Pattern Day trader status and what it means: FWIW. I called Ameritrade after getting answers from different sides when I questioned the board yesterday and here is what they said. If you are flagged as a pattern daytrader, you do NOT have to have $25,000 in your account to keep trading. The man said that it actually a good thing to be flagged as one because your "buying power" is increased if you have $25,000 or more in your account. If you dont, you just dont get the extra buying power. Thats it. I told him I was worried that once flagged, my account would be frozen until I upped my balance to $25,000. He chuckled and said, "We dont do that." Other brokers may interpet the rule differently, but that is where Ameritrade stands. Just do it, I appreciate your response, and you were indeed correct. Looking forward to finally being able to "flip" starting tomorrow.
