Stock brokerage accounts that are set up as margin accounts can borrow money from the stock brokerage to pay for a portion of stock investments. The amount borrowed is called a margin loan and is usually used to purchase more stock for the same amount of money invested. However, margin loan money can be used for any purpose. If you have stocks or other securities in an account you can take a margin loan against those securities. The U.S. Securities and Exchange Commission limit for margin loans is 50 percent of the value of the stocks used as collateral when the loan is initiated.
Call your stockbroker and ask for a margin loan agreement. All of the account holders must sign the agreement, then fax or mail it to the stockbroker.
Call the stock brokerage and ask how long before the margin account is approved. If you meet the minimum account value as set by the stock brokerage, approval is automatic and should take only a few days.
Call the stock broker and ask for a margin loan against your stock holdings. You can initially borrow up to 50 percent of the value of the stocks.
Tell the stock brokerage to wire the margin loan money into your bank account. You will need your bank name, address, account number and the bank routing number.
Use the margin loan proceeds for whatever purpose you desire. Remember your stock brokerage account holdings are collateral for the loan and if you sell any stock the proceeds will be used to pay down the margin loan.