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Strategies & Market Trends : The Final Frontier - Online Remote Trading -- Ignore unavailable to you. Want to Upgrade?

To: Souze who wrote (4234)	5/20/1998 9:58:00 AM
From: Andrew G.	Respond to of 12617

Souze: Thanks for your reply. My online broker will not allow me to sell on the same day a BB:OTC stock (which I purchased on that day) unless it is covered with cash that has been settled in the account from the previous business day. That is what is killing me. Now if I had enough cash to just let sit in the account all the time, I'd be OK, I guess, but I'd have to let about 50% of my account be cash at all times. Not good.

To: Souze who wrote (4234)	5/20/1998 10:25:00 AM
From: cj	Read Replies (2) \| Respond to of 12617

I was under the impression that it is up to the broker to decide when to credit your account after a sale. I realize that it takes 3 days to settle a stock sale, but some brokers, like Datek, credit your account the second your sale goes through, and they allow you to use that credit to purchase new stock immediately. In effect, they are "loaning" you the money during the 3 day settlement. But since the trade is final, they are gauranteed to get their money at settlement. I thought the 3 day settlement issue was intended more for situations when you buy stock without any cash/equity in your account, and you have 3 days to get your payment to the broker. Can anyone comment on this?