The basic withdrawal process
To withdraw money from Robinhood, you go to the Account menu, select Transfers, choose Withdraw, and enter the amount you want to move back to your linked bank account. Robinhood sends the money to whichever bank account you connected when you set up your account, and the transfer typically takes one to three business days to land in your bank.
You can only withdraw cash that is actually available — not money that is tied up in open trades or held as a margin requirement. If you have unsettled cash (money from a recent sale that hasn't cleared yet), Robinhood will tell you how much of your balance you can move right now and how much is still settling.
There is no fee to withdraw from Robinhood. The money goes directly to your bank account at no cost to you, though your bank may charge you a fee if you withdraw very frequently (most banks allow several free transfers per month).
Key Takeaways
- Withdrawals go to the bank account you linked when you opened your Robinhood account, and take one to three business days to arrive.
- You can only withdraw cash that is not currently invested or held as a margin requirement, and Robinhood shows you the available amount before you confirm.
- Robinhood charges no withdrawal fee, but your bank may limit how many free transfers you can make per month.
- If you have unsettled cash from recent trades, that money is not available to withdraw until it clears, usually within two business days.
- You cannot withdraw directly to a credit card, PayPal, or any account other than the bank account you originally linked.
Understanding unsettled cash and why you cannot withdraw it immediately
When you sell a stock or other security on Robinhood, the sale price goes into your account as cash, but that cash does not belong to you outright until the trade settles. Settlement takes two business days for stocks and most other securities. During those two days, the cash shows up in your account but is marked as unsettled, and Robinhood will not let you withdraw it or use it to buy something else.
This rule exists because the stock market itself operates on a two-day settlement cycle — the money from the buyer does not actually reach Robinhood until two days after the sale. If you could withdraw or reinvest unsettled cash before that, you could end up owing money you do not have if the buyer's payment fails.
Robinhood shows you two numbers: your total account value and your available cash. Available cash is the money you can withdraw right now. If you sold something today, that money will move from unsettled to available tomorrow or the day after, depending on when the two-day window closes.
Withdrawing from a margin account versus a cash account
If you have a margin account, Robinhood may hold some of your cash as a margin requirement — money the platform keeps on hand in case your investments lose value. You cannot withdraw this held cash. The amount Robinhood requires varies based on what you own and how much you have borrowed, but the app always shows you how much is available to withdraw and how much is being held.
If you have a cash account, there is no margin requirement and no borrowed money, so the only reason cash would be unavailable is if it is still settling from a recent trade. Cash accounts are simpler in this way: if the app says you have available cash, you can withdraw it.
You can check your account type in the Account menu under Account Settings. If you are not sure whether you need margin, a cash account is the safer choice for most people — it prevents you from borrowing money you cannot afford to pay back.
What happens if you try to withdraw more than you have available
Robinhood will not process a withdrawal for more than your available cash balance. The app shows you the maximum amount you can withdraw before you enter a number, so you cannot accidentally request more than you have. If you try to enter an amount larger than what is available, the Withdraw button will be grayed out and you will not be able to proceed.
If you need to withdraw a larger amount, you have to wait for unsettled cash to clear or sell additional investments. There is no way to force a withdrawal before cash has settled or before a margin requirement is lifted.
Changing or adding a new bank account for withdrawals
Robinhood only withdraws to the bank account you linked during account setup. If you want to withdraw to a different bank account, you have to add it first. Go to Account, then Transfers, then look for the option to add or manage linked accounts. You will need to provide the new account's routing number and account number.
When you add a new bank account, Robinhood may require you to verify it by making small test deposits (usually two deposits of less than a dollar each). You will see these tiny deposits in your bank account within a few days, and you then enter the amounts back into Robinhood to confirm the account is really yours. Only after verification can you withdraw to that account.
This verification step protects you from someone else adding their bank account to your Robinhood account and stealing your money. It takes a few extra days, but it is a necessary security step.
Timing: when your withdrawal actually arrives
Robinhood processes withdrawal requests during business hours on business days. If you request a withdrawal on a Friday afternoon or over the weekend, Robinhood will not process it until Monday morning. Once Robinhood sends it, your bank typically receives the money within one to three business days, depending on your bank's processing speed.
Some banks are faster than others. Large national banks often credit transfers within one business day, while smaller regional banks or credit unions may take the full three days. You can check your bank's transfer policy in their FAQ or by calling customer service.
If a withdrawal has been pending for more than three business days and your bank says it has not arrived, contact Robinhood support with the withdrawal confirmation number (which you receive when you request the transfer). Robinhood can check whether the transfer was actually sent and investigate if something went wrong.
Frequently Asked Questions
Can I withdraw money if I have open trades or pending orders?
You can withdraw any cash that is not currently invested or held as a margin requirement. Open trades do not block withdrawals — only the cash that is actually tied up in those positions. If you have pending buy orders, the cash reserved for those orders is not available to withdraw until you cancel the orders.
What if I want to withdraw to a credit card or PayPal instead of a bank account?
Robinhood only withdraws to a bank account. You cannot withdraw directly to a credit card, PayPal, Venmo, or any other payment service. If you need the money in a different form, you would have to withdraw to your bank account first, then transfer it from there to wherever you need it.
Is there a minimum or maximum amount I can withdraw at one time?
Robinhood does not publish a stated minimum, but you can withdraw as little as a few dollars. There is no maximum per transaction, though your bank may have its own limits on how much you can receive in a single transfer. Check your bank's policy if you are planning a large withdrawal.
Do I have to pay taxes on money I withdraw from Robinhood?
Withdrawing cash itself does not trigger taxes — you only owe taxes on gains when you sell investments at a profit. If you sold stocks for a gain, you owe capital gains tax on that profit regardless of whether you withdraw the money or leave it in Robinhood. Robinhood sends you a tax form each year showing your gains and losses.
What if my bank account information changes after I link it to Robinhood?
If your bank closes your account or you switch banks, you need to add your new account to Robinhood before you can withdraw again. Go to Account, Transfers, and add the new account. You will have to verify it with the test deposit method, which takes a few days. Until then, you cannot process withdrawals.