I have used both Datek and E*trade for some time now.
Generally, they both execute orders fine.
However, regarding customer service, there is not much
good thing one can say Datek. I have had a problem regarding
one of my short sales, I called them 6 times, sent them 3
emails. There was one response after I sent them a written
letter threatening to take them to small claim house.
People in the customer service department I spoke with includes
William, Lee, Gina, and Brian(Gina and Brian are supervisors).
Each time they promised to look at the issue and give
me a response. Both Gina and Brian promised deadline, they never
bother to keep their word!
One strange thing (at least it seems to me) is when you short sale
a stock, the proceeds from the short sale does NOT earn interest!
Yet you are still liable for any dividend during the period you hold the short position. Datek's support guy keeps bragging about I do
not have to pay 7% interest for short sale. I almost couldn't keep laughing. When I place a short order, I generate cash, not spend
cash! I am not sure if it is legal for a broker not to pay interest
on short sale proceeds. Anyone has idea?
You can see, when Datek adopts this policy, they gain full 7% interest from marginers when there are both marginers and short sellers to offset each other. I am
sure there are many marginers and short sellers for Datek
to offset each other. To be fair, their margin interest rate
of 7% is pretty good. |
