How to Place an order for stocks?

Placing an order for stocks is simple. You need to know just two things: the name of the stock and the number of shares you want to buy.

If you are dealing with a live broker, the usual process is to place your order by phone. If you are dealing with an Internet broker, the transaction is made on your computer screen and you provide the same information that you would phone in to a broker.

Under federal regulations, the buyer must pay for stock purchases within three business days. Brokers are very concerned to see that you pay within this period because they can be penalized or disciplined if payment deadlines are not observed.
After transacting your order, your broker tells you what the total charge is and sends you a written confirmation. (You can also check the Web site for your filled order, or call your broker on the phone.) The charge includes the price of the shares, the broker’s commission, and usually some small fees. You then have three business days to get your payment to the broker. Both discount and full-service brokerages require that money be in the account within three business days. Many investors find it more convenient to have funds in a money market fund at the brokerage before a trade is placed in order to meet the three-day requirement.

Use an overnight delivery service to deliver your payment. Sometimes full-service brokers provide clients with prepaid overnight mailers to use in sending payments. These services almost always deliver checks in a timely way, and they also have the means to precisely track when and where your payment was delivered.