Day Trading Rules: PDT and the 2026 Change

For more than 20 years, the pattern day trader rule required $25,000 in a margin account. In 2026 regulators approved replacing it. Here is what changed, what did not, and why you should check with your broker.

The old pattern day trader rule

Under the long-standing FINRA rule, you were a pattern day trader if you made four or more day trades within five business days in a margin account (and those trades were more than 6% of your trades in that period). Pattern day traders had to keep at least $25,000 in equity. Drop below it and you could not day trade until you added money. Many new traders with smaller accounts ran into this limit.

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