Prospectus Filed Pursuant to Rule 424

     
Filed Pursuant to Rule 424(b)(3)
Registration No. 333-35802

Prospectus Supplement No. 7 dated April 20, 2001
to Prospectus dated May 19, 2000, as supplemented
on June 21, 2000, July 20, 2000, August 1, 2000,
September 21, 2000, January 12, 2001 and February 1, 2001

E*TRADE Group, Inc.

$650,000,000 6% Convertible Subordinated Notes due February 1, 2007
and
27,542,373 Shares of Common Stock Issuable upon Conversion of the Notes

The information contained in the table appearing under the heading "Selling Securityholders" on pages 43-44 of the prospectus with respect to the Selling Securityholders named below is hereby deleted and restated with the following information:

  

                                                                                             Shares of
                                                      Principal Amount   Percentage of      Common Stock
                                                       of Notes that         Notes           that May Be
Name of Selling Securityholder(1)                       May Be Sold       Outstanding          Sold(2)
---------------------------------                     ----------------   -------------      ------------
Goldman Sachs and Company...........................     $44,519,000          6.8%            1,886,398
Other holders of notes or future transferees of
 such holders (3)...................................          $0               *                  0