Ally Bank Customer Agreement

admin | 11 September 2021 | Uncategorized | | 0 Comments   

As a general guideline and if feasible, we can issue (but not the obligation to do so) a margin call if the equity in your Margin and Short account falls below a predetermined percentage of the market value of vulnerable assets (i.e. the sum of the market values of long and short equity guarantee positions) in your margin and short account. The amount of additional collateral we need is usually enough to increase your equity to minimum standards. For information on current capital requirements, please contact your broker. The applicable margin interest rate is the base interest rate for all daily adjusted bond balances. Your Margin interest rate is adjusted automatically and without notice to reflect a change in the base interest rate. If your interest rate increases for any reason other than a change in the base interest rate, we will notify you in writing at least 30 days before that change. We provide you with this document to provide you with some basic facts about buying securities on Margin and to draw your attention to the risks associated with trading securities on a Margin account. Before trading shares in a Margin account, you should carefully check the Margin agreement provided by your broker. Contact your broker with any questions or concerns you may have with your Margin accounts.

Interest charges. We charge interest every day on the loan we grant you. Daily interest charges are calculated by multiplying your “adjusted debt balance” by the “daily margin rate”. In general, your adjusted debt balance per day is the balance of your margin and short accounts, increased by the value of short securities and reduced by the amount of a credit stored in your cash account. We reserve the right to calculate interest on payment balances on the cash account. At regular intervals, we will send you a full settlement showing the activity on your account, including current interest rates, interest rates and adjusted daily balances. Please download the document below in order to obtain an important information statement about the margin and the full Margin agreement: MARGIN ACCOUNT AGREEMENT AND DISCLOSURE We reserve the absolute freedom to determine if, when and to what extent we need additional safeguards. In some situations, it may be necessary to require higher own funds on your behalf. For example, we may require additional coverage if an account contains compound interest charges. We have a daily interest rate. Interest charges are due daily on your account.

We will include the fees in the balance of the next day`s opening levy and calculate the interest accordingly. The interest rates described above do not reflect the interest rate of unpaid interest charges; the effective interest rate applicable to such an interest rate will be higher. Equity securities with a market value of less than US$3 per share may not be purchased on Margin or deposited as a Margin guarantee. If the market value of a security falls below USD 3 per share, no value is assigned to the security security of your margin commitments. If you buy securities, you can pay in full for the securities or borrow part of the purchase price from your brokerage company. If you decide to borrow money from your business, open a Margin account with the company. The securities purchased are the company`s guarantees for the loan to you. If the securities in your account lose value, the value of the collateral that supports your loan decreases, and as a result, the company can take action, for example.B. issue a margin call and/or sell securities in your account to keep the necessary equity in the account. . .