WAYZATA, Minn. TCF Financial Corp., the parent company of TCF Bank, has launched its first discount brokerage after a month of piloting.
The unit, called TCF Express Trade, opened for business June 1 but was officially announced last Friday.
TCF Financial has had a full-service brokerage, TCF Securities, for a decade. But TCF Securities only sells mutual funds and variable annuities; TCF Express is the companys first unit that will let customers trade stocks, bonds, and options.
We feel we have to offer discount brokerage to our customers to help solidify their relationships with the bank, said TCF Express president Brian Hurd.
TCF Express accounts can be opened at any of the banks 356 branches or by calling a toll-free phone number. Funds can be transferred between a TCF checking or savings account and a TCF Express account by phone, and deposits can be made at any branch. Though the bank is marketing Express Trade primarily to its customers, noncustomers can also open trading accounts.
Stock orders cost a flat $30 for up to 5,000 shares. If customers wish to trade more than 5,000 shares, the trades cost 3 cents a share. Margin lending is also available.
PrimeVest, the third-party marketer TCF Express uses for individual securities trading, has dedicated two of its brokers to the service. More PrimeVest brokers can be used if needed, Mr. Hurd said.
This fall TCF plans to expand the discount brokerage service to include online trading and stock research, but it will not offer advice.