Options Vent/Question

[GDFLS]

Perhaps I should be ashamed to admit it, but hey I am here to learn. I was denied to ability to buy call options from Scottrade.

The reason the branch manager gave for the denial was my inexperience and lack of assets.

I guess they are just protecting themselves, I sorta understand but I am a little disappointed. I guess they don’t know that I am not going to go nuts with options, I just had a few banks in mind to try an option or two and an option on UARM.

Has anyone else run into this? Should I walk around with a big red O on my shirt?

I guess I should just wait and apply again in a while and maybe fund my Scottrade account more? Any other suggestions?

[jacobnbr1]

Originally Posted by GDFLS

Perhaps I should be ashamed to admit it, but hey I am here to learn. I was denied to ability to buy call options from Scottrade.

The reason the branch manager gave for the denial was my inexperience and lack of assets.

I guess they are just protecting themselves, I sorta understand but I am a little disappointed. I guess they don’t know that I am not going to go nuts with options, I just had a few banks in mind to try an option or two and an option on UARM.

Has anyone else run into this? Should I walk around with a big red O on my shirt?

I guess I should just wait and apply again in a while and maybe fund my Scottrade account more? Any other suggestions?

i know by my history that all you need to have is a margin account.and of course sighn the options agreement application.
for the mostpart the trading platform will keep you safe from making a stupendus decision. as a new beginner i might warn you to not do the following: sell naked puts/calls, spreads of any type. practice on owning the position such as puts/calls. also you may do covered call selling ( my favorite).
just call scottrade and tell them you want to setup a margine account that will allow you to trade options and they should really care less if you profit or not.
by doing options i must warn you that you could loose all of your position in a day if you buy the wrong positions.

[GDFLS]

Thanks for the reply and the warning.

Maybe I will hold off for now, I did sign the option agreement and do have approval for covered call writing.

I didn't really want to get involved in that, but maybe something I look into in the future. But you say you really like doing covered calls? Can you give an example of this is somewhat layman's terms?

I have stayed away from opening up a margin account, maybe that is something else I will do down the road when I get a little more exp under my belt.