At the same time a firm's daily transactions
are making their way through clearing and settlement in the hands
of DTCC, things are happening in your account, too — more
rapidly in fact.
Stocks you own in street name and told your broker to sell are
removed from the list of your holdings, and stocks you bought
are added to the list. Written confirmations go into the mail.
It's a little more
complicated if you've sold stock you own in certificate form. Then you must deliver signed documents to the firm in
time to meet the settlement deadline.
Your cash
account is credited with the sale price minus commission,
or, if you've requested it, the firm mails you a check.
If you have
enough in your cash account to pay for your purchase, that
amount is debited. Otherwise, you'll be asked to wire
the money or send a check.
If you're buying on margin,
the margin process is set in motion.
