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Debit balance |
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Debit balance The amount that is owed to a broker by a margin customer for loans the customer uses to buy securities.
Debit balance. A debit balance is what you owe. It's entered as accounts receivable on the books of the lender and appears on your account statement as a liability. For example, if you have a margin account and borrow money to buy stock, your monthly brokerage statement will show a debit balance for the amount of the margin loan. How to thank TFD for its existence? Tell a friend about us, add a link to this page, add the site to iGoogle, or visit webmaster's page for free fun content. |
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| I definitely have a debit balance in my music equity account," he says. There is no credit risk as customers can be disconnected immediately their credit or debit balance reaches zero. However, if your stock is held in a margin account that has a debit balance, you may need to put additional cash or other marketable securities in to the account in order to get the company's stock out of the loanable base. |
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