Exchange Currency

margin interest

An interest rate applied to a loan or margin extended by a broker. When an investor wishes to make a purchase that is in excess of the cash in hand, a brokerage firm will automatically provide access to additional capital. An interest rate will be applied to this extension of a loan, which compensates the brokerage firm for access to the capital.

Related information about margin interest:
  1. Fool.com: Investment Interest and Margin Interest
    Roy Lewis sets the record straight on misconceptions and potential traps regarding investment interest and margin interest.
     
  2. How is margin interest calculated?
    Jul 18, 2007 ... Before running a calculation you must first find out what rate your broker-dealer is charging to borrow money. The broker should be able to ...
     
  3. What is margin interest? definition and meaning
    Definition of margin interest: An interest rate applied to a loan or margin extended by a broker. When an investor wishes to make a purchase that is in excess of ...
     
  4. Margin Interest Rates | Scottrade Margin Loans & Account Details
    View our competitive margin interest rates for margin loans, plus the potential benefits and risks of trading on margin. Learn about Scottrade margin accounts ...
     
  5. What is a Margin Interest Rate? | eHow.com
    What is a Margin Interest Rate?. When investing, there are occasions when the investor will wish to purchase securities that exceed the amount of cash available ...
     
  6. Interest For Margin Accounts Not Tax Deductible!
    May 6, 2009 ... There are four "hoops" to be cleared before margin interest qualifies for a tax deduction. The interest must be paid. The amount disclosed on ...
     
  7. Vanguard - Vanguard Brokerage Services - margin accounts
    Experienced investors can open a brokerage margin account for more trading flexibility.
     
  8. Margin Trading | Margin Requirement and Rates | Charles Schwab
    Margin interest rates are lower than most traditional consumer lending rates. And with Schwab's margin interest rate schedule the more you borrow, the lower ...