Charles Schwab Trading Fees
| Investments | Commissions |
|---|
| Stocks and ETFs | $0 |
| Options | $0.65 per contract |
| Mutual funds | $0 for Schwab Mutual Fund OneSource funds, up to $49.95 per purchase for other funds, $49.95 short-term redemption fee on certain OneSource funds held 90 days or less |
| Futures | $2.25 per contract |
|
CDs, Corporate Bonds, Municipal Bonds, Government Agencies, Zero-Coupon Treasuries,
including STRIPS and Mortgage-Backed Securities
|
$1 per bond, $10 minimum, $250 maximum |
| Preferred Stocks and REITs | $0 |
| Commercial Paper, Foreign Bonds, Unit Investment Trusts | call for pricing |
| Investments |
stocks, bonds, mutual funds, futures, Treasury issues, options, CDs, insurance, ETFs,
forex, annuities, non-U.S. securities and ADRs, preferred stocks, REITs, and Canadian foreign orders
|
| Minimum deposit to open an account | $0 for cash account, $2,000 for margin account |
| Promotion link | Charles Schwab promotions |
Hidden Fees with Charles Schwab
Like every brokerage firm, Charles Schwab has a range of service fees. Some of them are easy to miss, so they can show up on your account statement when you least expect them. Most apply to specialized or less common transactions, and although many of the charges are fairly small, they can still build up over time if you’re not paying close attention.
Schwab Live Agent Fee
Although most standard trades placed on Schwab’s desktop or mobile platforms have low or no commissions, using a live broker to place a trade comes with a $25 service charge.
Charles Schwab IRA Fees
| Fee |
Amount |
| Charles Schwab IRA setup fee |
$0 |
| Charles Schwab annual IRA fee |
$0 |
| Charles Schwab IRA termination fee |
$0 |
| Charles Schwab account maintenance fee |
$0 |
| Charles Schwab account inactivity fee |
$0 |
| Charles Schwab outbound full account transfer (ACAT) fee |
$50 |
| Charles Schwab outbound partial account transfer fee |
$0 |
Automated Phone Transaction Fee
This is not something you see everywhere, but Schwab does charge for certain trades entered through its automated phone system. Even without speaking to a live representative, placing a trade this way can cost $5 per trade.
Schwab Foreign Stock Transaction Fee
For trades in foreign ordinary shares placed on the U.S. over-the-counter market, Schwab adds a $50 foreign transaction fee. This amount is added on top of any applicable automated-phone or broker-assisted charge.
Foreign Stock Trading Fee
Schwab also charges a separate fee for trades placed directly on a foreign exchange. These orders cannot be entered online or through the automated phone system; they must go through a live broker. The charge is the greater of $100 or 0.75% of the trade value, and there is no stated maximum.
Transaction Fees for Funds at Schwab
Mutual funds that carry transaction fees can cost up to $49.95 or $74.95 per purchase, even when the order is entered online. The higher fee applies to some fund families that do not pay Schwab enough for recordkeeping, shareholder servicing, and other administrative support. Because of that, Schwab collects more from the purchase transaction itself. Selling these funds does not carry a transaction fee. One popular fund, Vanguard’s VTSAX, is one that costs $49.95 per purchase which surprises many newer investors not expecting the hidden fee that isn’t apparent when you’re buying.
In addition, Automatic Investment Plans can cost up to $10 per transaction. This fee cannot exceed 8.5% of the principal amount, and trades with principal under $100 are exempt.
Free Charles Schwab Account
Visit Schwab Website
Schwab Options Trading Commissions
Every options trade at Schwab carries a $0.65 per-contract fee. However, Schwab waives that fee on online buy-to-close options trades when the option is worth $0.05 or less. There is no fee for option exercise or assignment.
Schwab Futures Trading Fee
Futures and futures options trades are charged $2.25 per contract. Unlike many other transactions, broker-assisted futures orders do not carry an added service fee, although exchange and NFA fees still apply.
Secondary Market Transaction Fees
Secondary-market trades include corporate bonds, municipal bonds, government agency bonds, zero-coupon Treasury bonds (including STRIPS), and certificates of deposit. For these and similar products, Schwab charges $1 per bond with a $10 minimum and a $250 maximum per trade.
Basic and Mutual Fund Account Activity Fees
Schwab charges a $25 late-settlement fee. It also charges a $49.95 mutual fund short-term redemption fee for online and automated phone transactions.
Other Account Activity Fees
If you request physical certificates for U.S. securities and some Canadian securities, there is a $100 fee per certificate. Additional charges may apply for rush requests. For foreign securities, the standard certificate fee is variable and depends on the location of the transfer agent.
Partial transfers out of an account are free, although full outgoing transfers cost $50 per account. In addition, there is a $25 fee per position for title transfers involving physical certificates.
Cashiering and Administrative Fees
If you request overnight Schwab-issued checks, there is a $15 fee. Outgoing wire transfers cost $25 each, although that amount drops to $15 when the wire is submitted online.
Margin Rates
|
Debit Balance
|
Charles Schwab Margin Rate
|
|
$0 - $24,999.99
|
11.825%
|
|
$25,000 - $49,999.99
|
11.325%
|
|
$50,000 - $99,999.99
|
10.375%
|
|
$100,000 - $249,999.99
|
10.325%
|
|
$250,000 - $499,999.99
|
10.075%
|
|
$1,000,000+
|
call 877-752-9749
|
Custody Fees for Non-Publicly Traded Securities
For non-publicly traded securities held in an account, Schwab charges $250 per position. However, the total annual fee is capped at $500 per account. These charges are not billed monthly; instead, they are assessed annually in arrears.
Visit Charles Schwab Website
Visit Schwab Website
Special Service Fees at Schwab
Schwab also passes along certain special service charges. These can include an Industry Fee that helps offset assessments from securities exchanges, self-regulatory organizations, and foreign governments. There can also be ADR-related pass-through charges from banks and brokers. Lastly, certain mutual fund transactions and some Treasury auction orders can show transaction-related fees on trade confirmations.
Updated on 4/20/2026.
Arthur Chachuna is a professional personal finance blogger, and the owner of Brokerage-Review.com.
He has been an avid investor for 25 years, and has a background in both applied math and programming.
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