Interactive Brokers Review 2026: Pros & Cons
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(Disclosure: Some of the links below may be affiliate links)
Are you looking for a great broker? Look no further!
Interactive Brokers (IB) has all the features you need as a passive investor. Plus, their fees are almost unbeatable in the industry.
I have been using IB for several years and could not be more satisfied. They offer a wide range of products at excellent prices.
In this review, you will find all you need to know about Interactive Brokers, what you can do with IB, how much IB will cost you, and much more!
By the end of this review, you will know whether IB is a good broker for you!
| Custody Fees | 0% per year |
|---|---|
| Inactivity Fees | 0 CHF |
| Buy Swiss ETF | 5-15 CHF |
| Buy American Stock | 0.50 – 1 USD |
| Currency Exchange Fee | 2 USD |
| Languages | English, French, German, and Italian |
| Mobile Application | Yes |
| Web Application | Yes |
| Custodian Bank | 8 different US banks |
| Established | 1978 |
| Headquarters | United States |
What is Interactive Brokers?
The broker you need to buy stocks and ETFs reliably and at extremely affordable prices. Trade U.S. stocks for as little as 0.5 USD!
- Extremely affordable
- Wide range of investing instruments
Interactive Brokers (IB) is a well-established brokerage firm (a broker) from the United States. IB was founded in 1978 already.
Today, Interactive Brokers is a huge brokerage company. They are the largest electronic brokerage firm in the United States. They are also leading the forex broker market. IB is also profitable, with over one billion US dollars in yearly revenue. IB employs more than 1500 employees worldwide.
IB offers access to stocks, bonds, options, futures, and other financial instruments on the leading stock exchange in the world. You will have access to all the investing instruments you will ever need. As of 2026, they offer access to more than 170 different markets in many countries.
If you are going to trade US bonds, it is worth mentioning that IB offers access to the US bond market 22 hours a day, 5 days a week. This makes it very available to buy US bonds during European hours.
So, here is precisely what IB offers as a broker.
Interactive Brokers Account Types
Interactive Brokers offers two types of accounts.
The default account type is the Cash account. With this account, you can only trade with the money you have in it. I am using this account type, which is good for most people.
The other account type is the Margin account. With this account, you can trade on margin, which means that you can buy stocks with money you do not have. So, IB will lend you money to trade on the stock market, and you will pay interest on the money loaned to you.
Generally, with margin accounts, you have a certain level of margin. For instance, if you have 10K cash and a 4:1 margin, you will have 40K available.
If you are interested in margin accounts, you should first read IB’s page on Margin accounts. You should also be careful about the risks of trading on margin.
For most people, a Cash account will be the best choice. If you do not know about margin accounts, do not consider getting a Margin account. You could lose a lot of money if you do not know what you are doing. On the other hand, if you know what you are doing and want to use leverage, you can choose a Margin account.
It is also worth noting that you can get a free trial. In this trial, you will get paper money. And you can simulate investments in the stock market with your paper money. This is a good way to start investing without putting any of your money. For many people, this is a good way to put them at ease with investments. Once they have mastered the account, they can seamlessly upgrade the free trial account to a live account and start trading for real.
Interactive Brokers Fees
In the long term, you need to reduce your fees. Investing fees are extremely important.
Interactive Brokers has two fee systems:
- Fixed Fee System
- Tiered Fee System
The fixed fee system is straightforward. You will pay a fixed fee for each exchange. For instance, you will pay 0.10% on transactions on the Swiss Stock Exchange (with a minimum of 10 CHF).
The tiered fee system is much more complicated. You pay individual fees, such as clearing fees, trade reporting fees, and transaction fees. The rules are different for each stock exchange.
The complexity of the tiered fee system turns many people away. However, for simple investors, the tiered system is often significantly cheaper. In most of my calculations, the tiered fee system was less expensive than the fixed system. So, if you want the lowest fees possible, you should generally opt for the tiered system.
I will not go into details about all the fees of Interactive Brokers because they are complex. But overall, the fees of Interactive Brokers are really low. For instance, here is a comparison I did for the best brokers in Switzerland:
When you compare IB with other brokers available in Switzerland, we can see that the fees of Interactive Brokers are excellent. If you trade a few times per month, your costs will be really low!
We use Interactive Brokers as our primary broker because of its excellent fees and its wide access to ETFs.
Currency Conversion Fee
IB is doing currency conversion at the best rate available. However, conversions are not free.
If you are doing a manual conversion, you will pay 0.002% of the conversion, with a minimum of 2 USD. Unless you are doing massive conversions, you can assume you will pay 2 USD.
