Margin Eligibility Modernization Act
Expands which over-the-counter equity securities qualify as margin stocks and requires a later review of credit and financial risks.
In the House Financial Services Committee since Sept. 24, 2026, 11 days after it was introduced. Most bills never leave committee.
- INTRODUCEDINTROSEP 24, 2026
- COMMITTEECOMM.IN COMMITTEE
- HOUSEHOUSE—
- SENATESENATE—
- LAWLAW—
What the bill would do, and why it matters
Margin rules determine which securities can qualify in certain credit transactions. The bill would expand the definition to include over-the-counter equity securities with a ready market and require a later review of resulting credit and financial risks.
- INTRODUCED ONLY This bill has been introduced and possibly referred to a committee, but it has not passed any vote. Most introduced bills never become law — they die in committee without a hearing.
- DATA NOTE No Congressional Research Service summary was available.
- Expand eligible OTC margin stocks
The bill would require the Federal Reserve to change Regulation T so that any over-the-counter equity security with a “ready market” is included in the definition of an OTC margin stock. If the Federal Reserve misses the deadline, the definition would include those securities automatically until the rule is issued.
- Review credit and financial risks
Five years after issuing the rule, the Federal Reserve would report to the House Financial Services and Senate Banking, Housing, and Urban Affairs Committees on credit extended because of the rule and any related risks to the financial system.
The definition of an OTC margin stock affects which over-the-counter equity securities qualify under Regulation T. Expanding the definition could affect credit extended using those securities; the bill calls for a later review of that credit and any associated risks to the financial system.
Written from the bill text.
The path it took, step by step
- IntroducedSEP 24, 2026HOUSESEP 24, 2026By Rep. GarbarinoReferred to Financial Services
- SAME DAYNOWHouse committeeSEP 24, 2026FINANCIAL SERVICES NOWSEP 24, 2026In committee for 11 daysNo hearing yet
- 11 DAYS SO FARPassed the House—HOUSE FLOOR—Not scheduled
- Senate committee—SENATE—
- Passed the Senate—SENATE FLOOR—Not scheduled
- Resolve differencesONLY IF NEEDEDBOTH CHAMBERSONLY IF NEEDEDSkipped if the other chamber passes the same text
- Signed into law—PRESIDENT—10 days to sign or veto
- SEP 242026SEP 24, 2026REFERREDHOUSEReferred to the House Committee on Financial Services.
- SEP 242026SEP 24, 2026INTRODUCEDHOUSEIntroduced in House
At day 11, this bill is already older than 3% of the laws passed this Congress were when they were signed.
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