When purchasing stocks in a cash account, it is important to refer to the correct financial indicators to ensure you are using the appropriate funds. Here is what you should look at:
- Available Cash: The Available Funds value represents the amount of settled cash you have available in your Cash account to make new stock purchases without using margin.
- Buying Power: Similar to your available Cash, the Buying Power indicates the total amount you can use to open new positions in your cash account.
Please Note
- The final check for cash is at a new order's Credit Check step.