Margin vs. Cash Accounts: How Leverage and Margin Calls Work
Understand how cash accounts differ from margin accounts, including Reg T rules, leverage risks, margin call mathematics, and tax treatment of interest.
margin call
Margin and Margin Calls: How Borrowing to Buy Stocks Works
How buying on margin works: Reg T’s 50% rule, FINRA’s 25% maintenance minimum, what triggers a margin call, and why brokers can liquidate without notice.