If you are letting IB do automated conversions (with a cash account only), you will pay 0.03% of the conversion size, without a minimum.
The automated system is cheaper for conversions below 6500 CHF, and manual conversions are cheaper after that.
Overall, these fees are incredibly cheap! This is among the best available fees for currency conversions. And this is orders of magnitude better than a Swiss broker.
However, it is worth mentioning that Interactive Brokers does not like accounts that are solely used for currency conversions, without investing. Some people had some features blocked on their accounts for doing that.
Custody and inactivity fees
Fortunately, there are no custody fees or inactivity fees at IB!
IB’s no custody fee advantage over most other brokers is fantastic! Not only do they have outstanding transaction fees, but having no custody fees is fantastic!
Cash Interest Rates
The interest rate on CHF cash was negative in the past. However, it has been growing steadily since 2023.
Currently, the interest rate on CHF balances is 0.0% (as of April 2025). And the interest rate on USD balances is 0.0% up to 10'000 USD and 4.080% above that (as of December 2024).
You can get the current interest rate on this page.
Other fees
One fee that is worth mentioning is the withdrawal fee. Indeed, you are only allowed one withdrawal per month. If you do more than one withdrawal in a month, you will pay for each one starting from the second one. Each paid withdrawal is 11 CHF for a CHF withdrawal, 8 EUR for an EUR withdrawal, and 10 USD for a USD withdrawal.
If you want to register your Swiss shares in the share register, you will have to pay 150 CHF. This is relatively expensive, even compared to Swiss brokers. However, this is something not everybody needs and is not necessary for each position. But if you are planning to register your shares, it is important to know this fee.
Opening an account with Interactive Brokers
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Opening an account with Interactive Brokers is not complicated, but it will take some time. The procedure asks many questions and has many steps.
First, they will ask for general information about you (name, address, and such). You will also need to select the type of account you want. This choice is essential. This step is also where you will choose the base currency of your account.
The second step of the procedure is to provide financial information. IB will ask you how much money you have and how much experience you have with stocks. And you will have to choose which instruments you want to invest in. Do not worry too much since you can register for new investing instruments later.
The next step is about accepting the terms and conditions of Interactive Brokers. I would recommend at least skimming through them. After this, they will ask for proof of your identity and extra tax-related information.
Finally, you only need to fund your account for it to be complete. While this is not the most straightforward procedure, it is not too complicated.
If you want more information on the process, I have a guide on creating an Interactive Brokers account.
Subaccounts
It is worth mentioning that you can have subaccounts in your Interactive Brokers account. It means that you can manage several accounts in the same primary account.
The best usage of subaccounts is if you want to invest for your children and easily separate your stocks from theirs. Legally, the stocks are still yours since you cannot create accounts for minors. Nevertheless, it is good to see them separate. I have bought a share of VT every month for my son.
If you want further information, I have an article about investing in stocks for your children.
Using IB to trade
Interestingly, IB has many user interfaces:
- The standard web application
- The mobile application (IBKR Mobile)
- The WebTrader web interface
- The IBKR Desktop application, for Windows and Mac
- The Trading Workstation (TWS) desktop application
So, there should be an interface for everybody!
You can do most things from all interfaces. For instance, you can trade stocks from each of these interfaces. The problem with IB is that many people have been discussing the TWS interface. So, many beginners believe they should use it. However, the TWS interface is the most complicated of these interfaces by far.
I have never used the TWS application for trading. It is just too complicated for most investors. You only need the Account Management interface if you are a simple investor and invest in ETFs. If you prefer phones, you can also use the IBKR Mobile application to trade.
From account management, you can trade everything you want. And you can also transfer money to and from your account. All these operations are relatively simple.
You can fund your account for free with a bank transfer. First, you must declare your bank account in IB, and then you can make a deposit. Withdrawals work the same way. You can only send money to accounts in your name. I never had any issues with either deposits or withdrawals.
For currencies, you have multiple choices:
- You can do a forex trade directly. For instance, you could buy USD.CHF, which is buying USD with CHF.
- You can use the currency converter and let IB do the operation for you.
- Since April 2024, you can let IB do the currency conversion for you by buying shares in a currency you do not have. For instance, if you buy VT in USD and only have CHF, IB will do the conversion for you. This will only work on a cash account, since a margin account would go negative on the currency you do not have.
In any case, IB is outstanding at converting currencies. They use an excellent rate and have very low fees.
It is also worth noting that you can automate your investments with IB. You can set up standing orders starting weekly or monthly. If you use a recurring order for the transfer, you can entirely automate your investments. This feature is something some people are looking for.
