Margin Interest Rate Disclosure

Interest charged on any debit balances in cash accounts or credit extended in margin accounts will be charged interest at an annual rate (“Schedule Rate”) based on the following factors: (1) the LPL Base Lending Rate; and (2) a tiered schedule of premiums or discounts based on a combination of (A) your account or group assets under management, and (B) your account or group margin balance. Your Schedule Rate will reflect changes in margin balance and/or assets under management one to two business days after any changes in your account group, assets under management, and/or margin balance. The LPL Base Lending Rate will be set with reference to commercially recognized interest rates, industry conditions relating to the extension of credit, and general market conditions. Your Schedule Rate will change without notice based on changes in the LPL Base Lending Rate and/or your assets under management and/or margin balance. When your Schedule Rate changes during an Interest Period due to a change in: the LPL Base Lending Rate, your assets under management, and/or your margin balance; interest will be calculated according to the number of days each Schedule Rate is in effect during that period.

Please contact your financial professional about adding or deleting accounts to your group for purposes of calculating your margin balance or assets under management.   Eligible groups for calculating margin balance and assets under management may include households and/or sweep groups.
 

New Schedule Rates Effective July 1, 2020

LPL Base Lending Rate (“BLR”):  7.25% as of July 1, 2020

 


Account/Group Assets Under Management (AUM)

Account/Group Margin Balance

$0 < $250K

$250 < $500K

$500K < $1M

$1M < $5M

> $5M

$0 < $25K

9.00%

[BLR + 1.75%]

8.50%

[BLR + 1.25%]

7.25%

[BLR + 0.00%]

6.75%

[BLR – 0.50%]

6.25%

[BLR – 1.00%]

$25K < $50K

8.75%

[BLR + 1.50%]

8.25%

[BLR + 1.00%]

7.00%

[BLR – 0.25%]

6.50%

[BLR – .75%]

6.00%

[BLR – 1.25%]

$50K < $100K

7.75%

[BLR + 0.50%]

7.50%

[BLR + 0.25%]

6.75%

[BLR – 0.50%]

6.25%

[BLR – 1.00%]

5.75%

[BLR – 1.50%]

$100K < $250K

7.50%

[BLR + 0.25%]

7.25%

[BLR + 0.0%]

6.50%

[BLR – 0.75%]

6.00%

[BLR – 1.25%]

5.50%

[BLR – 1.75%]

$250K < $500K

7.00%

[BLR – 0.25%]

7.00%

[BLR – 0.25%]

6.25%

[BLR – 1.00%]

5.75%

[BLR – 1.50%]

5.25%

[BLR – 2.00%]

$500K < $1M

6.00%

[BLR – 1.25%]

6.00%

[BLR – 1.25%]

6.00%

[BLR + 1.25%]

5.50%

[BLR + 1.75%]

4.75%

[BLR – 2.50%]

>$1M

5.25%

[BLR – 2.00%]

5.25%

[BLR – 2.00%]

5.25%

[BLR – 2.00%]

5.25%

[BLR – 2.00%]

4.50%

[BLR – 2.75%]

Rates Effective Prior to July 1, 2020

Debit Balance

Interest Rate

$0 - $9,999

10.00%

$10,000 - $24,999

10.00%

$25,000 - $29,999

9.50%

$30,000 - $49,999

9.50%

$50,000 - $74,999

8.50%

$75,000 - $99,999

8.50%

$100,000 - $249,999

8.375%

$250,000 - $499,999

8.25%

$500,000 - $999,999

8.00%

$1,000,000 and over

7.75%