Never heard of this. He can always open with another broker. "unless he settles" means there is no legal judgement against him. Then it is not on the credit report. And even credit report is not forever.
If it were true, perhaps one should consider that "you can't get blood from a stone" Also Etrade probably makes that much profit in about 30 seconds during the trading day, so should not be too difficult to persuade of a "write off".
http://www.marketwatch.com/story/he...hed-and-now-i-owe-e-trade-10644556-2015-11-19 This story could have just as easily been me... when I first started out trading with ETrade. -- I would basically go all in like this guy , just winging/gambling it on quarterly earnings reports on which company I thought would see a big move. (those stupid amateur bonehead trading days were the worst of days,and also strangely...the best of days)
If he declares bankruptcy it is written off pretty quickly. A few years max. I just read a story about mortgage brokers getting laons for people with recent bankruptcies.
I feel bad for him. There are many risks in the financial system. Some are controllable and some are not. But I wouldn't donate because he wants to trade again and thinks stops will protect him. He needs to gain a better understanding of what went wrong.
This guy is a dumbass and a conman. He made a staggeringly imprudent "investment" and now he wants a bailout from the commoners. Can we get this guy's resume to a CDS desk at Goldman?
I was going to donate $1 so I could send a personal message to him telling him what an idiot he is, but he's no longer taking donations. Btw, KBIO has no options so you can't hedge a short with options. I'm still incredulous that Etrade allowed this. It does seem it's a scam
it is not a scam. the whole event is an outlier (for the firm) and a black swan event(for the customer) 106k will barely even register on etrades bottom line. shit happens.