Withdrawing money from Robinhood is straightforward, whether you're using a mobile device or desktop. The platform allows you to easily transfer funds from your brokerage account to your bank or debit card. But as with any financial transaction, it's essential to know the ins and outs, including timelines, fees and potential issues. This guide will walk you through the steps to withdraw your cash smoothly, whether on your phone or desktop.
How Do Withdrawals Work with Robinhood?
Robinhood offers two primary methods of withdrawing funds: debit card and bank transfer. Bank transfers are fee-free, but instant withdrawals to a debit card or bank account incur a 1.75% fee.
You can withdraw funds directly through the Robinhood app on your phone or via the desktop platform and both methods follow a similar process. Accessing your hard-earned cash is simple, whether on the go or at your desk.
How to Withdraw from Robinhood on Your Phone
Withdrawing money through the Robinhood app is quick and easy. Follow these steps:
- Open the Robinhood app and log into your account.
- Tap on the Account (person icon) in the bottom right corner.
- Select Transfers from the menu.
- Tap Transfer Money.
- Choose the Robinhood account you wish to withdraw from.
- Select your linked bank account or debit card. If your account qualifies, an "Instant transfers eligible" label will appear next.
- Enter the amount you want to transfer.
- Review the withdrawal details, including any fees for instant withdrawals.
- Tap Transfer to complete the withdrawal.
How to Withdraw from Robinhood on Desktop
If you prefer to withdraw funds from Robinhood on a computer, follow these steps:
- Log into your Robinhood account on a web browser.
- Click on your Account icon in the top right corner.
- From the drop-down menu, select Transfers.
- Click Transfer Money.
- Choose the account you'd like to withdraw from and select your linked bank account or debit card.
- Enter the amount you want to withdraw.
- Review the transfer details to ensure everything is correct, including any fees for instant transfers.
- Click Submit to finalize the transaction.
How Long Do Robinhood Withdrawals Take?
Standard bank transfers typically take 3-5 business days for the funds to appear in your account. If you opt for an instant withdrawal to a debit card, the funds should arrive within minutes, though you’ll be charged a 1.75% fee for the convenience.
What Happens if You Can’t Withdraw Money From Robinhood After Selling?
Funds Under Review
When you sell stocks or cryptocurrencies through Robinhood, the proceeds from those transactions may not be instantly available for withdrawal. The platform requires time to process the sale, which can take several days. During this review period, your funds will remain in a "pending" state and cannot be withdrawn until processing is finalized, typically reflected in your account balance after the standard settlement duration.
Regulatory Guidelines
If you sell securities before the settlement period concludes (generally T+2, signifying two business days post-transaction), you may encounter withdrawal restrictions. Robinhood must comply with FINRA and SEC regulations, which mandate the proper settlement of transactions before funds are accessible. This adherence ensures that the trading process aligns with financial rules.
Account Limitations
In particular circumstances, your Robinhood account might face holds or restrictions due to security verifications, account verification requirements, or potential breaches of trading policies (such as pattern day trading). When restrictions are in place, the platform may temporarily halt withdrawals until these issues are resolved, whether related to identity verification or other compliance concerns.
Margin Trading Implications
If you've engaged in margin trading, the funds generated from your sale could be allocated within the margin account, restricting immediate withdrawals. In cases where margin balances are outstanding, the proceeds may remain inaccessible until those obligations are settled. This scenario can lead to a temporary lack of available cash from your sale until the margin account is cleared.
Technical Difficulties
Users may occasionally experience technical issues or glitches within the Robinhood app or website, which can impede the withdrawal process. If the systems are down or undergoing maintenance, you may be unable to access your funds or submit a withdrawal request. In these instances, it's wise to check for any service status notifications from Robinhood and contact customer support if the issue continues.
How to Close Your Robinhood Account
The process is simple if you’ve decided to close your Robinhood account. Here’s how to do it:
- Open the Robinhood app or log in on the desktop.
- Go to Account (person icon) in the app or click Account on the desktop.
- Select Settings from the menu.
- Scroll down to the Account Information section and select Close Account.
- Follow the prompts to finalize the closure.
Alternatives to Robinhood
Are you looking for a platform that better suits your needs? If Robinhood doesn’t fit the bill, here are some excellent alternatives to consider.