If you want further instructions, I have a guide on how to fund your IB account and trade an ETF.
Other features
IBKR has some other interesting features.
I would like to mention the Stock Yield Enhancement Program. If you enable this option in the settings, IB can lend your shares to other investors. This system is called securities lending.
I like that IB shares 50% of the profit with you if you use that option. This sharing starkly contrasts with other brokers that would lend your shares to other people by default without giving you any profits.
I am not saying everybody should enable this option, but for me, this indicates that IB is a great broker.
Another interesting feature is that you can trade fractional shares. This feature allows you to buy fractions of shares. This feature is helpful if you want to buy some expensive shares or if you want to purchase many companies without having a large portfolio. You can read more about fractional trading at IB.
One thing that is missing from Interactive Brokers is the ability to register Swiss shares as a shareholder. Some people want to be registered so they can attend shareholder meetings and receive some gifts.
While IB itself does not provide e-tax statements, Datalevel AG, a Swiss company, is offering this service. With them, you can generate e-tax statements from your IB account.
Is IB safe?
If you invest significant money, you want your broker to be safe. So, we must look at the safety and security of IB.
Regulations
First, we can take a look at regulations.
Interactive Brokers has seven legal entities depending on the customers’ country. For instance, Interactive Brokers LLC works in the US, while Interactive Brokers (UK) Limited works for European clients.
Each of these entities is regulated. For instance, the US entity is regulated by the Securities and Exchange Commission (SEC), and the UK entity is regulated by the Financial Conduct Authority (FCA). So, overall, IB is extremely well-regulated.
Financial Strength
Currently, Interactive Brokers is considered very strong financially. They have a strong capital position and advanced risk controls.
The company manages over two million accounts and executes almost two million daily trades. These are substantial numbers showing that IB has many active users.
In April 2023, IB had over 7 billion USD above the regulatory capital they needed. The company invests mostly in the short term to ensure it has enough money to cover issues in the short term. So, IB’s money is not locked when it needs to be available.
Overall, Interactive Brokers’ financials are good. The company has not shown any signs of financial trouble.
Protections
Moreover, protection in case of bankruptcy is also critical. Even though IB is financially strong, we still want to know what would happen should it go bankrupt.
It is important to know that IB does not segregate each country. This means a Swiss investor using IB UK will use the same trading system as a US investor. This is great news for protection!
The SIPC will protect US investors. It protects your assets up to 500K USD, but it will only protect your cash up to 250K USD. And since Swiss investors are protected like US customers, we also get SIPC protection!
Now, there is an exception for some instruments. For instance, Contracts for Difference (CFDs) are prohibited in the United States. But they are offered to other investors. If you use them, the protection for your CFDs will fall to the FCA protection, up to 85K GBP.
Again, you have excellent protection against bankruptcy with Interactive Brokers. We have higher protection with IB than with a Swiss broker.
It is important to note that since Brexit, European investors have been using other entities of IB. In that case, the protection is worse since you will not get SIPC protection on stocks, only FCA. But Swiss investors still have SIPC protection. We should note that SIPC has a global limit of about 7.5 billion USD.
If you would like to learn more, I have an entire article about Interactive Brokers safety.
Technical security
Finally, technical security is also essential.
With Interactive Brokers, you will have strong technical security. All communications with the server are encrypted, but all honest brokers use encrypted traffic.
Most importantly, you can use Two-Factor Authentication for your account. You have two choices for that. First, you will be able to use the IBKR Mobile Application for that. Every time you log in from the web interface, you must confirm the login and enter one more code on your phone. But you can also use your standard TOTP application to generate a code. This second factor adds a great layer of security to your account.
So, Interactive Brokers has excellent security!
My Experience with IB
I started investing with Interactive Brokers when DEGIRO suddenly blocked access to US ETFs to Swiss Investors. Since then, I have been delighted with Interactive Brokers. I have been investing with IB for more than three years.
My entire stock portfolio is in my IB account. I buy new ETF shares every month from the default web interface, but I have also tried other interfaces. The IBKR Mobile application is very well done, but I generally prefer using my desktop computer rather than my phone.
I do everything from the Account Management interface, which suits all my needs. IB also fits my needs perfectly well. With time, I have learned to ignore most of the tool’s features. I only need a few features for my trading.
Since I sometimes get paid in USD, I can wire the money directly to my Interactive Brokers account. That way, I would not have to pay any currency exchange fees and could invest the money directly.
