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Old 11-14-07, 02:28 PM
eater eater is offline
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Join Date: Oct 2007
Posts: 3
"free ride" question

I bought some share of a stock at $10.45 on Monday. On Wednesday, I sold it at $11.50. Now I want to use the proceeds to buy more shares of that stock at $10.45 again using a limit order. But when I try to place the order, Scottrade warns that I have unsettled funds and placing the order will be considered a free ride under some Federal Regulation T. Not sure what that means. Are there any consequences to placing the order?
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