Current TD Ameritrade Thinkorswim (TOS) margin interest rates on brokerage trading account for loaned funds.

Whether you are already a TD Ameritrade customer or are considering becoming one, understanding margin rates and margin requirements is integral to finding success in the markets.

Thinkorswim is TD Ameritrade's flagship trading platform, and you can use any of the margin accounts available at TD Ameritrade to trade on the popular trading software.

Keep reading to learn more about thinkorswim's margin rates, margin accounts, and margin requirements.

Thinkorswim Margin Accounts, Rates, and Requirements

Thinkorswim is a powerful platform with many useful tools that come free of charge. For some, access to the popular trading platform and all that comes with it may be enough to tip the scales in TD Ameritrade's favor.

To use margin on thinkorswim, investors will need one of the many brokerage accounts offered by TD Ameritrade. You can choose between an individual brokerage account, a joint account, a custodial account, one of the IRAs, a corporate account, or any other available account options.

No matter which account you choose to use in thinkorswim, a minimum balance of $2000 is required to trade with margin.

TD Ameritrade Thinkorswim Margin Rates

Margin rates at thinkorswim start at 11% and gradually decrease as the size grows. The rates are calculated using various criteria, including a base rate, market volatility, and the account size in question. The current base rates for TD Ameritrade's margin accounts are set at 9.00%.

Debit Balance Margin Interest Rates
above $499,999 call 800-655-4777
$250,000 - $499,999 9.00%
$100,000 - $249,999 9.00%
$50,000 - $99,999 9.25%
$25,000 - $49,999 10.25%
$10,000 - $24,999 10.50%
under $10,000 11%

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Thinkorswim Margin Account Details

Whether you choose a basic individual brokerage account with thinkorswim or one of the other margin accounts on offer, many benefits come from trading on margin.

You might want to enhance your buying power to increase your trade size, sell shares short, or use the borrowed capital for reasons specific to your own goals.

Another important aspect of account margin is the ability to take part in advanced trading strategies. Creating complex options positions is one example, trading futures is another, and forex trading is another.

Besides amplifying your trading experience, margin is also helpful for money management. With a margin account, funds settle instantly when you sell securities. Without margin, trade settlement can take as many as three days.

No matter why you choose to use it, the margin interest rate is applied to your account automatically and is deducted once a month from your account balance.

Thinkorswim Margin Requirements

Margin is not always immediately available, even with an approved account for margin. The investment account must have a minimum value of $2000 for margin features to activate. The $2000 is the account's total value, so the combined value of cash and your positions.

Any time the account's value dips below the minimum allowable threshold, the broker will contact you and ''remind'' you to bring your balance back up or liquidate any positions utilizing margin.

Another thing to keep in mind when using margin at thinkorswim is that the account should always have at least 30% of its value in cash.

Activate Margin Trading

To use margin on thinkorswim, you should ensure that margin trading is enabled in your account. It isn't possible to do in thinkorswim, however.

To activate margin permissions, you can navigate to your TD Ameritrade account page's ''My Profile'' section.

Navigate to ''General'', then ''Elections & Routing'', then ''Margin Trading''. You will see that the account is either enabled or disabled. If it is disabled, click on ''Edit'' and follow the onscreen instructions.


thinkorswim Margin Rates


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Updated on 5/8/2022.

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