So on E*Trades website it says that for margin less than $10,000 the interest rate is 9.75%.
I would like to know how much interest I would be charged if I bought a stock using $1,000 of margin, INTRADAY (So I would only hold onto the stock/borrowed money for 1 day or less).
It wouldn't just be a flat 9.75%($97.5) on the margin borrowed, correct?
I have read mixed things when trying to research this.
Is the 9.75% an ANNUAL rate?
So would it be: $97.5/365 day = $0.27 per day?
Is the 9.75% a MONTHLY rate?
So: $97.5/30 day = $3.25 per day?
Thank you in advance for any input!