Frequently Asked Questions (FAQ)

  • New Accounts
  • Customer Service
  • Trading
How long does it take to open an account?
Upon receipt of completed paperwork, accounts are typically opened within 24-48 hours.
Is there a minimum to open an account?
There is no minimum to open a domestic account. A minimum of $5,000 equity in any combination of U.S. Dollars and/or U.S. exchanged traded securities is required for international accounts.
Where do I mail my account application?
Mail completed and signed account paperwork to:

Regal Discount Securities
Attn: New Accounts
950 Milwaukee Ave., Ste. 102
Glenview, IL 60025
How do I fund my account?
Accounts may be funded by check, ACH, wire transfer, stock certificate or account transfer. Money orders, third party checks, credit card checks, home equity line checks and starter checks are not accepted. Some checks may require a 3 business day hold. Cashier's Checks must have the remitter's name electronically printed directly on the check by the issuing bank. Wired funds are usually available upon our receipt of the funds. See How to Fund Your Account for more details.
Do you open international accounts?
Yes. The United States Department of the Treasury’s Office of Foreign Assets Control (“OFAC”) administers and enforces economic and trade sanctions based on US foreign policy and national security goals. To ensure compliance with all Federal legislation and Anti-Money Laundering (“AML”) regulations, Regal Discount Securities will not open any new accounts for customers that are a national, a citizen of or are residing in certain jurisdictions: See International Accounts for more information.
Are there additional margin or spread trading account requirements for international accounts?
International Margin and Spread Trading accounts require an additional security deposit of $5,000.00 that will be held in your account separately from the funds you will be using for trading and will not count towards your buying power or equity figures. The funds will be reflected in your monthly statements. Margin is required in order to be approved for spread trading. For International accounts that wish to trade uncovered puts, the security deposit will be an additional $10,000.00.
How do I transfer an account to Regal Discount Securities?
When completing your account paperwork, include the Account Transfer Form and a copy of your most recent statement for the account you wish to transfer.
How long does it take to complete an account transfer?
A full automated customer account transfer (ACAT), will typically take 5 to 7 business days. A non-ACAT (partial transfer) or manual transfer may take up to 3 weeks to complete.
What types of IRA's do you offer?
U.S. clients may choose from Traditional, Rollover, Roth, Coverdell, SEP, Simple, Individual 401(k), and Profit Sharing Plans.
Can I trade options in my IRA?
Yes. We allow prudent trading of options in IRA's based on an investor's individual suitability. Option trading in IRA's includes call buying, put buying and covered calls. Short puts and naked call transactions are not permitted in IRA's. We reserve the right to determine what trading is suitable for an IRA.
What type of money market accounts do you offer?
We have several money market options available. See Money Market Funds for a list of available funds and prospectuses.
Do you offer check writing and debit cards?
Yes. We offer free check writing services through our Access Account. Our SpectrumConnect Account offers check writing and the Visa® check card; annual fees apply. See Cash Management for more information.
Is there a minimum balance requirement for check writing and debit cards?
Yes. You must have at least an initial balance of $5,000 in cash and/or securities.
What type of account protection do you offer?
See Account Protection for details.
What is a Non-Professional Subscriber?
The phrase “Non-Professional Subscriber” means any natural person who is neither: (a) registered or qualified in any capacity with the SEC, the Commodities Futures Trading Commission, any state securities agency, any securities exchange or association, or any commodities or futures contract market or association; (b) engaged as an “investment advisor” as that term is defined in Section 201 (11) of the Investment Advisors Act of 1940 (whether or not registered or qualified under that Act; nor, (c) employed by a bank or other organization exempt from registration under federal or state securities laws to perform functions that would require registration or qualification if such functions were performed for an organization not so exempt. The phrase “Professional Subscriber” means all other persons who do not meet the definition of Non-Professional Subscriber.
How do I contact Customer Service?
You may call 1-800-927-3425 or email service@eregal.com. (Mon. - Fri. 8:00 a.m. - 8:00 p.m. EST)
What are your Customer Service hours?
Mon. - Fri. 8:00 a.m. - 8:00 p.m. EST
Where do I mail checks for deposit?
Regal Discount Securities
Attn: Customer Service
950 Milwaukee Ave., Ste. 102
Glenview, IL 60025

Money orders, third party checks, credit card checks, home equity line checks and starter checks are not accepted.

