Being an online broker, Robinhood allows users to buy and sell cryptocurrencies and stocks without a trading commission. Since it offers free stock trading in addition to crypto, it has become a go-to place for investors.
But how long does it take to transfer money from Robinhood to the bank?
How Long Does It Take To Withdraw Money From Robinhood?
Ultimately, the length of time it takes to withdraw money from your Robinhood account depends more on the type of funds than the time for the transfer itself to complete.
Withdrawing Deposited Cash
A pending deposit on Robinhood can take up to five business days to complete. During this time, you will be unable to spend or withdraw these funds.
With Instant Deposits, you may have access to as much as $1,000 without the waiting period — more if you have Robinhood Gold. However, transferring the funds that exceed your Instant Deposit limit from your bank account can still take up to five business days, so it’s important to keep track of your money and know how much you really have.
Withdrawing Referral Stock
Robinhood offers rewards in stock for referring people to the platform, but you aren’t able to access funds from selling them for 30 days. If you sell the stock before those 30 days are up, the money must remain in your account until the 31st day, when all restrictions are lifted.
Settling the Funds
When you make a sale from your Robinhood account, it takes a while for the funds to settle before you can send them to your bank account. The average time for this stage of the process is two trading days.
Therefore, the funds from a Robinhood transaction are available for you to withdraw on the third day following a trade.
Robinhood allows you to make up to five withdrawals to a bank account per day, so long as they total $50,000 or less.
Withdrawing Funds to a Different Bank Account
If you want to withdraw funds to a different bank account than you deposited from within 60 days of the initial deposit, you need to contact the support team. In case you cannot access your original bank account or have closed it, you may need to share the following things with the support team:
- A description of why you want to withdraw funds to a new bank account rather than the one you deposited the funds from
- A front and back photo of your ID card
- Bank statements to prove that you hold both accounts
- The bank account you want to transfer the funds to
- The amount you want to transfer
Can You Cancel a Withdrawal?
You can cancel a withdrawal made within a certain window by its established cutoff time.
- A transfer initiated between 3 p.m. and 7 p.m. ET can be canceled up to 7 p.m. ET.
- A transfer initiated after 7 p.m. ET can be canceled up to 3 p.m. ET the next trading day.
- If you initiate a transfer during the weekend or on a bank holiday, you can cancel it up to 3 p.m. ET the next business day.
Canceling the withdrawal is pretty simple — you can do it using the Robinhood mobile app.
How To Cancel a Withdrawal
Doing so will cancel the withdrawal, provided you have initiated the cancellation within the appropriate window. However, the wise thing would be to make a considered decision about every withdrawal so that you are not racing against time to cancel it.
Whether you want to transfer the money to your original account or a new bank account, Robinhood has provisions for both and handy cancellation options.
Amber Barkley contributed to the reporting for this article.
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