- Margin Account (Stocks)
- An account with leverage wherein stocks can be bought with a combination of a loan plus cash. The portion of loan is backed by stock as collateral in the margin account. When stock value drops below set levels, the account owner is asked to add funds to the account or sell a share of the stock. These rules follow federal regulations but brokers and dealers may have different interest rates and margin requirements.
Margin Account (Stocks)
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