Include an IRA Deposit Slip when making deposits into an IRA account. 
To whom do I make checks payable?
Please make all checks payable to our clearing firm, First Southwest Company. Include your account number in the memo line of the check. Important Note: Cashier's Checks must have the remitter's name electronically printed directly on the check by the issuing bank. Money orders, third party checks, credit card checks, home equity line checks and starter checks are not accepted.
How do I deposit a stock certificate?
1. On the back of the stock certificate, enter First Southwest Company. as the attorney to transfer the stock.

2. Each person registered on the stock certificate must sign the back exactly as printed on the front, including initials, suffix, etc.

3. Date the certificate.

4. In pencil, write your account number on the front of the certificate in the upper right hand corner.

Please mail the certificate(s) to:
Regal Discount Securities
Attn: Customer Service
950 Milwaukee Ave., Ste. 102
Glenview, IL 60025

If you prefer, you may submit an Irrevocable Stock Power Form in place of completing the above information on the actual stock certificate. Please note you must still mail the stock certificate to Regal Discount Securities for processing.

Important Note: Regal Discount Securities does not accept for deposit or process restricted stock.

See Account Funding Options for more information.
How do I wire funds into my account?
Domestic

The Bank of New York, 1 Wall Street, New York, NY 10012
ABA# 021000018
Account Name: First Southwest Company
ACCOUNT# 8900271779
FFC# Your name/account number or reference number

International

The Bank of New York, 1 Wall Street, New York, NY 10012
SWIFT CODE# IRVTUS3N
Account Name: First Southwest Company
AC# 8900271779
FFC# Your name/account number or reference information

See Account Funding Options for more information.
How do I wire transfer funds out of my account?
Complete either the Domestic Wire Request or the International Wire Request form.

Mail your request to:
Regal Discount Securities
Attn: Customer Service
950 Milwaukee Ave., Ste. 102
Glenview, IL 60025

Alternatively, you may fax the request form to 1-877-367-8466.

If the wire request is for $50,000 or more, it must be notarized. Wires must be sent to same-titled accounts. No third party wires may be processed.

See Account Funding Options for more information.
Do you process restricted stock?
No. We will not accept deposit or process restricted stock under any circumstances. If we receive restricted stock, it will be returned to the sender.
What are your margin requirements?
Margin maintenance ranges from 30%-100% depending on the particular stocks in the account. See our Margin Rates for more information.

See Margin Requirements for more information.
Is there a concentrated account margin requirement?
Margin accounts with any concentrated single position comprising more than 50% of the account value will be charged 40% on the entire account.

See Margin Requirements for more information.
What is a pattern day trader?
"Pattern Day Traders" are defined as those customers who day trade (buy and sell the same position within the same trading day) four or more times in five business days.

See Day Trading Margin Rules and Day Trading Risk Disclosure for more information.
Do you have a telephone number for international customers?
Customers outside North America can reach us at 1-847-375-6080. See Contact Us for information.
Do you offer extended hours trading?
Yes. You may place an extended hours trade with a broker. Extended hours trading is available from 8:00 a.m. to 6:00 p.m. EST.

