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Charles Schwab Margin Interest Rates


2018 current Charles Schwab margin rates: interest rates, fees, charged on trading account margin loans. Charles Schwab base lending rate (BLR) Broker loan cost.



Current Charles Schwab Margin Rates


Debit Balance Margin Rate
$0 - $24,999.99 9.575%
$25,000 - $49,999.99 9.075%
$50,000 - $99,999.99 8.125%
$100,000 - $249,999.99 8.125%
$250,000 - $499,999.99 7.825%
$1,000,000+ call 877-752-9749


The margin feature on your Schwab brokerage account allows you to access your available margin cash by placing a trade or withdrawing cash. Higher balances may be eligible for lower margin trading account interest rates. Current Charles Schwab base rate is 7.75%.


Lowest Margin Rates


Broker $0 - $4,999 $5,000 - $9,999 $10,000 - $24,999 $25,000 - $49,999 $50,000 - $99,999 $100,000 - $249,999 $250,000 - $499,999 $500,000 - $999,999 above $1,000,000
M1 Finance 4.00% 4.00% 4.00% 4.00% 4.00% 4.00% 4.00% 4.00% 4.00%
ZacksTrade 5.69% 5.69% 5.69% 5.69% 5.69% 5.19% 5.19% 5.19% 5.19%
TastyWorks 8.00% 8.00% 8.00% 7.50% 7.00% 6.50% 6.00% 5.50% 5.00%


Margin Interest Calculator


Calculate how much you will pay Charles Schwab in margin interest with Margin Interest Calculator.


How Much Can You Borrow?


The amount you can borrow depends upon the type and value of securities in your account.

To begin borrowing at Schwab, you must have at least $5,000 in cash or marginable securities in your account. The amount of money you can borrow on margin toward the purchase of securities is typically limited to 50 percent of the value of marginable securities in your account. However, it is prudent to borrow less to minimize risk. Once you borrow on margin, you are required to maintain a certain amount of equity in your account, depending on the securities you hold. Typically, the equity maintenance requirement is at least 30% of the total account value, but it can be higher for certain securities or accounts. Schwab calculates your buying power and cash available for withdrawal and provides the information with your Schwab brokerage account.





Brokerage Firms Margin Rates







Charles Schwab Promotions


Promotion link: Make $100,000 deposit and get 500 commission-free online equity and options trades.

In contrast, TD Ameritrade currently has a promotion offering 60 days of free trading and up to $600 bonus, making Schwab’s promo look disappointing.


Charles Schwab Review


Charles Schwab rating



Charles Schwab offers an array of trading and educational features that many first-time investors will find useful. With the availability of extensive research tools and 24/7 customer service, traders wanting to learn the ropes will find helpful resources here.


Pricing, Fees, and Account Minimums


With the Schwab One brokerage account, investors can trade a wide selection of products, including stocks, bonds, mutual funds, ETF’s, and more. Customers who also have a Schwab bank account or an OptionsXpress account will see all accounts upon a single log-in.


Schwab Margin Rates


Schwab’s charge for trading stocks and regular ETF’s is $4.95. Placing the trade over the phone carries a surcharge of $5, and placing the trade with a living, breathing broker tacks on an extra $25.

Opening a Schwab checking account with the brokerage account waives the investment account’s $1,000 minimum opening deposit.

Schwab offers its clients access to more than 3,500 OneSource mutual funds, which carry no loads and no transaction fees. Such a range of mutual funds is ideal for customers new to the world of investing who aren’t yet ready yet for the more volatile environment of stocks and options.

Customers also have access to over 175 commission-free ETF’s, making Schwab one of the industry’s largest sources of free-to-trade funds. Such a large selection is a great opportunity for new investors who want to practice trading without being charged commissions.

Charles Schwab margin rates are high and start at 9.575% for the most customers. However, for investors with large debit loans Charles Schwab margin interest rates fall to as low as 7.825%.


Cash Management


Schwab offers an FDIC-insured bank that offers its brokerage customers a checking account, currently earning 0.10%. The account comes with free checks and a Visa debit card. New investors could use this account to learn Schwab’s web site.


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Research


The wide selection of reports is a feature that will benefit many novice investors who need help finding the right securities to trade.

Investors will also find a helpful research tool for thousands of fixed-income offerings. Such securities have a more stable principal value, which just might be a good idea for new investors who aren’t quite ready yet for the volatility of the equities market.

Schwab has a learning center where novice investors will find articles on various financial topics. Here customers can sign up for live on-line webinars or in-person seminars at a local branch. Compared to Fidelity, the amount of educational resources are a little on the low side. There is a discussion forum on the Schwab web site, although it’s not very active.


Charles Schwab Margin Rates


Current Charles Schwab Margin Interest Rates


Charles Schwab margin rates charged on account margin loans and Charles Schwab base lending rate (BLR) broker loan cost are as of 2018. For the up-to-date Charles Schwab margin interest rates visit their web-site.