Margin lending is a great way for you to increase the size and diversity of your portfolio.
Direct margin lending rate
Administered by Bell Potter
Direct margin lending
With this Bell Direct integrated solution, you can place orders, settle your trades and earn a decent daily interest rate on your cash.
- A flexible loan facility
- Your cash and your geared shares consolidated into one trading account
- A fully automated solution, so stock holdings immediately reflect executed trades
- All trades administered by Bell Potter Capital using straight through processing, just like your regular Bell Direct share trading account
- Free conditional orders
- An extensive approved security list
How the direct margin loan works
- Loan to Valuation Ratio (LVR) and margin loan rates are benchmarked to best in market
- Earn a competitive interest rate on your cash (when your account has a positive balance). Alternatively, when your margin loan is drawn down you’ll pay the variable margin loan interest rate of 7.30% pa.
- Orders validated online as they are placed
- See real time data for your LVR every time you view a stock or on the order pad along with:
• Approved security list (updated daily)
• Credit limit
• Loan balance Surplus (funds available for shares purchased or funds withdrawn)
• Portfolio holding balance - under Borrower facility - to include profit/loss by stock as well as cost price
- Set email and SMS alerts to let you know if your loan is in the buffer (i.e. when the margin ratio is 100% or more)
- Pre-pay your interest
- Trade on the go from your margin loan account using the Bell Direct website or your Smartphone (iPhone and Android)
|Minimum initial loan||None for variable, $25,000 for fixed|
|Minimal loan balance||None for variable, $25,000 for fixed|
|Minimum loan drawdown or repayment||None for variable (does not apply to fixed)|
|Minimum call buffer||10% of the geared value of the shares|
|Minimum loan balance||None for variable, $25,000 for fixed|
How to apply for a direct margin loan
For new clients, to apply for your margin lending account, all you have to do is set up a new trading account for your margin loan.
If you are already a Bell Direct client, please set up an additional account for margin lending here. As part of the application process you will need to complete a credit limit request form. You'll be asked about your income, expenses, assets and any debts you may currently have. You will also need to provide proof of income (e.g. your last two payslips or most recent tax return).