See Extended Hours Trading for more information.
What types of option trading do you offer?
• Buy-writes
• Spreads
• Combos
• Straddles/Strangles
• Butterflies/Condors
• Iron Butterflies/Iron Condors
• Rollouts

Please note that you may not be approved for all of the strategies listed above. Option rates apply to each side of spread orders. Option strategies involve multiple purchases; therefore your transaction costs may be significant for option strategy trades.
What is the requirement for writing uncovered options?
See Margin Guidelines for more information.
What are the minimum equity requirements for trading options?
See Margin Guidelines for more information.
What are the maintenance requirements for spread orders?
See Margin Requirements for more information.
What types of stop orders are available through Regal Discount Securities?
Regal offers Stop Market Orders and Stop Limit Orders. See Stop Orders for more information. We currently do not offer trailing stop orders.
Do you offer trailing stop orders?
Yes. If you need assistance placing trailing stop orders please call our trade desk at 1-800-927-3425. We currently do not offer trailing stop orders for options.
Are there risks to spreads that pay a dividend on the underlying stock?

Please be aware of the risk associated with call spreads and dividend payment. Only owners of the underlying stock are entitled to receive the dividend. Long call holders do not have the right to receive the dividend unless the call option is exercised and shares are in the account prior to the Ex-Dividend date. Customers that are short stock coming into Ex-Dividend date due to an assignment must pay the dividend. Below is an example where you can lose more money than what was originally calculated.

You have a 100 XYZ bear call spread 128 – 129. The maximum risk (outside of exercise or assignment) is the difference between the strikes which in this example is 1. But if you were assigned and short stock coming into the Ex-Dividend date you have to pay the dividend. If you are short 10000 shares and the dividend rate is $0.56 per share the risk is now $1 plus $0.56. In unfavorable market condition moving against your strategy can lead to an unsecured debit.

Assignments can occur on any day prior to expiration and accounts are selected randomly. You, as the seller of the call option, are obligated to sell stock at the strike price. Calls that have time premium (not to be confused with premium or market price) that is greater than the dividend rate generally will not be assigned. However, there is no guarantee that the assignment will not occur regardless of the time premium or whether the option is in or out of the money. It is the right of the long call holder to exercise and the obligation of the short call holder to accept. There is no guarantee that you will be assigned either. This is the unknown until the assignment actually occurs.

Due to this risk of leaving an unsecured debit we may ask customers to close out of their spread prior to the Ex-Dividend date if you have a short call that is in the money, time premium is less than the dividend and you do not have the funds to pay the dividend in case of an assignment.

What is the firm's options expiration policy?
Expiring long and short option positions may be closed as early as 2:00 PM EST on the last trading day prior to expiration if you do not have the funds or buying power to buy or short the underlying security. We will allow customers to take action on their position until 3:30 PM EST but you must contact us with your intentions. Please note that you may still get assigned even if a short option is out of the money. Therefore, if there is risk to the account, short options may be closed out even if it is out of the money. The firm may close out your positions without prior notice. We may also elect not to exercise or close the resulting stock position in the aftermarket hours on Friday or pre-market hours on Monday.
May I place a market order for pink sheet or bulletin board stocks?
No, customers may place limit orders only for pink sheet and bulletin board stocks; market orders will not be accepted.
Do you accept deposits of equity securities traded on the Pink Sheets or OTC Bulletin Board markets?
Regal Discount Securities does not accept deposits of equity securities traded on the Pink Sheets or OTC Bulletin Board markets priced below $1.00, including but not limited to, utilizing the following methods:

1. Any form of physical certificate deposit through the Apex SPS application (Securities Processing System), the Transit System (TNST), and via mail.
2. DWAC (Deposit/Withdrawal at Custodian)
3. DRS (Direct Registration Services)
4. ACAT Transfer of Restricted Stock, except certain low-priced securities without any restrictive legend via ACAT.

Regal Discount Securities reserves the right to reject any account that has a concentration of low priced securities (penny stocks).
What are the additional restrictions associated with illiquid securities?
Due to the increase in costs associated with clearing illiquid securities, beginning October 1, 2011, all orders in OTCBB and Pink Sheet securities where the order quantity is greater than 10% of the 20-day average daily volume of that security will be rejected. You will be notified with a message stating: “Rejected: Order violates PFSI illiquid security policy.”
How do I place a bond trade?
Bond trades must be placed with our bond desk, call 1-888-897-8133.