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Schwab offers a line of credit against the stocks/bonds/cash you have in your brokerage account. Does anyone have experience with this ? When reading about it on their website, they charge an interest rate (which varies depending on collateral) plus a 1 month LIBOR.
24 Νοε 2021 · I use Schwab pledged asset line, and love the flexibility. Margin loan rate varies based on amount in balance, but starts at 4.6% for 100k account. https://www.schwab.com/pledged-asset-line
If you google “Schwab pledged asset line” it takes you to https://www.schwab.com/pledged-asset-line. This literally has a chart of the interest rate for a given portfolio value. It also explains you have to add SOFR, which you can google the value for (changes daily).
While a pledged asset line is a line of credit, it lets you leverage collateral for that credit in a unique way. Understand more about pledged asset lines.
Learn how to leverage your investment portfolio to access funds without selling your assets with a pledged asset line (PAL). Compare PALs with other lending options and discover how Kubera can help you manage your PAL in this comprehensive guide.
4 Ιαν 2024 · Schwab Bank also offers pledged asset lines of credit—credit lines that allow you to borrow against the assets in your Schwab investment portfolio for larger, planned expenses. The...
What is a Pledged Asset Line? A Pledged Asset Line from Charles Schwab Bank, SSB ("Schwab Bank") is a non-purpose line of credit that allows you to borrow against the non-retirement assets in your portfolio— without having to liquidate your investments.