Can I upgrade to a margin account while a free riding restriction is in effect?

A Free Riding violation in an IBKR Cash account occurs when an investor sells a security before paying for its purchase with settled funds.  A Broker can have rules that are more restrictive than required by regulators and IBKR's implementation of the Free Riding rule uses an end of day check to see if a position was closed prior to its opening trade settlement date.  …

When you open a margin account you have the ability to borrow from IBKR. You can not set a limit or a set only a specific amount of margin to use in a margin account. If the account has sufficient Available Funds then a new order would be accepted. There is a calculated margin requirement for positions in a margin type account displayed as an Initial margin and Maintenance margin requirement. In addition to contracts traded in the account any borrowed cash from Forex trading or from trading outside the account’s Base Currency can have a calculated margin requirement. There are tools available so you can monitor your account’s margin requirements and cash balances in real time or as a daily snapshot…

To trade using unsettled funds, you need to upgrade your account from a 'Cash' type to a 'Margin' type. A margin account allows you to use unsettled funds for trading purposes, providing more flexibility in your trading activities. Here is what you need to know:…

If you have an IRA Cash type account, you must wait for settlement to reuse the funds from a closing trade for a new order. An IRA Margin account does not allow traditional margin loans, but it does allow clients to use funds from closing trades to enter a new order for products with similar settlement dates. You can request a change from an IRA Cash type account to an IRA Margin type account in Client Portal.  …