You have over $25,000 in your account

You may have over $25,000 in your account. If you buy any non-marginable stocks, or any options contracts, their cost will be deducted from your account's Equity with Margin Value.

If those purchases bring your account's EMV below $25,000, even though there's more than $25,000 cash value to your account, two things will happen To You.

1. Your intraday margin will be back to 2:1, not 4:1.

2. If you close three positions the same day you opened them, you will not be able to open any new positions for the next 4 days, or until your account's EMV goes back over $25,000.

In this situation, you would probably scramble to sell the non-marginable stock and the options contracts, to bring you back over $25,000 EMV.

You may have $25,000 in your account, $30,000. You think that you aren't affected by the PDT rules. Think again.

 

Just convert it to margin account and do not use above 25K to buy stocls.

 

I'm talking about many people who regularly daytrade from a margin account and think they are not affected by the daytrading rules because they have over $25,000 in their accounts.