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All right everybody, here are the commissions as indicated at http://br2.americanexpress.com/trade2/olb/help_new2/faqs/faq_commission.asp :
Stocks1
Type of Trade Commission
Online $19.95
Telephone  
Easy Access Quotes &
Trading System
$19.95
Customer Service Representative $75.00

1 The above commissions apply to accounts opened on or after January 1, 2002. For trades of more than 1,000 shares, add $0.03 per share above 1,000. For good-til-cancelled (GTC) orders partially executed over several days, separate commissions will apply based on each day's transactions. The above commissions do not apply to the sale of restricted stock. Fees and commissions are subject to change. To view the commission schedule for accounts opened prior to January 1, 2002 click here.


Of course, these charges don't include any government-imposed fees... that's understandable... like sales tax, such fees are mandated by the government rather than by the brokerage firm. As it happens, the government-mandated SEC fee is literally just a few pennies for most trades.

But the commissions listed by American Express also don't include another fee which American Express imposes... what they call an "order fee". Now frankly, this fee shouldn't be an important part of your decision whether or not to do business with American Express. But seriously, never mind what you have to pay to stop doing business with American Express, they're just posting completely false statements of their commissions.

So let's understand this:

  1. You go to the web page to get commissions, and it tells you that the copmmission will be $19.95.
  2. You enter the order and it tells you that the estimated commission will be $19.95

In fact, the commission is $23.95. This includes the $4 "order fee" which is indistinguishable from a commission.

If you have or had a brokerage account with American Express, please let me know what your impressions and experiences are. Has American Express been above-board with you? Have they acted in a competent manner? Inquiring minds want to know.

Topic AmericanExpressBrokerageDeceptivePractices . { Edit | Ref-By | Attach | Diffs | r1.1 }
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Revision r1.1 - 28 Dec 2004 - 07:55 by EliMantel web search for EliMantel
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