The SEC set lending limits on margin accounts.

As part of a package of customer-protection rules that take effect April 1, the Securities and Exchange Commission ruled that loans by a brokerage firm to a margin customer cannot exceed 25% of the firm’s net capital. To exceed the limit, the firm would have to either obtain an exemption from the New York Stock Exchange or the National Assn. of Securities Dealers or borrow money to cover customer loans, SEC officials said. The agency also approved a rule designed to prevent the lending of customer funds to close relatives of brokerage firm principals.