Platform Comparison

Merrill Edge vs Charles Schwab

Compare Merrill Edge and Charles Schwab on fees, DRIP, fractional shares and research for dividend investing.

ME

Merrill Edge

★4.5

Bank of America's brokerage offering seamless banking integration, solid research tools, and the valuable Preferred Rewards program for qualifying customers.

Full Review
Higher Rated
CS

Charles Schwab

★4.8

A trusted full-service broker with zero commissions, 400+ branches, and powerful thinkorswim trading platform.

Full Review

Merrill Edge vs Charles Schwab: Fees, Minimums & DRIP Compared

FeatureMerrill EdgeCharles Schwab
Our Rating4.5/54.8/5
Trading Commissions$0$0
Account Minimum$0$0
Fractional SharesDRIP onlyS&P 500 only
DRIPFreeFree
Research ToolsGoodExcellent
Best ForBank of America CustomersBeginners Who Want Support

Merrill Edge vs Charles Schwab: Pros and Cons

Merrill Edge

Pros

  • + Commission-free trading on stocks and ETFs
  • + Seamless integration with Bank of America accounts
  • + Selective DRIP—choose which securities reinvest dividends
  • + DRIP supports fractional share reinvestment
  • + Preferred Rewards program offers fee discounts and bonuses

Cons

  • - No direct fractional share purchases (DRIP only)
  • - Mutual fund transaction fees up to $19.95
  • - Low interest rate on uninvested cash
  • - $49.95 full account transfer fee

Charles Schwab

Pros

  • + Zero commissions on stocks, ETFs, and options
  • + No account minimums or inactivity fees
  • + 24/7 customer support with knowledgeable representatives
  • + 400+ physical branches for in-person help
  • + Free automatic dividend reinvestment (DRIP)

Cons

  • - Fractional shares limited to S&P 500 stocks with $5 minimum
  • - Mobile app can feel clunky compared to newer brokers like Robinhood
  • - DRIP is not enabled by default—you must turn it on manually
  • - Robo-advisor requires $5,000 minimum to start

Which Is Better for Dividend Investors: Merrill Edge or Charles Schwab?

Choose Merrill Edge if you...

  • Are in Merrill Edge's core audience: bank of america customers

Choose Charles Schwab if you...

  • Are in Charles Schwab's core audience: beginners who want support
  • Prefer a higher-rated overall platform

Want the full breakdown of fees, DRIP, and research tools? Read our Merrill Edge review and Charles Schwab review.

Compare Other Platforms

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

Merrill Edge vs FidelityMerrill Edge vs M1 FinanceMerrill Edge vs TD AmeritradeCharles Schwab vs FidelityCharles Schwab vs M1 FinanceCharles Schwab vs TD Ameritrade
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.