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Charles Schwab vs Interactive Brokers in 2026
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Interactive Brokers vs. Schwab
Points to remember:
• Brokerage and managed accounts are available at Schwab and Interactive Brokers.
• Both brokers have full-service financial planning and advisory accounts.
• Both Interactive Brokers and Schwab have excellent software for advanced trading.
If you’re in the market for a new brokerage account with the absolute best possible software at the absolute lowest possible price, Charles Schwab and Interactive Brokers should be at the top of your list.
Commissions
| Broker Fees |
Stock/ETF
Commission |
Mutual Fund
Commission |
Options
Commission |
Maintenance
Fee |
Annual IRA
Fee |
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Charles Schwab
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$0
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$49.95 ($0 to sell)
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$0.65 per contract
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$0
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$0
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IB
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$0
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3% of trade value up to $14.95
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$0.65 per contract
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$0
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$0
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Services
| Broker Review |
Cost |
Investment Products |
Trading Tools |
Customer Service |
Research |
Overall Rating |
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Charles Schwab
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IB
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Promotions
Charles Schwab: $0 commissions + ACAT rebate + satisfaction guarantee at Charles Schwab.
Interactive Brokers: Use this referral link to get up to $1,000 of IBKR stock for free!
Asset Classes
At Interactive Brokers and Charles Schwab, the following list of investment products can be traded:
• Equities
• Bonds and other fixed-income vehicles
• ETFs (Exchange-traded funds)
• Closed-end funds
• Mutual funds
• Forex
• Futures
In the equity category, Schwab offers trading in over-the-counter equities and global stocks. Interactive Brokers goes a giant leap further with global assets (bonds, funds, and so forth), precious metals, cryptocurrencies, event contracts, warrants, and more.
Robo accounts can be opened at Schwab and Interactive Advisors. Both programs trade ETFs with low expense ratios; some of Interactive Advisors’ portfolios also have stocks. Only Schwab has old-school programs with human investment advisors (not to mention branch locations for in-person service).
Winner: Interactive Brokers/Advisors
Margin Trading
Because both securities firms are built for high-powered trading, it goes without saying that margin is available. Interactive Brokers’ software has a margin calculator; stock profiles show long and short values for initial and maintenance margin.
IBKR customers pay 5.14% across all debit levels for
margin loans; Pro customers get even lower rates. Schwab has a stepped schedule that varies from
11.825% to
10.075%.
Winner: Interactive Brokers
Websites
Both investment firms in this faceoff have websites for account management, security research, charting, and order entry. During our investigation on both platforms, we found Schwab’s a little easier to use. Nevertheless, the IBKR site does have some really good tools, including a trade ticket with no less than 12 trade types. A chart can be expanded the full width of the computer screen and comes with all sorts of indicators, drawing tools, and other gizmos.
IBKR has a browser platform through Client Portal. Schwab’s site also has one. Called thinkorswim, it
gives us another sophisticated order ticket and full-screen charting. Level II data also appear on the platform. The website by itself has all sorts of great resources, including free stock reports and advanced option tools.
Winner: Pretty close
Desktop Platforms
For an even higher level of trading, there is desktop software. Both companies in this rivalry have desktop programs that the most advanced of traders will enjoy. Schwab continues with the thinkorswim moniker but delivers a lot more than its website cousin does. We’re talking live streaming of business news, futures and forex dealing boxes, more technical indicators, and even some video games.
Interactive Brokers has two desktop platforms: Trader Workstation (TWS) and IBKR Desktop. The former is the more advanced of the two, although the latter has some useful features, including a security screener, option tools, and multiple layouts. TWS has more gadgets; we really like the following:
• Probability lab
• Forecast trader
• iBot, an artificial intelligence
• Margin calculator
• Educational center, including video tutorials
• Time & sales data
Winner: Another draw
Mobile Trading
This time, the tables are turned: Schwab has two apps, while IBKR has just one. The lone IBKR app does have some really good tools, including a trade ticket with more than 20 order types. There are toggle switches for extended hours and bracket orders. Chartists will really like all the gadgets and gizmos on the graphing software, although a chart can only be displayed vertically, which we view as a serious weakness.
On both of Schwab’s mobile apps, a graph can be displayed horizontally. There are far fewer trade types, although stop and trailing are among the available choices. Like the IBKR app, Schwab’s main app provides mobile check deposit. Unlike the IBKR app, Schwab’s apps both have live streaming of CNBC. The trading app, which continues the thinkorswim name, has the best trade ticket and graphing tools (with no less than four hundred technical studies).
Winner: Schwab
Day & Swing Trading
Short Positions: Both firms permit shorting in margin accounts. Schwab’s website and regular mobile app have discrete choices for buy to cover and sell short. Interactive Brokers’ software displays the number of shares available for shorting.
Direct-Access Routing: Both thinkorswim and Trader Workstation have routing options on their trade tickets. TWS has more selections than thinkorswim.
PDT Counter: IBKR’s software tallies an account’s day trades.
Level II Quotes: Both TWS and thinkorswim have Level II data.
Extended-Hours Trading: Both firms offer pre-market, post-market, and overnight trading.
Maker-Taker Fees: These are possible at Interactive Brokers if orders are routed to IBKRATS within Trader Workstation.
Winner: Interactive Brokers
Other Services
Fully-Paid Stock Lending: Available at both firms.
IRAs: Interactive Brokers and Schwab both have Individual Retirement Accounts.
Dividend Reinvestment Plan: Available at both firms for stocks; Schwab also offers a DRIP for exchange-traded funds.
IPO Access: Initial Public Offerings will only be found at Schwab.
Fractional-share Trading: Interactive Brokers offers whole-dollar trading in stocks and ETFs,
while Schwab has it only for eligible S&P 500 stocks.
Systematic Mutual Fund Trades: Only at Schwab.
Winner: Schwab
Recommendations
Beginners: Interactive Brokers is designed for experienced traders, so newbies should definitely head to Schwab.
Small Investors: For robo customers, it’s Interactive Advisors. For brokerage customers, it’s either Schwab or Interactive Brokers.
Active Stock Trading: Either broker-dealer with either desktop platform.
Long-Term Investors & Retirement Savers: Definitely Schwab.
Mutual Funds: Schwab has much better fund resources on its website.
Promotions
Charles Schwab: $0 commissions + ACAT rebate + satisfaction guarantee at Charles Schwab.
Interactive Brokers: Use this referral link to get up to $1,000 of IBKR stock for free!
IBKR vs Schwab Judgment
Taken as a whole, these two investment firms are really close. Branch locations and cash-management tools give Schwab an overall advantage.
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Updated on 3/15/2026.
Chad Morris is a financial writer with more than 20 years experience
as both an English teacher and an avid trader. When he isn’t writing
expert content for Brokerage-Review.com, Chad can usually be found
managing his portfolio or building a new home computer.
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