The state of a settlement when all payment obligations for a security have been completed in a customer account. When an individual has paid up, he or she has paid for the security in full.


For example, when an investor buys stock, he/she is given three days to pay (known as the three-day settlement period). If the investor does not pay the balance owing for the purchase by day three, the brokerage has the right to liquidate the holdings until the balance is paid-up, or paid in full. This also applies to margin accounts with outstanding margin calls and interest charges that need to be paid-up before a broker will allow a client to resume trading in the account.

  1. Paid In Capital

    The amount of capital "paid in" by investors during common or ...
  2. Paid-Up Capital

    The amount of a company's capital that has been funded by shareholders. ...
  3. Margin Call

    A broker's demand on an investor using margin to deposit additional ...
  4. Margin Account

    A brokerage account in which the broker lends the customer cash ...
  5. Settlement Date

    1. The date by which an executed security trade must be settled. ...
  6. Broker

    1. An individual or firm that charges a fee or commission for ...
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