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What is a Margin Loan?
Updated over a week ago

A Margin Loan is a type of secured loan that allows you to borrow against the value of the securities you already own in your M1 Individual Brokerage Account, Joint Brokerage Account, and/or Trust Account.

Margin Loans are interest bearing loans that use your underlying securities (eg. stocks, ETFs, bonds or mutual funds) as collateral to act as a flexible line of credit when you need it.

This means that your brokerage is lending you money with the understanding that your investments can be sold to cover the Margin Loan, if necessary, and you only need to pay interest on your line of credit when you use it.

Brokerage accounts on the M1 platform are either fully disclosed to APEX Clearing or cleared through M1 Finance LLC. Please look at your account statement to determine how your account is cleared.

All investing involves risk, including the risk of losing the money you invest. Past performance does not guarantee future performance. Using margin can add to these risks. Users utilizing APEX cleared margin accounts should review the APEX margin account risk disclosure before borrowing. Users utilizing M1 cleared margin accounts should review the M1 margin account risk disclosure before borrowing. M1 Margin Loans are available on margin accounts with at least $2,000 invested per account. Not available for Retirement or Custodial accounts. Margin rates may vary.

Brokerage products and services are offered by M1 Finance LLC, Member FINRA / SIPC, and a wholly owned subsidiary of M1 Holdings, Inc.

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