Got charged negative commission at IB? (I got paid to trade?)

[Jospe]

You still paid a commission to IB. The commission itself was not negative.

The rebate you received for providing liquidity (likely) made up for said commission and then some.

Welcome to the maker-taker model market.

Thanks that makes it clear. I guess my previous brokerages were just pocketing the rebates for themselves and charging me the regular commissions.

 

[1245]

Yeah that must be it. I've traded tons on a few other brokerages before (on the same tickers) and have never gotten a negative commission before, that's why I was surprised about this.

The tickers I got charged negative commission for were: QCOR, VIPS, MPEL.

Looks like BATS is the exchange that's giving me this rebate.

To my knowledge, IB is the only retail broker to pass through option exchange and ECN rebates and fees from the maker/taker model. Remember, your other broker was eating the fees when you took liquidity. Institutional brokers offer this too.

1245

 

[volpunter]

and I hope you were joking in pretending you are too dumb to understand the question. Jeez.

So let's get this straight, you are selling naked puts and wondering why your account was credited money ? I hope u are joking...