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Username: Maria

Rating:
Guru Stars

Asked to: Dara Madee

Date Created: 12 Jun 2017
Category 46
Tag Financial
Question Please give the definition of 'Call Loan'.
Advice from Guru
Hi Maria,

A loan provided to a brokerage firm and used to finance margin accounts. The interest rate on a call loan is calculated daily. The resulting interest rate is referred to as the call loan rate.

Call loans use securities as collateral for the loan. It is important to note that a call loan can be canceled at any time.

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