Series 24: 3.2.2.1. Cash Accounts

3.2.2.1. Cash Accounts

A cash account is a basic brokerage account often suitable for retail customers. A customer who buys securities in a cash account must deposit 100% of the cost of the securities in the account by the time the transaction settles. The regular way settlement date is T + 2 for most transactions. This means that the customer’s broker must pay for the securities by the settlement date. However, Regulation T allows the customer a grace period of two additional busine