Platform Comparison

Interactive Brokers vs TD Ameritrade

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

IB

Interactive Brokers

★4.5

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

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Higher Rated
TD

TD Ameritrade

★4.7

The legendary thinkorswim platform lives on under Schwab. All TD Ameritrade accounts have been migrated—new customers should open a Schwab account directly.

Full Review

Interactive Brokers vs TD Ameritrade: Fees, Minimums & DRIP Compared

FeatureInteractive BrokersTD Ameritrade
Our Rating4.5/54.7/5
Trading Commissions$0 (Lite)N/A
Account Minimum$0N/A
Fractional Shares10,000+ stocksN/A
DRIPSmall feeVia Schwab
Research ToolsGoodGood
Best ForInternational Dividend InvestorsFormer TD Ameritrade Customers

Interactive Brokers vs TD Ameritrade: 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

TD Ameritrade

Pros

  • + thinkorswim platform retained and integrated into Schwab
  • + All former TD Ameritrade accounts successfully migrated
  • + Commission-free trading continues under Schwab
  • + 400+ technical analysis tools in thinkorswim
  • + Trading simulator for practice without risk

Cons

  • - TD Ameritrade no longer accepts new accounts
  • - TD Ameritrade API permanently shut down
  • - Some interface changes during Schwab transition
  • - Former TD-only features may differ slightly

Which Is Better for Dividend Investors: Interactive Brokers or TD Ameritrade?

Choose Interactive Brokers if you...

  • Are in Interactive Brokers's core audience: international dividend investors

Choose TD Ameritrade if you...

  • Are in TD Ameritrade's core audience: former td ameritrade customers
  • Prefer a higher-rated overall platform

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

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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.