Where to trade options if you leave Robinhood
If you're looking to trade options on a different platform, the main choices are TD Ameritrade, E*TRADE, Charles Schwab, Fidelity, Tastytrade, and Interactive Brokers. Each one lets you trade options, but they differ in fees, minimum account balances, approval speed, and the tools they give you to analyze trades.
All of these brokers require you to open an account and go through an approval process before you can trade options. That approval process asks about your experience level and investment goals — brokers use your answers to decide which options strategies you're allowed to use. A beginner might be approved only for covered calls and protective puts, while someone with more experience can access spreads, straddles, and other complex strategies.
The choice between them usually comes down to whether you want low fees, powerful research tools, a simple interface, or some combination of those three. No single app is best for everyone.
Key Takeaways
- TD Ameritrade, E*TRADE, Charles Schwab, Fidelity, Tastytrade, and Interactive Brokers all offer options trading with different fee structures and minimum requirements.
- Each broker requires you to open an account and be approved for options trading based on your experience level before you can place your first trade.
- Approval for options trading typically takes a few business days to a week, and the level of approval determines which strategies you can use.
- Brokers with lower or zero options fees often charge higher commissions per trade or require larger minimum account balances than Robinhood.
TD Ameritrade and E*TRADE: Full-featured platforms with research
TD Ameritrade and E*TRADE are both owned by the same parent company now, but they operate as separate platforms. Both charge no commission on options trades, which matches Robinhood's pricing model. TD Ameritrade's thinkorswim platform is known for detailed charting and analysis tools — it's more complex than Robinhood but gives you more information about implied volatility, Greeks, and historical option prices.
E*TRADE's platform is simpler to navigate than thinkorswim but still includes solid research and screening tools. Neither platform has a minimum account balance requirement to start trading options, though both require you to be approved first. The approval process usually takes a few business days.
Both platforms are better suited to traders who want to spend time analyzing trades before placing them. If you're used to Robinhood's streamlined interface, the learning curve will be noticeable.
Charles Schwab and Fidelity: Brokers with lower barriers
Charles Schwab and Fidelity both charge zero commissions on options trades and have no minimum account balance to open an account. Schwab's StreetSmart Edge platform offers charting and analysis tools that fall between Robinhood's simplicity and thinkorswim's complexity. Fidelity's Active Trader Pro is similarly middle-ground — not as stripped-down as Robinhood, but not as overwhelming as the professional-grade platforms.
Both brokers are known for customer service and educational resources. If you're new to options and want to learn as you trade, both have tutorials and paper trading (practice) accounts where you can test strategies without real money. Approval for options trading typically takes three to five business days at both firms.
Fidelity has a slight edge if you already have a brokerage account there, since you can often be approved for options trading without opening a new account. Schwab is a good choice if you want a middle ground between simplicity and power.
Tastytrade: Built specifically for options traders
Tastytrade is different from the others because it was designed from the ground up for options trading. The platform shows you the cost of each trade upfront and emphasizes strategies that profit from time decay and volatility rather than directional bets. Tastytrade charges a flat fee per contract (usually $0.10 to $0.15 per contract) rather than a per-trade commission, which can be cheaper if you're trading spreads or other multi-leg strategies.
The trade-off is that Tastytrade requires a $2,000 minimum account balance to open an account, and you need to be approved for options trading before you can place any trades. The platform's interface is geared toward active traders — it's not beginner-friendly in the way Robinhood is, but if you're serious about learning options, the educational content and community are strong.
Tastytrade is best for traders who plan to trade options regularly and want to understand the mechanics of how options pricing works. It's not a good fit if you want a simple, hands-off experience.
Interactive Brokers: Lowest fees, steepest learning curve
Interactive Brokers has the lowest commissions of any major broker — typically $0.65 per contract for options, with no per-trade minimum. If you're trading large volumes or complex multi-leg strategies, the per-contract model can save you significant money compared to flat-fee brokers.
The downside is that Interactive Brokers' platform, Trader Workstation, is built for professional traders and has a steep learning curve. The interface is dense with information, and the documentation assumes you already understand options mechanics. Interactive Brokers also requires a $10,000 minimum account balance to open an account, which is higher than most competitors.
Interactive Brokers is worth considering only if you're planning to trade options frequently and want to minimize costs. For casual or beginning options traders, the complexity and minimum balance make it a poor choice.
How approval for options trading works
When you open an account at any broker, you'll fill out a form that asks about your investment experience, annual income, net worth, and investment goals. The broker uses this information to assign you an approval level for options trading. Level 1 typically allows covered calls and protective puts. Level 2 adds spreads. Level 3 and above allow more complex strategies like straddles, iron condors, and naked calls.
You can usually request a higher approval level after you've been approved at a lower level, and some brokers will grant it immediately if your answers support it. The approval process itself takes a few business days to a week at most brokers. You can't place options trades until you're approved, so factor that into your timeline if you're switching from Robinhood.
Comparing fees and minimums at a glance
| Broker | Options Commission | Minimum Account Balance | Approval Timeline |
|---|---|---|---|
| TD Ameritrade | No commission | None | 3–5 business days |
| E*TRADE | No commission | None | 3–5 business days |
| Charles Schwab | No commission | None | 3–5 business days |
| Fidelity | No commission | None | 3–5 business days |
| Tastytrade | $0.10–$0.15 per contract | $2,000 | 3–5 business days |
| Interactive Brokers | $0.65 per contract | $10,000 | 1–2 business days |
Which broker to choose based on your situation
If you want the closest experience to Robinhood with better research tools, start with Charles Schwab or Fidelity. Both have no commissions, no minimums, and interfaces that won't overwhelm you. If you're willing to spend time learning a more powerful platform and want access to professional-grade charting, TD Ameritrade is the standard choice.
If you trade options frequently and want to understand the mechanics deeply, Tastytrade is built for that purpose. If you're trading large volumes and cost is your primary concern, Interactive Brokers will save you money — but only if you can handle the complexity.
For most people switching from Robinhood, Schwab or Fidelity will feel familiar while giving you more tools. You can always move to a different broker later if your needs change.
Frequently Asked Questions
Do I have to transfer my existing Robinhood positions to a new broker?
No. You can leave your Robinhood account open and open a new account at a different broker. If you want to move existing positions, you can request an ACAT transfer (Automated Customer Account Transfer), which moves your holdings to the new broker. The process usually takes 3 to 7 business days and is free at most brokers.
Will I be approved for the same options level at a new broker?
Not necessarily. Each broker makes its own approval decision based on your answers to their application form. If you were approved for spreads at Robinhood, you might be approved for spreads at a new broker, but it's not automatic. You can request a higher approval level after you're approved at a lower level.
Can I trade options on the same day I open an account?
No. You have to open the account, be approved for options trading, and have the account funded before you can place any trades. This process typically takes 3 to 7 business days total. Plan ahead if you want to start trading on a specific date.
Are there any brokers with lower fees than Robinhood's zero commission?
No broker charges less than zero commission per trade. However, some brokers like Tastytrade and Interactive Brokers charge per-contract fees instead of per-trade fees, which can be cheaper if you're trading multi-leg strategies. For single-leg trades, zero-commission brokers like Schwab and Fidelity are the lowest cost.
What happens to my Robinhood account if I switch brokers?
Your Robinhood account stays open unless you close it. You can keep it open and use both brokers, or you can close it after you've transferred your positions. Robinhood doesn't charge a fee to close an account, but check that you've transferred everything you want to keep before closing it.