How to Transfer a Traditional IRA from Fidelity to E*TRADE

Your retirement savings should grow with you—and sometimes that means making a switch. Maybe the tools or investment options on one platform no longer match your goals, or you’re exploring new features offered elsewhere.

Moving a traditional IRA between financial institutions might seem complex, but the right approach can help you transition smoothly without incurring unnecessary taxes or penalties. This guide breaks down the precise steps to transfer your traditional IRA from Fidelity to E*TRADE, ensuring your retirement savings remain intact and continue growing.

At Carry, we want to make financial decisions feel more manageable, even if you’re handling them outside our platform. Please note that while we try to provide the most up-to-date information, these processes are subject to change without notice, so be sure to check with your provider before moving forward. 

Step 1: Understand Your Transfer Objective

Transferring a traditional IRA from Fidelity to E*TRADE is all about keeping your retirement savings intact while making a move that better fits your current goals. The safest and most tax-friendly way to do this is through a direct custodian-to-custodian transfer to avoid potential tax consequences and early withdrawal penalties.

Preparing for the Transfer

Before initiating the transfer, confirm that both your Fidelity and E*TRADE accounts are traditional IRAs. Mismatched account types can complicate the transfer process and potentially create unexpected tax implications.

Things You’ll Need to Get Started

✅ Your Fidelity traditional IRA account number

✅ E*TRADE account information

✅ Most recent IRA statement from Fidelity

✅ Personal identification details

✅ Social Security Number

✅ Contact details for both providers

Step 2: Open Your E*TRADE Account

If you don’t already have an account with E*TRADE, start by opening a Traditional IRA. You can do this online in about 15–20 minutes by providing standard personal details and completing identity verification.

✏️ Hypothetical Example: John opened his E*TRADE IRA in about 20 minutes, completing all setup and ID verification in one sitting.

Step 3: Initiate the Transfer Request

Once your account is ready, contact E*TRADE’s transfer team to kick off the process. They’ll help guide you through a direct transfer, meaning funds move straight between institutions and no personal handling is required.

📝 Pro Tip: Always request a direct transfer to avoid potential tax withholding complications.

Transfer Submission Details

When submitting your transfer request, you’ll typically need to:

Step 4: Complete Required Documentation

E*TRADE and Fidelity will require specific transfer forms to ensure the smooth transition of your retirement funds and maintain their tax-advantaged status. You’ll be asked to submit a few key details:

✅ Fidelity account number and provider info

✅ Amount or percentage of assets you’re transferring

✅ Confirmation of account type (Traditional IRA)

✅ Preferred method (electronic or paper check)

✏️ Hypothetical Example: Sarah completed her transfer forms online, which took less than 30 minutes and required digital signatures.

Step 5: Verify Transfer Details

Double-check all account information before submission. Errors can delay your transfer or potentially create unexpected tax situations. 

Before you hit submit, make sure everything matches:

✅ Exact account holder name on both accounts

✅ Correct Social Security number

✅ Transfer amount or full transfer selected

✅ Same account types on both ends (Traditional → Traditional)

Step 6: Potential Transfer Fees and Considerations

✅ Fidelity typically doesn’t charge to transfer out an IRA, but a $50 fee may apply if you fully close your IRA account.

✅ E*TRADE usually doesn’t charge incoming fees

❌ Some mutual funds or proprietary investments might need to be sold, which could come with a small transaction fee

📝 Tip: Always consult your provider whether your specific investments will transfer in-kind or need to be converted to cash.

Step 7: Timeline and Expectations

Most IRA transfers are completed in 5–10 business days. Some may be quicker depending on the institutions and assets involved.

Step 8: Tax Considerations

Direct transfers between traditional IRAs are not taxable events. The funds maintain their tax-deferred status throughout the process. Ensure you do not take personal possession of the funds to avoid potential tax penalties.

Wrapping Up Your IRA Transfer Journey

Transferring a traditional IRA from Fidelity to E*TRADE requires careful planning and attention to detail. A direct transfer helps keep your funds tax-deferred, avoids penalties, and ensures everything stays on track for your future goals.

Quick Recap:

✅ Double-check that both IRAs are Traditional
✅ Complete all paperwork accurately
✅ Use E*TRADE’s direct transfer process
✅ Monitor the progress and confirm the final balance

Once your transfer is complete, you’re all set to start investing the way that works best for you.

📌 Also Read:

---

Disclaimer:

The Carry Learning Center is operated by The Vibes Company Inc. (“Vibes”) and contains generalized educational content about personal finance topics. While Vibes provides educational content and technology services, all investment advisory services discussed on this website are provided exclusively through its wholly-owned subsidiary, Carry Advisors LLC (“Carry Advisors”), an SEC registered investment adviser. The information contained on the Carry Learning Center should not be construed as personalized investment advice and should not be considered as a solicitation to buy or sell any security or engage in a particular investment, accounting, tax or legal strategy. Vibes is not providing tax, legal, accounting, or investment advice. You should consult with qualified tax, legal, accounting, and investment professionals regarding your specific situation.

The accounts, strategies and/or investments discussed in this material may not be suitable for all investors. All investments involve the risk of loss, and past performance does not guarantee future results. Investment growth or profit is never a guarantee. All statements and opinions included on the Carry Learning Center are intended to be current as of the date of publication but are subject to change without notice.

To access investment advisory services through Carry Advisors, you must be a client of Vibes on an eligible membership plan. For more information about Carry Advisors’ investment advisory services, please see our Form [ADV Part 2A] (https://files.adviserinfo.sec.gov/IAPD/Content/Common/crd_iapd_Brochure.aspx?BRCHR_VRSN_ID=916200) brochure and [Form CRS] (https://reports.adviserinfo.sec.gov/crs/crs_323620.pdf) or through the SEC’s website at [www.adviserinfo.sec.gov] (http://www.adviserinfo.sec.gov/).