply.
Reduced Options Trading Commissions
At times E*TRADE has offered discounted stock and options trade commissions when you fund a new brokerage account.
For example, in late 2022 they offered $0.50 per options contract for your first 60 days. This was 50% off the regular $1.00 per contract options fee.
E*TRADE Referral Bonuses
E*TRADE customers can earn cash bonuses for referring family and friends who open new accounts. The referred individual also gets a bonus.
Recent referral bonuses included:
- $50 stock bonus for referring a new E*TRADE IRA account
- $500 cash bonus for referring a new account with a $500,000+ balance
Referral bonuses vary over time but are a recurring promo. There is no limit to the number of people you can refer.
Account Transfer Bonuses
Many brokerages offer bonuses for transferring accounts from another firm to E*TRADE. This compensates you for the effort of moving your investments.
For example, in 2021 they offered a $600 bonus for transferring over a $250,000 brokerage account balance.
Claiming Your E*TRADE New Account Bonus
Activating your cash bonus or free trades is easy once you meet the requirements. Here are a few things to keep in mind to ensure you earn the promotional rewards:
- Open your account online – You must apply on E*TRADE’s website to qualify for new account offers. Accounts opened in other ways like calling or visiting a branch typically don’t qualify.
- Watch account funding timelines – Deposit your opening balance within the stated timeframe, usually 45 or 60 days. This also applies to any ongoing balance requirements.
- Don’t withdraw your balance too soon – Maintain the minimum balance for the full period in the terms, often 3 or 6 months. Withdrawing funds prematurely can forfeit bonuses.
- Check for bonus deposits – Your E*TRADE cash bonus will simply be deposited into your new brokerage account when earned. Referral bonuses go to the referring account.
- Contact customer service with issues – If your bonus is not deposited on schedule, contact E*TRADE to have them review your account’s eligibility.
Make sure to read all promotion terms carefully before opening your account. Also, save the offer details for future reference in case you need to request missing bonuses.
Factors to Consider for E*TRADE New Accounts
While their promotions provide good incentives, you’ll want to evaluate if E*TRADE meets your overall investing needs. A few things to consider:
Account options – They offer individual and joint taxable brokerage accounts along with traditional IRAs, Roth IRAs, and more. You’ll have access to stocks, ETFs, options, mutual funds, and bonds.
Investment choices – E*TRADE offers trading access to stocks, ETFs, options, mutual funds, and fixed income. Over 8,100 mutual funds are available with no transaction fees.
Account minimums – Regular brokerage accounts have no minimum to open. However, IRAs require a $500 minimum initial deposit.
Trading commissions – Stock and ETF trades are $0 per trade. Each options contract has a cost of $0.50, with a minimum charge of $1.50. Broker-assisted trades are $25 plus $0.75 per contract.
Tools and research – Robust screeners, charts, trading platforms, education resources, and more. E*TRADE is great for active traders.
Banking services – E*TRADE Bank offers savings, checking, and cash management accounts to complement your investments. ATM fee reimbursements provide added value.
Mobile apps – Well-designed apps for iOS and Android give you account access on the go. You can trade, deposit, transfer, and monitor your portfolio.
You’ll want to see how these features fit your preferences when opening any new brokerage account, including with E*TRADE. Their promotions provide additional short-term incentives.
Who Should & Should Not Open an E*TRADE Account
E*TRADE’s new account promotions offer appealing bonuses, but their brokerage may not be the optimal choice for every investor.
Here are a few examples of investors who could benefit from these E*TRADE offers:
- Active traders – E*TRADE has robust trading tools, research, and discounted commissions for high-volume traders. Their promotions help cover startup costs.
- IRAs – Opening an IRA with E*TRADE provides access to a $50 bonus and tax-advantaged retirement savings. Low fees make them a solid IRA provider.
- Large portfolios – Larger balances qualify for higher cash bonuses. E*TRADE can effectively serve investors with $100k or more to invest.
- Socially responsible investors – They offer hundreds of ESG investment options. The bonuses offset transaction costs for building a socially conscious portfolio.
Some investors that may want to consider other brokerages over E*TRADE include:
- Beginner investors – Although E*TRADE has good education resources, other brokers offer better guidance for first-time investors.