Overall, I am happy with my experience with IB. I never had an issue with the broker, and all my transfers reached IB very quickly. When I needed to withdraw money for the down payment on our house, I had no problems. All my trades have been flawlessly executed. The reporting on the web interface is also precisely what I need. I can only recommend IB!
IB Reputation
It is essential to look at a broker’s reputation before using it to invest in the stock market.
As a source of review, I always use TrustPilot. So, we look at the reviews of IB on TrustPilot. On average, users rate IB at 3.3 stars. Before looking at this, I was expecting a higher score.
First, we look at what people do not like about IB. We can categorize most of the negative reviews into two categories:
- Poor user interfaces. It takes a while to get used to the IB user interface. But after some time, it is straightforward to use.
- Poor customer service. It seems that many people have issues getting help from customer service. I cannot comment on that since I have never used their customer service. But I know people in Switzerland who did and have never had issues with them.
Overall, I am not too worried about these negative comments. A lot of them do not seem serious. And many commenters seem pissed off at making mistakes with the platform. But of course, it would be better if they are fewer negative reviews.
One good thing is that most reviews (39%) rate IB at five stars. So, we should also look at what positive reviews are saying:
- Excellent customer service. It is interesting to note that there are both negative and positive reviews of IB’s customer service.
- Excellent fee system
- Excellent order execution
- Good platforms
So, we can see that overall the reviews are mixed for IB. I think it comes from the fact that it takes a while to get used to it. Once you get used to it and focus only on the things you need, IB is quite simple to use.
Interactive Brokers Awards
One way to see how a broker is doing is to check out the awards they got from external sources. Over the years, Interactive Brokers has received many awards.
They received seven awards only in the year 2022:
- Best Online Brokers of 2022, by Barron’s
- Three awards from Investopedia, including best broker for international investing
- Several award titles from stockbrokers.com
- Several award titles from forexbrokers.com
- Several award titles from brokerchooser
While this is not the only thing that matters, awards are a good sign for Interactive Brokers.
Alternatives to Interactive Brokers
There are many alternatives out there.
The one that is the most interesting for a Swiss investor is DEGIRO. However, we should also compare IB with Swiss brokers.
Interactive Brokers vs Saxo
Start investing with a Swiss broker at incredible fees! Start trading with Saxo Bank and get 200 CHF in trading credits.
- Low currency conversion fee
- Swiss broker
Many Swiss investors prefer to use a Swiss broker. So, we should compare Interactive Brokers vs Saxo, my favorite online Swiss broker.
Both brokers have a ton of features, and simple investors will not miss a feature on either service. Both brokers offer access to US ETFs as well.
Saxo is the most affordable of the Swiss brokers. However, it will still be more expensive than IB. Neither of the two brokers has custody fees. The transaction fees are significantly higher at Saxo than at IB, especially on foreign stocks. Currency conversions are also cheaper at IB.
If you want to purely optimize your investing for fees, you should opt for Interactive Brokers. If you want to opt in for the cheapest Swiss broker and retain Swiss custody, you should opt for Saxo and accept higher fees.
Overall, both of these brokers are great and I am actually using both.
Interactive Brokers vs Swissquote
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Best broker overall
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Great Swiss Broker
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Primary Rating:
5.0
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Primary Rating:
4.5
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Extremely cheap
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Very affordable
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Pros:
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Pros:
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Cons:
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Cons:
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- Outstanding prices
- Many investing instruments
- Excellent execution
- Access to US ETFs
- Good reputation
- A little intimidating at first
- Swiss broker
- Easy to use
- Many investing instruments
- Access to US ETFs
- Good reputation
- Expensive to trade US shares
- Expensive currency conversion
Another interesting Swiss broker is Swissquote, probably the most established Swiss broker. Both brokers offer access to US ETFs and have roughly the same features. If you are a simple passive investor like me, both brokers will have more than enough features for you.
You can trade with both brokers from your computer and your mobile phone or tablet. Swissquote is slightly easier to use than Interactive Brokers, but not by a long shot.
The main difference between these two brokers is price. If you use a stock exchange other than the Swiss Stock Exchange, IB is much cheaper than Swissquote. In some cases, IB can be 100 times cheaper than SQ. This difference can be very significant.
In addition, SQ has some custody fees, while IB has zero account management fees. So, if you are looking to optimize the price, IB is the clear winner.
For many investors, Swissquote will have the advantage of being in Switzerland. It may make it easier to deal with them if you have issues, while it could be complicated with IB. So, if you are looking for an affordable (not cheap) Swiss broker, Swissquote is an interesting alternative.
For more information, read my review of Swissquote or my comparison of Swissquote vs Interactive Brokers.
