Comments on: Zecco Review and Account Opening Process http://www.fivecentnickel.com/2009/01/20/zecco-review-and-account-opening-process/ personal finance tips, tricks, and commentary Sun, 22 Nov 2009 03:39:46 -0500 http://wordpress.org/?v=abc hourly 1 By: Frank http://www.fivecentnickel.com/2009/01/20/zecco-review-and-account-opening-process/comment-page-1/#comment-130770 Frank Sun, 12 Apr 2009 21:08:02 +0000 http://www.fivecentnickel.com/?p=2683#comment-130770 Be careful with Zecco. In two separate months they charged me margin interest, though I made no marginable trades. The second month, there was NO activity at all & they charged my account interest as well as issued a margin call! Very scary. I transfered out to TradeKing. So far, this was an easy application & quick transfer process. But option trade executions seem to be very slow. Be careful with Zecco. In two separate months they charged me margin interest, though I made no marginable trades. The second month, there was NO activity at all & they charged my account interest as well as issued a margin call! Very scary.
I transfered out to TradeKing. So far, this was an easy application & quick transfer process. But option trade executions seem to be very slow.

]]> By: thosspot http://www.fivecentnickel.com/2009/01/20/zecco-review-and-account-opening-process/comment-page-1/#comment-128897 thosspot Wed, 11 Feb 2009 15:57:24 +0000 http://www.fivecentnickel.com/?p=2683#comment-128897 Well, it's not free anymore, or at least not free for an account balance under $25,000. Trades are now $4.50. Still cheap, but not free. Well, it’s not free anymore, or at least not free for an account balance under $25,000. Trades are now $4.50. Still cheap, but not free.

]]> By: Danielle http://www.fivecentnickel.com/2009/01/20/zecco-review-and-account-opening-process/comment-page-1/#comment-128155 Danielle Mon, 26 Jan 2009 16:51:39 +0000 http://www.fivecentnickel.com/?p=2683#comment-128155 I read around on their site a bit but was unable to determine... can you invest in college savings plans of any kind out there (529 or coverdell)? I read around on their site a bit but was unable to determine… can you invest in college savings plans of any kind out there (529 or coverdell)?

]]> By: Swamproot http://www.fivecentnickel.com/2009/01/20/zecco-review-and-account-opening-process/comment-page-1/#comment-128053 Swamproot Fri, 23 Jan 2009 22:54:12 +0000 http://www.fivecentnickel.com/?p=2683#comment-128053 I opened an account with them back in September. I only recently built up to a $2400 balance so I haven't got the free trades yet, but I moved from Sharebuilder because I would rather pay $4.50 for a trade I could make on any day at any time, than $4 for a trade only on Tuesday that I couldn't get limit orders on. If you buy with limit orders it would seem the bid-ask spread is irrelevant because your still getting a stock for the price you say you want it for. I expected a little more from the trading interface. It is a little confusing and I'm finally getting used to it and getting around OK now. They also have you fill out and fax or snail mail a lot of forms, such as the one that sets your sweep account up as a money market account with higher interest than the default sweep account. My only non-interface problem so far has been that I had an ACH deposit to Zecco processed twice and they dinged me for an NSF. But an email to customer service was quickly answered and the NSF charge reversed. I opened an account with them back in September. I only recently built up to a $2400 balance so I haven’t got the free trades yet, but I moved from Sharebuilder because I would rather pay $4.50 for a trade I could make on any day at any time, than $4 for a trade only on Tuesday that I couldn’t get limit orders on. If you buy with limit orders it would seem the bid-ask spread is irrelevant because your still getting a stock for the price you say you want it for.

I expected a little more from the trading interface. It is a little confusing and I’m finally getting used to it and getting around OK now. They also have you fill out and fax or snail mail a lot of forms, such as the one that sets your sweep account up as a money market account with higher interest than the default sweep account.

My only non-interface problem so far has been that I had an ACH deposit to Zecco processed twice and they dinged me for an NSF. But an email to customer service was quickly answered and the NSF charge reversed.

]]> By: the weakonomist http://www.fivecentnickel.com/2009/01/20/zecco-review-and-account-opening-process/comment-page-1/#comment-127865 the weakonomist Wed, 21 Jan 2009 02:33:16 +0000 http://www.fivecentnickel.com/?p=2683#comment-127865 If I ever start trading outside of my Roth IRA again, I'll be sure to check out Zecco. They sure as hell beat sharebuilder, my current stock trader. If I ever start trading outside of my Roth IRA again, I’ll be sure to check out Zecco. They sure as hell beat sharebuilder, my current stock trader.

]]> By: Gabriel Dalporto http://www.fivecentnickel.com/2009/01/20/zecco-review-and-account-opening-process/comment-page-1/#comment-127864 Gabriel Dalporto Wed, 21 Jan 2009 01:14:09 +0000 http://www.fivecentnickel.com/?p=2683#comment-127864 Hello Richard, We saw your comment about Zecco Trading trade execution. Normally, quality trade execution doesn’t go together with the lowest commissions in the industry, but with Zecco Trading you get both. We’re tracking our scores right against the industry averages on our new trade execution page: http://www.zecco.com/trading/tradeexecution.aspx Check it out, we hope it’ll help clarify where we stand. Gabriel Dalporto CMO, Zecco Holdings, Inc. Hello Richard,

We saw your comment about Zecco Trading trade execution. Normally, quality trade execution doesn’t go together with the lowest commissions in the industry, but with Zecco Trading you get both. We’re tracking our scores right against the industry averages on our new trade execution page: http://www.zecco.com/trading/tradeexecution.aspx

Check it out, we hope it’ll help clarify where we stand.

