Your telephone interview could be one of two things (or both).  It could be a cold call aptitude assesment or just a interview with one of their people in St. Louis.

In either case I'd read up on cold calling techniques.  I wish I could help you more on this but cold calling is mostly a skill that is developed by doing it a lot.  Just remember to ask the right questions that guide the conversation to a decision.  I'm sure there are some examples in the prospecting and marketing thread.  Also, I recall writing a very extensive post on my approach quite a while ago, so you might want to search some of my old posts.

I have a third interview with A.G. Edwards next week, much delayed due to the manager being out of town. He wants to talk about prospecting. (No offer, yet).

In the meantime, I got rejected by Edward Jones via form letter. I wasn't that interested in EJ because I have a few other things brewing, but their recruiter was really persistent so I was a bit surprised. I'm not sure what the problem was. I don't have bankruptcies or criminal convictions. I think my references were pretty good, etc.

Ah, well...

Wow…rejected by Edward Jones?  Maybe they were afraid of your law degree.