Interactive Brokers vs DEGIRO
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My top pick
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Good broker for Europe
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5.0
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4.0
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No custody fees
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Very affordable
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- Great prices
- Many investing instruments
- Excellent execution
- Access to US ETFs
- A little intimidating at first
- Affordable
- Wide range of investing instruments
- Expensive currency conversions
- No access to US ETFs
- Lend your shares by default
For European investors, DEGIRO is another interesting alternative. So, it is interesting to compare these two brokers.
The first main difference between the two brokers is that only Interactive Brokers offers access to US ETFs to Swiss investors. This difference makes IB a much better choice than DEGIRO for Swiss investors. It will make a significant difference in the performance of your portfolio. If you invest with DEGIRO, you must invest in inferior European funds.
But we can also look at the fees of both brokers. There are a few differences between DEGIRO and IB:
- IB is much cheaper for the American Stock Market
- DEGIRO is very slightly cheaper for the European Stock Market
- IB is much cheaper for Foreign Exchange (FOREX)
There are a few differences in the features part as well. IB is also a FOREX broker, so you can hold many currencies in your account. And foreign currency exchanges are cheap. On the other hand, DEGIRO offers automatic currency exchanges when you buy and sell, but it is much more expensive than IB (unless you do small conversions).
You can also opt for manual currency conversions on DEGIRO, making currency conversions even more expensive. Overall, DEGIRO is not a great choice for trading currencies.
For the user interface, DEGIRO is slightly easier to use than IB. On the other hand, IB has many more features, but simple investors will likely not need many of these features.
Finally, IB was established in 1978, while DEGIRO only started offering brokerage accounts to retail investors in 2013. So, IB has more extensive experience.
So, overall, Interactive Brokers is a much better broker than DEGIRO. You will be able to access US ETF if you are Swiss. And you will be able to get excellent service at very low prices.
If you want more details, you can read my DEGIRO Review.
Interactive Brokers FAQ
What is the minimum deposit for Interactive Brokers?
There is no minimum deposit at Interactive Brokers. You can open an account without any money inside. Since there are no inactivity fees, this is perfectly fine for a small amount.
Is Interactive Brokers safe?
Yes. Interactive Brokers has been around for more than 40 years and has a great reputation. On top of that, it is well regulated in several different countries. Finally, your money is insured at Interactive Brokers for up to 500’000 USD, thanks to SIPC.
Is Interactive Brokers good for beginners?
Yes. While it is not the simplest broker out there, IB allows you to get started with little money and very low fees. The basic interface is simple enough to use and will allow you to do everything you need to start investing in the stock market.
What Interactive Brokers entity should I use?
As a Swiss investor, I recommend using the Interactive Brokers UK entity that offers the best regulations, protection, and features.
Who is Interactive Brokers good for?
Interactive Brokers is great for all investors that want to trade themselves and do not mind a foreign broker.
Who is Interactive Brokers not good for?
Interactive Brokers is not the best if you want to keep it very simple. If you are afraid of using a foreign, there are some Swiss alternatives, but at higher fees.
Can you use an IB account for currency conversions only?
No. IB may block your account if you use it only for currency conversions, without investing.
Can you register Swiss shares in your name with IB?
No, you cannot. Currently, it is not possible to register Swiss shares in your name as a shareholder with Interactive Brokers.
Interactive Brokers Summary
Interactive Brokers is an excellent broker with everything you need to buy stocks and ETFs, reliably and at extremely affordable prices. With IB, you can trade U.S. stocks for as little as 0.5 USD!
Product Brand: Interactive Brokers
5
Interactive Brokers Pros
Let's summarize the main advantages of Interactive Brokers:
- A vast range of investments
- Very low fees
- No custody or inactivity fees
- Very professional service
- Offers US ETFs to Swiss Investors
- Good overall reputation
- Long experience
- Excellent security
Interactive Brokers Cons
Let's summarize the main disadvantages of Interactive Brokers:
- It can be intimidating at first
- Too many user interfaces
- Cannot register Swiss shares as a shareholder
Conclusion
The broker you need to buy stocks and ETFs reliably and at extremely affordable prices. Trade U.S. stocks for as little as 0.5 USD!
- Extremely affordable
- Wide range of investing instruments
Overall, Interactive Brokers is an excellent broker. Their fees are incredible, and their service is top-notch. Interactive Brokers should be your choice if you want a professional broker at a very fair price.
Since they are still offering US ETFs to Swiss investors (why US ETFs are the best), Interactive Brokers is currently the best broker for Swiss investors. No other broker even comes close if you want to optimize your portfolio.