- Low account balances – You need $25k+ to max out E*TRADE’s bonuses. Brokers like Fidelity and Vanguard offer greater benefits for smaller portfolios.
- Mutual fund investors – While E*TRADE has some transaction-fee funds, other brokers like Schwab offer more NTF mutual funds.
- Index investors – Investors focused strictly on index funds and ETFs can find lower costs elsewhere.
As you can see, E*TRADE’s promotions provide the most value to active traders, IRAs, larger balances, and socially responsible investors. Just make sure you feel comfortable with their tools and services long-term, not just the short-term bonuses.
Comparing E*TRADE to Other Top Brokerages
How does E*TRADE stack up against other top brokerages? Here’s a quick comparison of key factors:
Commissions & Fees – ETRADE has $0 stock/ETF trades. Options cost $0.50 per contract. Other brokers may offer lower or no commissions, but ETRADE is competitive.
Account Minimums – E*TRADE has no minimums for regular brokerage accounts. $500 is required for IRAs. Other brokers tend to have lower or no minimums.
Investment Selection – Thousands of stocks, ETFs, options, mutual funds, and bonds are available. Investment choices are similar across most major brokerages.
Research & Tools – E*TRADE offers robust screeners, trading platforms, charts, news, and education. Great for active traders but less necessary for passive index investors.
Customer Service – Around-the-clock phone support plus branch locations for in-person assistance. Wait times can be long during peak volumes.
Overall, E*TRADE generally matches up with the top discount brokers across these categories. The bonuses and promotions provide an extra incentive to open an account. However, you’ll want to match their offerings to your personal preferences.
Are E*TRADE’s Promotions Worth It?
E*TRADE’s cash bonuses or commission discounts can provide significant value, especially for larger balances. But you need to look at the long-term picture when opening any investment account.
A few factors to consider:
- Bonus sizes – Up to $3,500 for new accounts is very competitive. Make sure you meet the minimum balance requirements.
- Promotion timeframes – 60 days of free trades or maintaining a balance for 3-6 months is reasonable for these large bonuses.
- Ongoing fees and commissions – E*TRADE has $0 stock/ETF trades and just $0.50 per options contract. Very low commissions make them worth the long-term costs.
- Account restrictions – Your new account needs to be opened online and funded quickly. Referral bonuses require successfully referring new customers.
- Investment selection – E*TRADE offers thousands of quality investment options. You’ll have plenty of choices.
For investors able to meet the balance requirements, E*TRADE’s bonuses definitely provide value. You can easily cover the “costs” of these promotions through short-term incentives.
Just focus on opening the right account for your needs and deposit an amount you’re comfortable with long-term. View the bonuses as a nice perk, not the sole reason to open an account with E*TRADE.
Common Questions about E*TRADE Promotions
If you are considering one of E*TRADE’s new account offers, you probably have some questions. Here are answers to a few frequently asked questions:
Are there any fees to open an E*TRADE account?
No, E*TRADE does not charge an account opening or annual fee. You can open an account for free anytime.
Can I have multiple bonuses across different promotions?
Usually, you are limited to one new account bonus per customer. However, you can refer others and earn referral bonuses even after earning your new account bonus.
When will I receive my cash bonus?
Most cash bonuses are deposited within 60 days of meeting the balance and timeline requirements in the offer terms.
Do I have to keep my balance at E*TRADE after receiving the bonus?
For a specified period – make sure to review the terms. But after maintaining the balance for the required timeframe you can withdraw or invest the funds.
Are the bonuses taxable?
Cash account bonuses are generally treated as taxable income. You will receive a 1099 tax form reporting the amount of $600 or more.
The Bottom Line on E*TRADE Promotions
The latest E*TRADE promotions offer lucrative incentives for opening new brokerage and IRA accounts. You can earn up to $3,500 in cash bonuses plus get free trades for new accounts.
Just be sure to read all the fine print in the offer terms to ensure you fully qualify. Time your application and account funding carefully.
While the bonuses are short-term, also evaluate whether E*TRADE is the right long-term investment platform for your needs. Overall, their promotions provide nice perks on top of competitive trading commissions and account services.
Use this guide to maximize E*TRADE’s current new account promotions to earn the bonuses you deserve!