Margin trading mistake, possible buyout?

Investing
#1

I recently opened a regular cash brokerage account with money I had leftover after 401k and roth contributions. I deposited 8000 and bought up ITOT, IXUS, and SCHZ and the portfolio percentages I planned.

The problem I encountered was I had a few open buys that all filled and I ended up buying $800 worth on the margin. I’ve since read more about it, and don’t like the added risk. I’ve been hit with interest payment already and don’t like that either.

I’m mostly asking is there a way to just pay back the margin? Whether depositing ~800 or selling a few shares?

Any input is appreciated!!

Thank you!

#2

I’m not super familiar with trading on margin but I’d def recommend not doing so again. Anything other than buying and holding index funds is likely not going to end well or it won’t be worth the headache—as you’ve already learned. I had a friend a few months ago lose $10k trading on margin and he had to get a high interest loan just to pay it off.

1 Like