For example,TD Ameritradedoesn’t allow you to short sell until you have $2,000 in your trading account. Drawbacks of a Margin Account The primary disadvantage of a margin account is that they’re subject to the pattern day trader (PDT) rule, which states that those with less than $25,...
pay down margin loans, or be deposited into a brokerage account, while the margin loan doesn’t have such restrictions. In that sense, a loan from Fidelity or Interactive Brokers is more flexible than a loan from