For general trading and investing accounts, the eTrade Complete Investment, investment club, and trust and estate accounts require a minimum opening deposit of $1000. For active trading accounts, Power eTrade accounts also require a minimum opening deposit of $1000, while Futures Trading accounts require $10,000. There is no minimum balance to open most individual retirement accounts (IRAs) or educational accounts. However, IRA CDs require a minimum opening balance of $1000. For banking accounts, there is a $1 minimum to open a Complete Savings account. Money market and Max-Rate or e-Trade Checking accounts require at least $100. Certificates of Deposit (CDs) require at least $1000.
Business accounts have different investment minimums and fees than accounts for individuals. General investment accounts for businesses, including corporations, partnerships, sole proprietorships and LLCs do not have a minimum opening balance. Retirement accounts for small businesses, including SEP IRAs, SIMPLE IRAs, individual 401(k)s, money purchase and profit sharing accounts, also do not require a minimum initial deposit.
Some eTrade investment accounts have the option of opening a margin account, which allows the customer to borrow money for investments. Most margin accounts require a higher minimum opening deposit than regular accounts. The eTrade Complete Investment and Power eTrade accounts require at least $2000 to open a margin account, rather than $1000. Business investment accounts do not require a higher opening deposit, as long as customers meet eligibility requirements.
In general, eTrade accounts with higher balances may have lower fees. For example, with the eTrade Complete Investment account, customers with balances under $50,000 pay about $13 in commission fees when buying and selling stocks, while those with balances over $50,000 pay between $7 and $10. eTrade money market and checking accounts have a $10 monthly fee, which is waived if the balance is at least than $1000. Max-Rate Checking accounts require at least a $5000 balance to avoid the $15 monthly fee.
When determining how much money to invest when opening an account, eTrade customers should consider the minimum initial deposit for the account type they're interested in, how much money they have available to invest, and the fees and benefits of having an account with a higher balance. For example, investors may be able to pay lower trade commissions by having one trading account with a large balance rather than several trading accounts with smaller balances.