Platform Comparison

Interactive Brokers vs Tastytrade

Compare Interactive Brokers and Tastytrade on fees, DRIP, fractional shares and research for dividend investing.

Higher Rated
IB

Interactive Brokers

★4.5

The professional-grade platform with access to 150+ global markets, industry-leading margin rates, and powerful screening tools.

Full Review
TT

Tastytrade

★4.4

The options-focused platform with low contract fees, excellent education, and DRIP support—ideal for dividend investors using covered call strategies.

Full Review

Interactive Brokers vs Tastytrade: Fees, Minimums & DRIP Compared

FeatureInteractive BrokersTastytrade
Our Rating4.5/54.4/5
Trading Commissions$0 (Lite)$0
Account Minimum$0N/A
Fractional Shares10,000+ stocksYes ($5 min)
DRIPSmall feeFree
Research ToolsGoodBasic
Best ForInternational Dividend InvestorsCovered Call Writers

Interactive Brokers vs Tastytrade: Pros and Cons

Interactive Brokers

Pros

  • + Access to 150+ markets across 33 countries in 27 currencies
  • + Commission-free US stock and ETF trading with IBKR Lite
  • + Industry-leading low margin rates (5.83% Pro, 6.83% Lite)
  • + Fractional shares on 10,000+ US, Canadian, and European stocks
  • + Powerful dividend yield screeners with 50+ factors

Cons

  • - Steep learning curve—platforms built for professionals
  • - DRIP charges a small commission (unlike most competitors)
  • - Account-level DRIP only—can't select specific stocks
  • - Customer service wait times can be long during peak hours

Tastytrade

Pros

  • + Commission-free stock and ETF trading
  • + Low options pricing: $1 to open, $0 to close (capped at $10/leg)
  • + Fractional shares available for purchases and DRIP
  • + Free dividend reinvestment program
  • + Exceptional options education and content

Cons

  • - Very low 0.01% interest on uninvested cash
  • - No mutual funds, bonds, or forex trading
  • - Higher-than-average margin rates
  • - Steep learning curve for beginners

Which Is Better for Dividend Investors: Interactive Brokers or Tastytrade?

Choose Interactive Brokers if you...

  • Are in Interactive Brokers's core audience: international dividend investors
  • Prefer a higher-rated overall platform

Choose Tastytrade if you...

  • Are in Tastytrade's core audience: covered call writers

Want the full breakdown of fees, DRIP, and research tools? Read our Interactive Brokers review and Tastytrade review.

Compare Other Platforms

Not sure these are the right fit? Explore more comparisons.

Interactive Brokers vs FidelityInteractive Brokers vs Charles SchwabInteractive Brokers vs M1 FinanceTastytrade vs FidelityTastytrade vs Charles SchwabTastytrade vs M1 Finance
View All Platforms

Investment Disclaimer

Investing involves risk, including possible loss of principal. Past performance does not guarantee future results. This content is for informational purposes only and should not be considered investment advice.