Most of the traders that love fee-free trading have probably come across Robinhood. When you have gotten enough profit on the platform, you might want to transfer money from Robinhood to bank account.
In simple terms, Robinhood can be referred to as a commission-free crypto, stock, options, EFTs trading platform where investors get to maximize their profits via fee-free commission trading services.
Investors are able to continue investing in stocks, options and ETFs on Robinhood. You will find all these commission free services only in Robinhood.
There are a lot of stock exchange and trading apps out there, but Robinhood stands out as one of the best (along with Fidelity, TD Ameritrade, etc.) that offer these trading services for no fees. This means that trading features that are commission-free with other mobile trading apps also happen to be features that are paid on other trading apps.
As a trader, you will surely enjoy using this app due to the fact that it secures your trade and keeps your money safe. As soon as you have made enough profits from your trade, you will want to transfer money from Robinhood to your bank account for more flexibility of your funds.
Want to transfer Money from Robinhood to Bank Account? then here is the right article for you as I will show you how to go about this easily.
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What is Robinhood and How Does it Work?
Robinhood Markets,Inc is actually an American financial service company that was launched in March 2015 and has its headquarters in Menlo Park, California. It is known for pioneering fee-free trading in stocks, exchange-traded funds and cryptocurrencies via a mobile application available on Android and iOS platform and that can also be accessed through a web browser from PC.
This financial platform affords 100% commission-free stock, options, ETF and cryptocurrency trades therefore making it appealing having a high trade frequency.
With Robinhood, it is easy for new investors to get started and there are no commission costs or minimums to open an account.
However, tax-favored investment accounts like the Roth IRA, which are not provided by Robinhood, and a buy-and-hold approach to maximize compound interest, which goes against Robinhood's incentives to trade, stand to benefit younger investors the most.
What to Consider before Opening an Account with Robinhood and Similar Trading Apps
Robinhood is only one of the numerous apps that provide free trading so it has several other rivals providing similar services. Nowadays, you are able to download a variety of stock trading apps from various sources.
It is no doubt that one of the best businesses that you can run these days is buying and selling stocks.
It is necessary that you be aware of the risks associated with trading before opening an account with Robinhood or any other company.
You have to be ready for any unforeseen circumstances since stock prices sometimes increase and occasionally decrease sharply thereby making you to loose some part of your funds.
Like for example, bitcoin was first of all sold at a very low price, at around $0.0008 to $0.08 per coin in July 2010 but today, a Bitcoin is worth $20,632.90 though its price keep fluctuating.
How to Transfer/Withdraw Money from Robinhood to Bank on Android
In order to transfer your money from Robinhood to bank account on Android, you can follow the steps below:
- Click the Account icon in the lower right corner
- Select "Transfers"
- Now choose "Transfer to Your Bank"
- Select the bank you will want to transfer your money to
- Enter the amount you want to transfer to your bank
- Finally, hit "Submit".
How to Transfer/Withdraw Money from Robinhood to Bank on iOS
The process is not that different to that on Android and in order to transfer money from Robinhood account to your bank account on iOS, you can follow the steps below:
- Hit the Account icon in the lower right corner of your screen
- Now click on "Transfers"
- Then choose "Transfer to Your Bank"
- Select the bank you will want to transfer your money to
- Enter the amount you want to transfer to your bank
- Finally, click on "Submit".
How to Transfer/Withdraw Money from Robinhood to Bank on Web
In order to transfer money from Robinhood to bank account on the web app. you can follow the steps below:
- Navigate and Tap on Account tab in the top right corner of the screen
- Next click on "Transfers"
- Launch a transfer from Robinhood to your bank account using the panel on the right.
It is necessary for you to know that you can perform up to five withdrawals each business day into your account. You can also withdraw a maximum of $50,000 each business day from Robinhood.
How Long Does it Take to Transfer Money from Robinhood to Bank
Making a complete transfer of funds from Robinhood to bank account takes 3 to 5 business days to reflect in the recipient's bank account.
How to Get Started With Robinhood
In order to open an account with Robinhood, there are numerous requirements that you will have to meetup with.
Below are the criteria needed to apply:
- You must have a Social Security Number
- You Must be 18 years and above of age
- You must be a U.S citizen, have a valid U.S Visa or a U.S Permanent resident
- Must have a U.S. residential address (Active U.S. military personnel stationed abroad are exempted).
Some countries like North Korea, Cuba, Iran, Syria or Ukraine are subject to U.S sanctions so you will not be allowed to open an account if you are in one of these countries.
More to that you will not be able to access your account so as to carryout any transactions if you are already registered and traveling to these locations.
Robinhood solely conducts business through its mobile apps, which are accessible for iOS and Android. They are a key target for Robinhood because many traders utilize these mobile platforms. Deposits and withdrawals from bank accounts are even simple using the mobile app.
The best way to access your Robinhood account is through a web browser and below are the platforms accepted for trading, deposits and withdrawals to and from your bank account.
- iOS
- Android
- Web
Withdrawing Money from Robinhood to a Different Bank Account
In case you want to withdraw money to a bank account which is not the one you deposited funds from within 60 days of depositing, then more proofs will be required from you.
If the original bank account from which you made the deposit is may be closed or you cannot simply access it, then you can always contact Robinhood support for help so that they help you withdraw your money.
Below are the information that you will need to provide before being able to withdraw money from Robinhood to a different bank account:
- Amount and specific bank account you want to transfer the funds to.
- A photograph of the front and back side of your government-issued ID.
- a succinct explanation of why you are unable to or do not wish to withdraw money from the bank account that you originally deposited it into.
- Bank statements certifying that you are the holder of the two linked bank accounts. Photos or PDFs should be clear and easy to read.
Why Can't I Withdraw My Money From Robinhood?
Well, its an obligation that you wait for each sale's proceeds in your Robinhood account to settle to 3 days which is the trade date with an additional 2 days before you can transfer them. One this time has elapsed, you will be able to withdraw the proceeds from your Robinhood account.
Final Thoughts on How to Transfer Money from Robinhood to Bank
Robinhood is an excellent trading tool that offers commission-free stock exchange and cryptocurrency services including coin buying and selling.
The free trading choices offered by Robinhood, like those offered by other trading applications of a similar sort, may appear incredibly alluring, but they come with a lot of hazards, including value fluctuations and other things.
The first choice you should think about is Robinhood if you're just starting out in trading and you reside in the United States.
This article described how to transfer money from Robinhood to your bank account using the web, Android, and iOS apps.
Frequently Asked Questions
Why can't I withdraw my money from Robinhood?
You may not be able to withdraw money while your account is restricted. Robinhood sometimes restricts users' accounts. That can happen if the user has a negative balance, had a bank account transaction reversed, if the user is suspected of fraud, or for a few other reasons.
Is there a fee for transferring money from Robinhood to bank?
There is not a fee for transferring money between a bank and your brokerage account. Card replacement fees: If your card is lost, stolen, or damaged, Robinhood will mail you a new card free of charge.
Can you obtain cash from credit card?
Certain credit cards do allow you to make ATM withdrawals much like that with a debit card. You will have to provide the PIN and then enter the amount you want to withdraw.