I would like to start swing trading. I am 18 and I was wondering what type of bank account do I need to start doing this? I have never had a bank account. Do I need a regular checking account or do I need a business account? I would like to use TD Ameritrade as my broker but I am most likely going to open a Chase bank account.
closed as off-topic by Chris W. Rea, Nathan L, JoeTaxpayer♦ Sep 10 '18 at 20:04
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Why not just open a money market account with TD? It is basically just like a checking account and will keep everything in one place. One login, one place to go for tax documents and one place to check on the status of your finances.
In the US, you are not required to open a bank account in order to swing trade in a brokerage account.
Swing trading involves short term trading of greater than one day which is considered day trading. Be aware that if make more than 3 day trades in a rolling 5 day period, you will be required to maintain a minimum equity of $25k on any days that day trades are made (equities and options).
Traditional banks are an expensive place to trade stocks especially if you are going to trade frequently as with a swing trading strategy. Bank fees are usually much higher than online brokerages. Until recently Chase was charging $24.95 to make stock trades which is very high compared to most online brokerages who usually charge less than $4 a trade.
Some online brokerages are designed for long term stock investors such as Fidelity and TD Ameritrade whereas others such as Saxo Bank, Exante and Interactive Brokers are designed for active professional traders as they offer trading platforms with a lot of functionality. If you want to become an active swing trader, these three will be more of a fit for you.
Saxo Bank https://www.home.saxo/about-us/why-saxo: Headquarters in Denmark, they are a well known brokerage although they have recently closed their offices in Turkey and Cyprus and seem to be scaling back which is a concern.
Exante https://exante.eu/lp/edward-vickery/: Another European online brokerage with an exceptional trading platform and probably the lowest fees of all. However, the minimum investment is high €10 000 (€500 000 for US citizens).
Interactive Brokers https://www.interactivebrokers.com/en/index.php?f=13868: US based so there is a lot compliance and tax forms to complete and due to its popularity with small professional traders and hedge funds in the US, its fees have started to rise.