But you're borrowing a fixed amount of money that has already been effectively taken from you. My understanding of RH (I am not a user) is that you are not allowed to spend above the amount that is already incoming to your account, via ACH transfer or via sold stock that hasn't yet settled. It wouldn't make sense for RH to margin call you because at any one time, whatever money they would ask for would already be incoming to your account. There would be no point in them liquidating your position because it would clear even later than the previous trades, which already cover any margin. And you can't sell options or anything.
Therefore I don't understand what the risk to the customer is over and above a cash-only account. I guess there's a risk that your bank transfer won't go through, or your stock sale will be withdrawn or not settle? Is that likely?
