cash account

Cash Account

A regular broker account in which the customer is required by Regulation T to pay for securities within two days after a purchase is made.

Notes:

This is the basic, plain vanilla account where you deposit cash to buy stocks, bonds, mutual funds, etc.

See also: Cash, Margin account, Regulation T

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Cash account

A brokerage account that settles transactions on a cash-rather than credit-basis.

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cash account

A brokerage account requiring that cash payments on purchases and deliveries on sales be made promptly. (Settlement is officially five business days after the transaction date.) The cash account is the most popular type of brokerage account even though it does not permit investor borrowing (that is, buying on margin). Also called special cash account. Compare margin account.