l currently have a -ve cash balance of -50K USD and net liquidity +20k, am l correct in my understanding that IB charge 1.55% (BM + 1.5%) www.interactivebrokers.co.uk/en/index.php?f=1595 and TW charge 7.00% ,Base Rate https://tastyworks.com/commissions-and-fees/ so TW would be ~4X pricier for the negative cash balance?
Free commission brokers are between 4x and 10x as expensive in anything other than commission than IB. I thought people realized that by now.
No in the sense that US interest is not 0.05% i guess (didnt look it up). Isnt it something like 1% after the few notches down?
Anything is an exaggeration. If you pay margin interest the statement is definitely true. " I thought people realized that by now.[/QUOTE] you are joking. Most people on ET don't read a prospectus.
are the rates shown on the links for IB and TW, the rates that will be applied to a negative cash balance?
Not only pedantic and unhelpful, but also wrong. The terminology is correct, debit and negative cash balance mean the same thing. IB even uses the phrase "negative cash balance" on some of their pages. Since the question doesn't seem to have been properly answered yet: Yes, you are correct in your understanding. IB really is ~4x cheaper for interest on negative cash balances.
LOL. I thought you might be a troll but now it's obvious that you are. Thanks for clearing that up for us
check your dictionary for troll. You are sneaking up on me since I schooled you on basic futures pnl accounting. And now, please go bang on someone else's door. No interest conversing with you unless its meaningful content. Or else end up on ignore. You have been warned once.