Gabriel Dalporto
CMO, Zecco Holdings, Inc.

]]> By: thomas http://www.fivecentnickel.com/2009/01/20/zecco-review-and-account-opening-process/comment-page-1/#comment-127863 thomas Tue, 20 Jan 2009 23:48:11 +0000 http://www.fivecentnickel.com/?p=2683#comment-127863 it's amazing how far we have come as far as the cost of making a trade. Even if the spread was $.02 greater than others, the cost for transaction is lower for the amount of shares purchases (I'm assuming we aren't in the 300+ share purchasing category). Thanks for the review. it’s amazing how far we have come as far as the cost of making a trade. Even if the spread was $.02 greater than others, the cost for transaction is lower for the amount of shares purchases (I’m assuming we aren’t in the 300+ share purchasing category).

Thanks for the review.

]]> By: nickel http://www.fivecentnickel.com/2009/01/20/zecco-review-and-account-opening-process/comment-page-1/#comment-127857 nickel Tue, 20 Jan 2009 18:15:01 +0000 http://www.fivecentnickel.com/?p=2683#comment-127857 Richard: All brokers make money on the bid/ask spread. Do you have any evidence that the bid/ask spread is greater with Zecco than elsewhere? If not, then stock trades at Zecco really are "free" in a comparative sense (or at least the first ten are, assuming that you've satisfied the minimum balance requirement). Note also that I also directly addressed the fact that they make money on interest (on idle money) as well as through the trading of options and stock trades in excess of 10 per month. Of course they make money. "Don't be so ignorant" and think that making money and offering a portion of your services for free are mutually exclusive. They're not. Richard: All brokers make money on the bid/ask spread. Do you have any evidence that the bid/ask spread is greater with Zecco than elsewhere? If not, then stock trades at Zecco really are “free” in a comparative sense (or at least the first ten are, assuming that you’ve satisfied the minimum balance requirement). Note also that I also directly addressed the fact that they make money on interest (on idle money) as well as through the trading of options and stock trades in excess of 10 per month. Of course they make money. “Don’t be so ignorant” and think that making money and offering a portion of your services for free are mutually exclusive. They’re not.

]]> By: nickel http://www.fivecentnickel.com/2009/01/20/zecco-review-and-account-opening-process/comment-page-1/#comment-127856 nickel Tue, 20 Jan 2009 18:09:33 +0000 http://www.fivecentnickel.com/?p=2683#comment-127856 Craig: It was a bit easier than opening an E-Trade account, though E-Trade is also a bank, so the requirements are slightly different. I'll probably open accounts with the other major online broker just to compare. Craig: It was a bit easier than opening an E-Trade account, though E-Trade is also a bank, so the requirements are slightly different. I’ll probably open accounts with the other major online broker just to compare.

]]> By: Richard Reyes http://www.fivecentnickel.com/2009/01/20/zecco-review-and-account-opening-process/comment-page-1/#comment-127852 Richard Reyes Tue, 20 Jan 2009 16:29:47 +0000 http://www.fivecentnickel.com/?p=2683#comment-127852 Guys take Zecco for what it is. Their business model is no different than Schwab, TD Ameritrade, etc. IT IS NOT FREE. Don't be so ignorant. If it was FREE how would they be able to do business. They make money on the spread between Bid/Ask and also on the spread of money market and other products. And you are paying for this. You are just not seeing it. You are not trading for free. However, this is a great place to own a portfolio if you are indeed using a properly allocated portfolio of index funds. It does make perfect sense, especially if you a dollar cost averaging into ETF's. Richard Reyes Guys take Zecco for what it is. Their business model is no different than Schwab, TD Ameritrade, etc. IT IS NOT FREE. Don’t be so ignorant. If it was FREE how would they be able to do business.

They make money on the spread between Bid/Ask and also on the spread of money market and other products. And you are paying for this. You are just not seeing it. You are not trading for free.

However, this is a great place to own a portfolio if you are indeed using a properly allocated portfolio of index funds. It does make perfect sense, especially if you a dollar cost averaging into ETF’s.

Richard Reyes

]]> By: Ben http://www.fivecentnickel.com/2009/01/20/zecco-review-and-account-opening-process/comment-page-1/#comment-127851 Ben Tue, 20 Jan 2009 16:19:54 +0000 http://www.fivecentnickel.com/?p=2683#comment-127851 I've been using Zecco for a year now and love it. I've never paid a fee to buy/sell or for anything else for that matter. My experience with customer service has been pretty decent and they've certainly ranked much higher than other financial institutions I'm using. I'm glad you opened an account with them and for the same reason I did non-the-less. Enjoy. I’ve been using Zecco for a year now and love it. I’ve never paid a fee to buy/sell or for anything else for that matter.

My experience with customer service has been pretty decent and they’ve certainly ranked much higher than other financial institutions I’m using.

I’m glad you opened an account with them and for the same reason I did non-the-less.

Enjoy.

]]> By: Craig Prickett http://www.fivecentnickel.com/2009/01/20/zecco-review-and-account-opening-process/comment-page-1/#comment-127850 Craig Prickett Tue, 20 Jan 2009 15:49:34 +0000 http://www.fivecentnickel.com/?p=2683#comment-127850 How did you find the opening process as compared to other brokers? Easier, harder, a non issue and therefore a good thing? How did you find the opening process as compared to other brokers? Easier, harder, a non issue and therefore a good thing?

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