How to Open a Vanguard Account
Published Sept. 6, 2024
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Vanguard was a pioneer in low-cost index funds and passive investing. It's the second-largest brokerage firm in the U.S., with about $9.3 trillion in assets under management, according to research by Motley Fool Money.
Opening an account with Vanguard takes just a few minutes. Read on for a step-by-step guide on how to open a Vanguard account.
On Vanguard's Secure Website.
2025 Award Winner
Vanguard is one of the best brokerages for passive investors who want to buy low-cost index fund ETFs. It also offers thousands of no-transaction-fee mutual funds, and excellent zero-commission options for buying stocks online, with no account minimums for brokerage accounts. Vanguard tries to keep its costs and expense ratios low so investors (like you) can keep more of your returns.
$0 online; $25 broker-assisted fee for some phone trades of stocks and ETFs from other companies (Less than $1 million)
$0
On Vanguard's Secure Website.
We'll focus on how to open a brokerage account or an individual retirement account (IRA) in this article, but Vanguard offers many other types of accounts, including:
Vanguard estimates it takes around five to 10 minutes to set up an account. To get started, you'll need to provide a permanent legal address in the United States or a U.S. territory, your employer's name and address if applicable, and your Social Security number.
Your first step is to create an account online via Vanguard's personal investor site. Select "Open a new account with money from my bank."
You'll then be asked whether you want to manage the account on your own or get help. If you go with the Vanguard Digital Advisor®, Vanguard's top-rated robo-advisor, you'll pay an annual fee of 0.15% of assets under management. You'll also need to deposit at least $100. Vanguard also has various tiers of human management available for those with at least $50,000 to invest.
From there, you'll need to choose the type of account you're creating, i.e., an IRA or a taxable brokerage account, create a login, and enter your personal information.
Next, you'll need to link a bank account so you can transfer money. You can search for your bank and log in using your bank account credentials. However, Vanguard notes that Chase Bank and some other institutions require you to manually link the account.
You'll have the option to make a one-time transfer or set up automatic transfers. Vanguard says your bank account will be debited within three business days. Once you initiate the transfer, there will be a seven-day hold before you can buy non-Vanguard securities and some Vanguard ETFs.
There's no cost to open an account. However, some investment products have minimum investments. For example, many Vanguard mutual funds have minimums ranging from $3,000 to $100,000.
To finish setting up your account, you'll need to provide just a few more pieces of information, including your:
Vanguard is required to collect this information to comply with federal regulations. You'll need to enter the same details no matter where you open an investment account.
Once you've filled in the necessary information, you'll need to review everything to verify its accuracy. If everything looks good, you'll hit "continue," then digitally sign and submit an account application.
You'll need to wait seven days to start purchasing investments unless you're selecting Vanguard mutual funds or ETFs. But that doesn't mean you have to wait to start doing your research. Here are the securities you can buy with a Vanguard account:
Note that Vanguard lets you buy fractional shares of Vanguard ETFs for as little as $1. However, you can't buy fractional shares of stocks or non-Vanguard ETFs. You'll need to pony up the price of at least one share.
On Vanguard's Secure Website.
2025 Award Winner
Vanguard is one of the best brokerages for passive investors who want to buy low-cost index fund ETFs. It also offers thousands of no-transaction-fee mutual funds, and excellent zero-commission options for buying stocks online, with no account minimums for brokerage accounts. Vanguard tries to keep its costs and expense ratios low so investors (like you) can keep more of your returns.
$0 online; $25 broker-assisted fee for some phone trades of stocks and ETFs from other companies (Less than $1 million)
$0
On Vanguard's Secure Website.
Vanguard is just one of many low-cost brokers out there. Make sure you compare investment options, fees, account minimums, and the ease of using the actual platform before you choose an investment account. Check out these resources to learn more about opening a brokerage account:
There's no fee to open a Vanguard account, however, some products have minimum investments.
To open a Vanguard account, you'll need to provide your name, address, email, date of birth, Social Security number, employment information, and bank account information.
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Vanguard disclosures
Visit vanguard.com to obtain a prospectus or, if available, a summary prospectus, for Vanguard and non-Vanguard funds offered through Vanguard Brokerage Services. The prospectus contains investment objectives, risks, charges, expenses, and other information; read and consider carefully before investing.
Commission-free trading of Vanguard ETFs applies to trades placed both online and by phone. All ETFs are subject to management fees and expenses; refer to each ETF's prospectus for more information. Account service fees may also apply. All ETF sales are subject to a securities transaction fee. See the Vanguard Brokerage Services commission and fee schedules for full details.
Vanguard funds not held in a brokerage account are held by The Vanguard Group, Inc., and are not protected by SIPC. Brokerage assets are held by Vanguard Brokerage Services, a division of Vanguard Marketing Corporation, member FINRA and SIPC.
Vanguard Marketing Corporation, Distributor of the Vanguard Funds
