One of my readers recently took my advice and negotiated his options rates with his brokerage provider. I thought I would share with you his results.
In the past, the reader was charged $9.99 per option contract. After requesting a better rate, his brokerage provider dropped the rate to $1.50 a contract.
As I mentioned in the Frequently Asked Questions piece I released earlier this week, competition among brokerage providers is intense and there is room to negotiate stock and option commission rates. If you feel you might be paying too much, take the time to call your customer service representative or send them an email. The worst that can possibly happen is that they say no. Perhaps like the reader above, you could save nearly $8.50 per contract.