E*TRADE closes accounts through their customer service team, not through your online account settings

You cannot close an E*TRADE account by yourself through the website or mobile app. You must contact E*TRADE directly by phone, mail, or through a message in your account to request closure. The process takes a few business days, and E*TRADE will ask you to confirm that you want to close all associated accounts — brokerage, cash management, or retirement accounts are handled separately, though they can all be closed in one request.

Before you call, make sure your account has a zero balance. If you hold stocks, bonds, mutual funds, or cash, you must sell or transfer those positions out first. E*TRADE will not close an account with money or securities still in it. If you have pending transactions, those must settle before closure can happen.

Key Takeaways

  • Contact E*TRADE by phone at 1-800-387-2331, by mail to their address on your account statements, or through secure messaging in your account to request closure.
  • Your account must have a zero balance — sell all holdings and withdraw all cash before you request closure.
  • If you have a margin account, you must pay off any borrowed funds before closure.
  • Retirement accounts (IRAs, Roth IRAs, SEP-IRAs) follow different closure rules and may have tax consequences if you withdraw funds early.
  • Keep confirmation of your closure request in case billing issues or account activity appears after you close.

Steps to close your account

Step 1: Liquidate all holdings. Log into your E*TRADE account and sell every stock, bond, mutual fund, or other security you own. Wait for the trades to settle — this usually takes two business days. If you have a cash management account linked to E*TRADE, transfer that money out as well.

Step 2: Pay off any margin debt. If you borrowed money through a margin account, you must repay the full balance before closure. The amount owed will appear in your account summary. Transfer funds in to cover it, or sell additional holdings if needed.

Step 3: Contact E*TRADE. Call 1-800-387-2331 during business hours (Monday through Friday, 8 a.m. to 10 p.m. ET). Have your account number ready. Tell the representative you want to close your account. They will confirm your identity and ask which accounts you want closed — you may have a brokerage account, a retirement account, or both.

Step 4: Confirm the closure request in writing. E*TRADE may send you a confirmation email or letter. Read it carefully to make sure all the accounts you wanted closed are listed. Reply to confirm, or ignore it if you are certain about your choice. Some closures are final once confirmed.

Step 5: Wait for confirmation. E*TRADE will send you a final confirmation once the account is closed, usually within three to five business days. Keep this email or letter for your records.

What happens to retirement accounts during closure

Closing an IRA, Roth IRA, or SEP-IRA at E*TRADE is different from closing a regular brokerage account. You can close the account itself, but you must decide what to do with the money inside. You can transfer the balance to another IRA provider, take a distribution (which may trigger taxes and penalties if you are under 59½), or leave the money where it is if E*TRADE allows dormant accounts.

If you take a distribution from a traditional IRA or SEP-IRA before age 59½, you will owe income tax on the full amount plus a 10 percent early withdrawal penalty, unless an exception applies. Roth IRA distributions follow different rules. Talk to a tax professional before you close a retirement account, because the tax bill can be substantial.

If you have pending transactions or uncleared trades

E*TRADE will not close your account while trades are settling or while money is in transit. If you initiated a transfer out of your account, wait for it to complete before you request closure. If you placed an order that has not filled yet, cancel it first.

If you have a pending dividend payment or interest credit, wait for it to post to your account, then withdraw it. Some accounts have automatic reinvestment turned on — turn that off before you liquidate, so dividends do not buy new shares after you thought you were done selling.

Closing a joint account

If your E*TRADE account is held jointly with another person, both account holders must request closure together or one must have power of attorney. E*TRADE will not close a joint account based on one person's request alone. Contact E*TRADE and ask what documentation they need — usually a signed letter from both owners, or a copy of the power of attorney document.

If you and the other account holder disagree about closing, you may need to contact E*TRADE in writing with both signatures to clarify your intent. E*TRADE takes joint account closures seriously because they involve two people's money and legal rights.

What to do if you cannot reach E*TRADE by phone

If you are unable to call during business hours, you can send a written request by mail. Address it to the E*TRADE office listed on your most recent statement. Include your account number, your full name, and a clear statement that you want to close your account. Sign and date the letter, and keep a copy for yourself.

You can also send a secure message through your E*TRADE account. Log in, go to the Messages section, and compose a message to E*TRADE Customer Service requesting account closure. Include your account number and confirm that your balance is zero. E*TRADE typically responds to secure messages within one business day.

After your account closes

Once your account is closed, you will no longer be able to log in. E*TRADE will stop sending statements, but you should keep your final statement for tax records. If you received a 1099 form from E*TRADE in previous years, you may still receive one for the year in which you closed the account, because it covers activity up to the closure date.

If you see any charges or activity on the account after closure, contact E*TRADE immediately. Occasionally billing errors or automated transactions process after closure, and you will want to dispute them right away. Keep your closure confirmation letter handy so you can reference the date the account was closed.

Frequently Asked Questions

Can I close my E*TRADE account online?

No. E*TRADE requires you to call, mail a written request, or send a secure message through your account. You cannot initiate closure through the website or app. Phone is the fastest method — call 1-800-387-2331 during business hours.

What if I have a small amount of cash left in my account?

Withdraw it before you request closure. E*TRADE will not close an account with any balance, even a few dollars. Log in, go to Transfers, and move the money to your linked bank account. Wait for the transfer to complete, then contact E*TRADE to close.

Do I lose my trade history after I close my account?

E*TRADE keeps your account records for a period after closure, but you should download or print your statements and trade history before you close. Once the account is fully closed and time passes, access to historical data may become limited or unavailable.

Will closing my E*TRADE account hurt my credit?

No. Closing a brokerage account does not affect your credit score. Credit bureaus track credit accounts (credit cards, loans, mortgages), not investment accounts. Closing E*TRADE has no impact on your credit report.

What if I change my mind after I close my account?

Once E*TRADE confirms closure, the account is closed and cannot be reopened. You would have to open a new account if you want to invest with E*TRADE again. Contact E*TRADE immediately if you realize you made a mistake before the closure is finalized.