How does a Good Faith Violation impact my Invest account?

You can have 3 violations within a rolling 12-month period with no consequences. However, if you incur a 4th violation within the same rolling 12-month period, your account will be subject to a 90-day restriction. During the restriction period, you will be limited to trading with settled cash, and ACH deposits will not be included in your buying power for 3 business days following the deposit.

If you trigger 5 or more Good Faith Violations in a rolling 12-month period, your account will be subject to a closing restriction that will last 90 days. During this time you will be unable to place opening trades, but you will still have the ability to hold, close, or transfer existing positions in your account.