TD Ameritrade 300

Vanguard Hidden Fees


2019 Vanguard hidden fees list. Does Vanguard have hidden charges on brokerage or IRA account? Vanguard monthly fee.



Vanguard Hidden Fees


NTF mutual funds at Vanguard that are sold within two months of purchase are assessed a $50 short-term redemption fee.

The broker also charges $20 for every Vanguard mutual fund if it has a balance under $10,000. This low-balance fee, however, can be waived by singing up for e-delivery of account documents.

Transactions for mutual funds that aren't on the broker's NTF list are charged $35 in a small account. Even very large accounts must pay $20 or $8, depending on account balance. Ally Invest charges only $9.95 for mutual fund transactions.

Many brokers provide dollar-cost averaging services for free. Vanguard itself doesn't charge anything if a fund enrolled in an automatic investment plan normally has no transaction fee. However, if the fund isn't on the broker's NTF list, Vanguard imposes a $3 fee for each transaction.

Cash management services are available today at many brokerage houses free of charge. For example, TD Ameritrade and Schwab all provide banking services at no cost. Vanguard, though, has some pretty steep fees for checkwriting and debit card privileges.

The broker imposes a $30 annual fee for a cash management account. In order to qualify for the account, the client must first have at least $500,000 in assets with the company. Checkbook reorders are $9.95, whereas at Fidelity, they are free. Vanguard will waive the fee for accounts above $1,000,000.

Customers with balances below this amount must also pay $4.95 per month for bill pay. Using Vanguard's debit card at an ATM machine outside of PNC Bank's network will also incur ATM fees. Schwab, by contrast, reimburses all cash machine charges.

Vanguard traders must pay a $50 processing fee for foreign securities that are not DTC-eligible. This charge is on top of the broker's standard commission schedule. It will also be assessed multiple times if a trade execution occurs over several days.

A $20 annual fee is applied to every retirement and non-retirement account at Vanguard. Many other brokers, including Firstrade and TD Ameritrade, don't charge any type of on-going fees. Vanguard's annual fee can be avoided by signing up for electronic delivery of account documents.

Customers with small balance brokerage accounts at Vanguard may become accustomed to $7 stock and ETF trades. They should be aware, however, that this commission increases to $20 each year after 25 trades have been executed.

Vanguard's initial $7 commission for small accounts doesn't apply to option trades. Instead, the base charge for derivatives is $20. Most other brokers simply use their base charge. Firstrade and E*Trade, for example, do just that.


Fees That Vanguard Doesn't Charge


Outgoing wires are free at Vanguard. Most other brokerage firms do charge for this service. Capital One Investing, for instance, charges $30 to wire funds out of a securities account.

U.S. Treasury bonds, certificates of deposit, and corporate bonds carry no commission when purchased on the primary market. Not all brokers have such a generous policy. Ally Invest, for example, charges $24.95 for CD's.


List of Vanguard Fees


List of all account fees charged is located here.


Vanguard Monthly Fees


Vanguard does not have monthly fees on both IRA and taxable accounts.


Vanguard Annual Fees


Vanguard charges a $20 annual fee for the Standard account unless it is enrolled to receive statements electronically. Standard accounts are all accounts with $50,000 or less invested in Vanguard products.


Vanguard Review


Read full Review of Vanguard »

Fund traders who are leaving Fidelity might be interested in Vanguard. The broker provides a good selection of mutual and exchange-traded funds. There are more than 7,000 mutual funds from a wide variety of families. This number is smaller than Fidelity’s selection, but the number of no-transaction-fee, no-load funds is about the same.


Vanguard Hidden Fees


All of Vanguard’s funds come with no loads and no trading fees. Despite its strengths in the fund category, Vanguard underperforms TD Ameritrade in several key areas, including technology, branch locations, stock trading, and customer service. Vanguard also lacks a robo-advisory account, which TD Ameritrade offers.


Vanguard Website Link


Vanguard hidden fees are as of 2019 and are subject to change. For the most recent information on Vanguard hidden charges visit their website.