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Trading with cash in a brokerage account is straightforward, but access to cash after selling stock may not be immediate. When you sell stock, the balance in your Cash available for withdrawal may not update the next day. The settlement date, when the buyer receives shares and the seller receives money, occurs two trading days after the transaction date. Therefore, if you sell stock on Monday, you won't receive cash until Wednesday. Understanding the two-day lag time between transaction and settlement helps distinguish between settled and unsettled trades.
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