I have been using Interactive Brokers for more than five years now. IB is the broker I am currently recommending to Swiss investors. It is also an excellent choice for European investors. I am pleased about IB and plan to continue using it for a long time.
Many people argue that we should not pay fees for brokers since there are free brokers. However, you have to be careful. There are many downsides to commission-free brokers. I much prefer paying very little for a great broker than not paying for a bad broker.
If you are interested in IB, I have a guide on opening an IB account.
What about you? What do you think of Interactive Brokers?
More reading
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Swissquote Review 2026 – A great Swiss Broker
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Get Your FREE Swiss Money-Saving Guide
Hi Baptiste,
First of all, congratulations and many thanks for this great blog and all the efforts you put in! It is amazing to read and I have already learned a lot. Really great resource.
When starting fresh with IB as a Swiss, did I understand correctly that we cannot choose between IB US and IB UK, but that it should not matter and I will be protected anyway by the SIPC?
Thanks and kind regards,
Gian
Hi Gian,
Thanks for your kind words, I am glad you like it!
Apparently, we can now use IB US, but there is no advantage as you said. This is why I recommend IB UK which is the default for Swiss investors.
Understood, thanks!
BTW – Did you already cover the PayPal debit card with 5% cash back?
https://www.paypal.com/us/digital-wallet/manage-money/paypal-debit-card
Hi,
I did not. However, it’s a US card. This means that any transaction outside of the US or in non-USD currency will incur a 2.5% transaction fee. So, it’s unlikely to be really good for anything outside of the US. And the cashback is only valid for a single category of spending.
SYEP: For Payment in Lieu (PIL) payments during lending in IBKR you also pay the withholding tax in the US. anybody with experience how to declare that in switzerland? Same as normal WHT in the DA/1 form or is it not eligible for recuperation? thx!
Good question. I do not know. I would expect you can get it back the same, but this is not guaranteed indeed.
It is true about IBKR UK’s reviews on Google. A very different picture to trustpilot.
Agree. It’s early days and very little known but also understand that our money is in there for long -term usually and the need to withdraw or deal in this situation is rare anyone – like me – who is only 2 years into this investment journey
It’s a fair point that most investors don’t withdraw. I did not have any problem withdrawing everything when we bought our house though.
That being said, this conversation is probably best had on the forums instead of lost in the comments.
I recently transfered my swiss shares worth 200’000 from IBKR to SaxoTrader to have my eggs in two baskets without an problem. It took me 10 Minutes work on both banks and i had to wait 3 – 4 workdays and everything was completed. Also my withrawals in CHF or € were allway easy and fast.
I would recomend IBKR without any doubts.
Greetings Aare
Thanks for sharing, Aare.
Just FYI, all the major online platforms seem to follow the same trend. Once they gain enough traffic and become influential, many reviews are filtered because companies get their lawyers involved in having them removed. From the platform’s perspective, it’s often easier to remove a bad review than to deal with a lawsuit. As unfortunate as it is, I’ve been involved in many such cases myself and assure you that reviews can be influenced heavily And IBKR does it perfectly.
Now, sticking with IBKR, should you ever encounter an issue with them, they will direct you to the UK Financial Ombudsman to resolve it. In my friend’s case, it took over a year for his case to even be considered. Initially, it was assigned to an intern, not an actual ombudsman. Another point worth mentioning is that while the Financial Ombudsman Service (FOS) UK is supposed to handle cumtomer complaints, they are funded by the UK financial sector. This makes your chances of success close to zero, even in cases where the outcome should be as clear as black and white.
But don’t just take my friend’s experience as evidence—check out Trustpilot for more insights:
Trustpilot Reviews on FOS UK
The only difference with FOS UK is that, as a public service, they may not be allowed to hire lawyers to manipulate reviews—though this could change.
For now, take a look at their reviews and see what you might be in for if you ever face an issue with IBKR, especially outside UK, e.g. in Switzerland.
That’s why your only real option may be to go to the police—unless, of course, IBKR decides to file a case against you based on some ridiculous claims.
If you want to continue this discussion, please do it on the forum. Long conversations do not fit well on the comments section.
Hi Baptiste,
I really enjoy your reviews—they’re usually spot on with my experiences. However, I need to warn you and your readers about this broker. They’re not just unprofessional—they might be engaging in serious criminal behavior. My friend has been through hell with them.
