If you are looking for a low-cost way of investing in shares, investment platforms Freetrade and Trading 212 offer commission-free trading and access to a variety of investment types. In this article we compare Freetrade and Trading 212, detailing the advantages and disadvantages of both to help you decide which is the best share dealing app for you.
We also highlight how you could get a free share worth at least £10* with our reader offer with Freetrade (capital is at risk).
Freetrade vs Trading 212 - which is better?
| Freetrade | Trading 212 | |
| Services | Investing in shares, ETFs and investment trusts
Fractional shares User forum |
Investing in shares, ETFs, CFDs, gold and cryptocurrencies
Fractional shares Video guides Community forum |
| Products | ISA, GIA, SIPP | Trading 212 CFD
Trading 212 Invest Trading 212 ISA Trading 212 Pro Account |
| Minimum investment | £1 | £1 (£10 for CFDs) |
| Fees | Basic account - Free (FX fee 0.99%)
Freetrade Standard (Includes ISA) - £5.99 per month (FX fee 0.59%) Freetrade Plus (Includes ISA & SIPP) - £11.99 per month (FX fee 0.39%) |
No platform charge for ISA
No fees for buying and selling shares in same currency as account 0.15% FX fee for trades in other currencies within an ISA (0.50% for CFDs) |
| Customer reviews (Trustpilot) | 3.9/5.0 | 4.6/5.0 |
| Money to the Masses offer | Receive a free share worth between £10 and £100* when you sign up for a basic account and deposit a minimum of £50. Terms apply. | n/a |
Freetrade vs Trading 212 - services
While Freetrade allows users to invest in shares, ETFs and investment trusts, Trading 212 has a wider range of more esoteric investment types, including CFDs, gold and cryptocurrencies. It also offers informative video guides to help investors navigate what they should be adding to their portfolios and the timings of buying and selling. However, both Freetrade and Trading 212 have active user forums, which also provide some guidance.
Freetrade vs Trading 212 - products
Freetrade outstrips its rival in terms of the tax wrappers it has available, with a SIPP as well as an ISA. They each have standard investment accounts, Freetrade with its "basic account" and Trading 212 with its "Invest" option. Trading 212 then also has an ISA and a more specialist CFD account, as well as a "Pro" account, aimed solely at highly experienced investors. It is worth noting that, with the risk levels involved, CFDs aren't going to be suitable for the majority of investors, particularly beginners, with Trading 212 itself warning that 78% of its investors lose money trading CFDs.
Freetrade vs Trading 212 - minimum investment
The appeal of both Freetrade and Trading 212 is the low minimum investment required for each, which makes it accessible to those looking to dabble without making a big initial financial commitment. Both allow investors to open an account with as little as £1, although Trading 212 CFD accounts require a minimum deposit of £10.
Freetrade vs Trading 212 - fees
A key difference between the charges from Freetrade and Trading 212 is that Trading 212 doesn't level a platform charge on its ISA, unlike Freetrade, which requires investors to upgrade to a Freetrade Standard account with a monthly fee of £5.99. Alternatively, a Freetrade Plus account for £11.99 per month gives users access to both an ISA and a SIPP. However, while neither platform charges a commission for buying or selling shares, Trading 212 does charge a 0.15% fee for trading in currencies that are different from the one the account is in (0.50% for CFD trading).
Freetrade vs Trading 212 - customer reviews
Both Freetrade and Trading 212 are highly rated by their users, according to independent customer review site Trustpilot. Freetrade has a score of 3.9 out of 5.0 based on around 4,000 reviews, with 67% of its reviewers scoring it as "excellent", while 15% gave it a one-star score. Trading 212 has a Trustpilot score of 4.6 out of 5.0 based on around 29,000 reviews, with 77% of its reviewers giving it an excellent score, while 7% gave it a one-star score. Both platforms got positive feedback on their customer service propositions, as well as users finding them easy to navigate.
Summary: Freetrade vs Trading 212
Freetrade* and Trading 212 probably have the fiercest rivalry in the free share-trading space, with both offering a similar low-cost option, however, only Freetrade* offers a signup bonus of a free share. If you are looking for maximum investment choice, Trading 212 edges out Freetrade, offering a greater variety of shares, as well as access to other investments, including cryptocurrencies. Trading 212 also doesn't charge a fee for its ISA, although Freetrade also offers a SIPP, which its competitor currently doesn't have in its range. For a more detailed analysis of both platforms, read our Freetrade review and Trading 212 review.
If a link has an * beside it this means that it is an affiliated link. If you go via the link Money to the Masses may receive a small fee which helps keep Money to the Masses free to use. But as you can clearly see this has in no way influenced this independent and balanced review of the product. The following link can be used if you do not wish to help Money to the Masses or take advantage of any exclusive offers - Freetrade