Best for Social Investing: Public.com
If you want to learn from the crowd and invest like your peers, Public.com over Robinhood is the go-to platform for social investing. Its unique community-based features allow you to follow other investors, see their portfolios and discuss their trades. This transparency makes it especially appealing for beginners who want to see what seasoned investors are doing in real time.
Why We Picked It: Public.com takes the mystery out of investing by offering a transparent look into how others build their portfolios. It’s an ideal platform for those who prefer learning through social engagement and who value the opportunity to follow and emulate successful investors.
Best for Active Traders: Webull
Webull is a powerhouse for more experienced traders looking for advanced tools. Webull vs Robinhood provides commission-free trading and sophisticated tools like advanced charting, technical indicators and real-time market data. It’s designed for active traders who need comprehensive tools to make quick, informed decisions.
Why We Picked It: Webull’s impressive lineup of trading tools makes it perfect for day traders and those who thrive on detailed technical analysis. With features catering to beginner and experienced traders, Webull is a well-rounded platform supporting multiple trading strategies.
Best for International Trading: Interactive Brokers
- Best For:Active and Global TradersVIEW PROS & CONS:Securely through Interactive Brokers’ website
Interactive Brokers is hard to beat if global market access is a priority. It offers low fees and a vast selection of international markets, allowing users to easily trade across borders. This platform is ideal for investors looking to diversify their portfolios beyond U.S. stocks and ETFs.
Why We Picked It: Interactive Brokers stands out for its low costs and access to over 135 global markets. Whether you want to trade stocks, bonds or futures worldwide, this platform offers the tools and market access that international traders need to succeed.
Best for Comprehensive Tools: moomoo
For investors who want deep insight into market trends and performance, moomoo offers a wealth of real-time data, including in-depth stock analysis and zero-commission trades. It’s a robust platform that caters to investors who want access to information typically reserved for professional traders.
Why We Picked It: Moomoo combines zero-commission trading with a powerful suite of tools, including real-time data, advanced charting and AI-driven market insights. This makes it a great option for serious investors who need comprehensive information to make informed decisions.
Best for Low-Cost Trading: TradeStation
TradeStation offers a low-cost professional-grade trading experience, making it a strong choice for frequent traders. It features customizable trading platforms, access to a wide range of markets and some of the most competitive commission rates in the industry.
Why We Picked It: TradeStation’s low fees and powerful trading tools make it an excellent choice for frequent traders looking for a high-performance platform. With flexible pricing models and robust features, TradeStation caters to those who need a serious platform without breaking the bank.
Your Path to Smooth Withdrawals
Robinhood aims to simplify the trading experience, making it both accessible and intuitive for investors at all levels, from beginners to seasoned professionals. A key feature of the platform is its smooth withdrawal process, enabling users to effortlessly access their funds. After executing a successful trade or generating profits, users can transfer money to their linked bank account with just a few taps. The user interface is designed for clarity, guiding investors through each withdrawal step while transparently communicating any applicable fees or processing times. Typically, users can anticipate prompt processing of their withdrawals, often within just a few business days, allowing them to manage their finances with minimal delays.
Moreover, Robinhood places a strong emphasis on customer support, ensuring users can effortlessly navigate the withdrawal process. If any questions or issues come up, the support team is accessible through multiple channels, including in-app chat and email. This dedication to assistance not only improves the user experience but also fosters trust within the investor community. With comprehensive security protocols implemented, users can rest assured that their withdrawals are safeguarded, enabling them to concentrate on investing and expanding their portfolios without the burden of managing their funds.
Frequently Asked Questions
How long until Robinhood cash is withdrawable?
Funds deposited into Robinhood through ACH transfers generally require 5 business days before they become available for withdrawal. However, users can take advantage of instant deposits to start trading right away; these funds will only be eligible for withdrawal once the usual waiting period has passed.
Why can't I withdraw my buying power from Robinhood?
Your ability to withdraw buying power from Robinhood might be restricted due to unsettled trades or your use of margin, which necessitates maintaining a specific equity level. Furthermore, pending transactions or any issues with account verification could also hinder access to your funds.
Can you use Robinhood as your bank?
Robinhood functions mainly as a brokerage platform for trading stocks and cryptocurrencies rather than as a traditional bank, meaning it doesn’t provide essential banking services such as savings accounts or loans. Nonetheless, it does feature a cash management tool that enables users to earn interest on idle cash, thereby resembling certain banking functions.