To keep it brief, they’ve been withholding his assets for over two years now, ignoring repeated termination requests, and refusing to communicate. When he escalated the issue to regulatory authorities, they shockingly filed a criminal case against him for defamation. This is being done by IBKR Financial Services AG, a subsidiary based in Zug. It’s ironic—they cite U.K. laws when it suits them, yet they violate those too. And use the Swiss office when they file criminal charges against the customers for asking to return the assets.
For over 2.5 years, they’ve trapped him, and now they’re accusing him of defamation. I helped him file a counter criminal complaint against their Swiss and UK offices in Zug for theft, embezzlement, fraud, and extortion. The case is ongoing.
Also, be cautious referring to Trustpilot reviews—they mainly reflect the US office, not the UK one, which handles European clients. IBKR even has negative comments removed from Trustpilot. Try to post one just to check it out.
For a more accurate picture, check the Google reviews for Interactive Brokers UK.
My friend is filing complaints with all the relevant regulatory bodies in Europe and will share everything online to warn others. I’ve had multiple brokerage accounts in my life, and while I know they’re never your friends, the non-compliance and possible criminal activity at this broker are unprecedented. I myself have closed my account with them and wouldn’t recommend them to anyone.
Unless you’re sponsored by them, I’d be careful about endorsing them—they’re destroying their clients’ wealth and health.
I am sure you will hear from his case as he will be providing all the information online.
Hi,
Thanks for sharing. I had never heard of such issues.
I endorse IBKR because this is the broker I am using because it offers all the features we need as a Swiss investor, at low fees and because many Swiss investors also use it.
It would be interesting to know more about this case.
Sure, absolutely. Everyone has their own experience. We believed we should share ours because it sounds so unbelievable. To support our claims, we will post the link to the documents in the next few days.
My friend feels threatened by the broker, so he even had to request a restraining order from the police and the prosecutor’s office. To further protect himself, he decided to also publish the information on many public platforms.
All involved parties have been informed. Personal data will be redacted.
Oh yes indeed, please share more information about this. I am investing with IBKR and now reading this, I am really worried about my money sitting there. :(
Thanks a lot for your time end efforts in advance.
Ana
I would not worry too much about this, yet. We do not know the details and this is one case.
There might be details we do not yet know about. But I also wonder, who here has used them and actually gotten their money back? Generally, people invest and leave the money there, so I am wondering if there would be more cases like this if more people requested a payout?
Also regarding trustpilot: I have had 3 of my negative comments deleted for bad reviews on companies (in the travel sector, not finance). It seems some companies have a team fighting any negative comments…
Thanks for sharing about TrustPilot, I did not know it was that bad.
Hello,
I have been using IBKR for one year now and I have to fill up the annual information review. At the end of the form, they inform me that they are downgrading my capabilities. `By submitting these changes, you will no longer qualify to trade the following products: options, stocks`. I only changed my address and the others things it’s like the year before. Even if I change to stock and option experience and I put more years of experience, I still get the same message. Is it normal that they downgrade my account and would I still be able to trade ETFs?
Thank you
Hi Ana
I have never seen that. Maybe you will have to re-certify your new address before you can trade.
Unfortunately, stocks and ETFs are normally a single permission, so losing stocks should mean losing ETFs.
I do not have bad experiences with IBKR.
In Switzerland regularly “gilt bis auf Weiteres die Unschuldsvermutung.”
to Ana: it is always better to discuss issues with
the responsible IBRK team for having first-hand
information on why that happened and how to
proceed.
to Legal Advisor: warnings are o.k. of course. but even when it does not seem helpful anyway, you neither stated which behavior of your friend started all this initially.
To FrankieS:
It is truly an honor that you provide a platform for people to raise awareness about real dangers and potentially criminal behavior.
The suggestion to “discuss issues with the IBKR team” is frankly absurd. If everything customer service says is taken as the ultimate truth, then what purpose do reviews and blogs serve?
As a lawyer, I can assure you that no customer behavior justifies expropriation or extortion. Brokers always have a choice, and in fact, an obligation to cancel contracts if warranted. However, in this case, they refuse to do so. Therefore, he will ensure that all relevant data is made public so people can make informed decisions about whether they want to risk their wealth and health with this broker, regardless of what the so-called “customer behavior” might have been.
Here is the link and try your best to find a good reason for such behaviour of the broker.
Just FYI, in the copy is a police officer of the Vanton Zug and there was no reply from the broker to a single request since one year. Let alone these demands.
https://tinyurl.com/mwrjjmdv
Hi Ana, sure, here is the link to some of the documents and statements.
https://tinyurl.com/mwrjjmdv
This will be updated based on the case progress.
The case will be made public anyway.
Hi, thanks for providing the documents (proof I guess).
Could you make a post on the blog and summarize the key points?
It’s not really clear from the documents what the wrongs of IBKR are.
So far, you make it look like IBKR didn’t allow the payout of the investments, but to be honest, if that were a common problem, then nobody would be recommending IBKR.
What’s your client’s fault in all this?
Please provide more context.
Context should be provided on the forum if you want this discussion to continue.
Hey, maybe it is time to do a comparison with Neon. With it’s investment plan you pay only the stamp duty. This makes it very competitive even to Interactive Brokers.
Hi Ioannis
Keep in mind that only a few ETFs are free of transaction costs with Neon Invest investment plan, not all.
Even without the stamp duty, Neon would not be able to compare to IB for a medium to large portfolio. US ETFs are simply better and not available at Neon. And when you add the stamp duty on top, this makes it even more inefficient.
But for a person investing only a little money each month, Neon Invest can definitely be cheaper than IB because in this case, it’s more important to save on transaction costs than to save on custody fees.
always
I like IBRK very much.
Super-cheap, super-multitude of stock exchanges
offered (even Shenzhen and Shanghai via HK Northbound stock connect) and recently Taiwan (with margin accounts). Smooth account opening.
With non-Switzerland residence the protection seems a bit of a problem, I feel ? What is the factual protection then for this person group for stocks/ETFs that are U.S. domiciled/USD-nominated and stocks/ETFs not U.S. domiciled/non-USD-nominated ? (really only 20000 USD protection ?).
The activity documantation under ‘reports’ essential for tax-purposes ist super-detailed with IBRK, but on the first glances even somehow overwhelmingly so.
I think there is currently no better online broker (excluding the IBRK.eu protection setup).
bye
FrankieS
Hi Frankie
It’s true that we have better protection for Swiss residents, but the difference is mostly theoretical.
If you use only stocks and ETFs, even IB has some form of asset segregation. It’s true that asset segregation is more limited through Omnibus accounts, but I am not too worried.
The protection is mostly interesting for cash. And you should not hold too much cash in your broker.
thank you.
Hi Baptiste,
Thanks a lot for your great sharing.
I wonder why people never just use IBKR for currency conversion instead of Wise if they have a large amount of currency that needs to be converted, like 100k CHF. Is there any problem that using IBKR as a currency-changing tool without any stock investing?
Another thing, if I pay tax at the source, how IBKR calculate my tax from their investment income?
Many thanks,
Roger
Hi Roger,
IBKR itself is against that practice. I should check the rules exactly, but I have heard from many people doing that that they received messages against doing, mentioning possible account closures if they did not comply. If you are investing with them, I think it’s fine of also doing some large conversions on the side. But if you do not invest, this is a different story.
If you pay tax at source, you don’t have to declare your investment income unless:
* You earn more than 120K
* You earn more than 3k from your investment
* Your net assets are worth 150K
If you reach these conditions, you will have to fill up a tax return and then declare your investements.
Hi Roger.
I can tell you my real experience. I used IB to exchange money and one day, I received a message in which they told me that I was using it with certain frequency (once a quarter or less) and they blocked me the feature, so i could not pull the money back for longer than a week. (I resolved it by converting the money back again to CHF and I could withdraw it).
I hope this helps
Ivan
Thanks for sharing, ivan! I will mention this in the article because it can complicate things for some people.
Dear Baptiste,
Thank you so much for this amazing resource you have created for everyone. I have been following for almost a year now. Your website and email has been truly helpful.
I have been using similar strategy to your, buy US ETFs like VT or VOO since those are cheapest and fair returns. However, we have to convert our CHF to USD to buy those and underlying stocks are mostly in USD as well, how to you protect against USD becoming week against CHF. I am not worried about short term volatility because I pay in regularly but what I am worried about long term trends. USD is has been consistently going downing in value against CHF over last 10-20 years. Since that is kind of horizon I am looking at, what would you suggest?
Many thanks
Gurkirt
Thanks Gurkirt, I am glad this is helfpul :)
Unfortunately, there is not much you can do. As a Swiss investor, we have to pay this currency risk. So, our USD will lose value over time compared to CHF. However, what matters is that we will get more returns in USD even after depreciation than we would if we invested only in Swiss stocks (not even exempt of currency risk). We need to account that our returns in CHF wil be lower by about 1% a year on average. But our total returns will still be positive. In the long term, currency hedging will not help.
swiss stocks are not so wrong, too
https://arvy.ch/de/schweizer-aktien/
There is nothing wrong with Swiss stocks indeed. But they only represent 3% of the world stock market, so we need other stocks to diversify.