What Robinhood Gold is and what it costs

Robinhood Gold is a paid membership tier that gives you access to margin trading (borrowing money to buy stocks), higher daily buying power, and premium research tools. The membership costs $5 per month, charged to your linked bank account or debit card.

Margin trading is the main feature most people sign up for. It lets you borrow up to a certain amount from Robinhood to make trades, which means you can trade with more money than you have in your account. This amplifies both gains and losses, so it carries real risk.

The other perks include access to Robinhood's premium stock research, higher daily buying power limits, and priority customer support. Whether these matter to you depends on how actively you trade and what kind of research you already use.

Key Takeaways

  • Robinhood Gold costs $5 per month and requires you to have at least $2,000 in your account to activate it.
  • You must be at least 18 years old and have a funded, active Robinhood account before you can sign up.
  • The membership gives you access to margin trading, which lets you borrow money to trade but also increases your risk of losing more than you invested.
  • You can cancel your Gold membership at any time, and the $5 monthly charge will stop after your current billing period ends.

Account requirements before you can sign up

To get Robinhood Gold, you need an existing Robinhood account that is fully set up and funded. You must be at least 18 years old. Robinhood will not let you sign up for Gold if your account is new or if you have not yet deposited money.

The account must have at least $2,000 in it at the time you sign up. This $2,000 is your minimum equity requirement — the amount Robinhood requires you to maintain to keep using margin. If your account balance drops below $2,000, Robinhood will restrict your margin trading until you deposit more.

Your account also needs to be in good standing, meaning no pending disputes, no violations of Robinhood's terms, and no restrictions already in place from previous trading activity.

How to sign up for Gold through the app or website

Open the Robinhood app or go to robinhood.com and log in. Tap or click the account icon (usually in the bottom right on the app, or top right on the website). Look for an option labeled "Gold" or "Membership" — the exact wording changes occasionally, but it will be near your account settings.

Robinhood will show you a summary of what Gold includes and confirm that your account meets the $2,000 minimum. Review the terms, which include a disclosure about margin trading risks. Tap or click the button to start the membership. Robinhood will charge your linked payment method $5 immediately, then $5 on the same day each month going forward.

Once activated, you should see your buying power increase within a few minutes. The exact amount depends on your account balance and Robinhood's margin lending formula, but it will be displayed in your account dashboard.

Understanding margin buying power and how it works

With Gold, Robinhood lends you money based on your account balance. If you have $2,000, Robinhood might lend you an additional $2,000, giving you $4,000 in total buying power. The exact ratio varies, but Robinhood typically offers 1:1 margin for most stocks — meaning you can borrow as much as you have deposited.

When you use margin to buy a stock, you are borrowing that money from Robinhood. You pay interest on the borrowed amount, and Robinhood charges this interest daily. The interest rate is not fixed and changes based on market conditions and how much you borrow.

If the stock price falls and your account value drops, Robinhood may issue a margin call — a demand that you deposit more money or sell positions to bring your account back above the minimum. If you do not respond, Robinhood will sell your holdings automatically to meet the requirement. This can lock in losses and happen without your permission.

What happens if your account drops below $2,000

If your account balance falls below $2,000 because of losses or withdrawals, Robinhood will restrict your ability to trade on margin. You can still trade with cash you have in the account, but you cannot borrow. Your Gold membership stays active and you keep paying the $5 monthly fee, but the margin feature is frozen until your balance climbs back above $2,000.

This restriction can last days or weeks depending on how long it takes your account to recover. During this time, you cannot use any of your borrowed buying power. Once your balance goes back above $2,000, the restriction lifts automatically and margin trading resumes.

How to cancel Robinhood Gold

You can cancel your Gold membership at any time through the same account menu where you signed up. Go to your account settings, find the Gold or Membership section, and look for a "Cancel" or "Downgrade" button. Robinhood will ask you to confirm, then the cancellation takes effect immediately.

You will not be charged the $5 fee again after you cancel. If you cancel mid-month, you do not get a refund for the portion of the month you already paid. Any margin you are currently using will be frozen, and Robinhood will restrict new margin trades, though you can still trade with cash in your account.

If you had borrowed money through margin, canceling Gold does not force you to pay it back immediately. However, you cannot take on any new margin debt, and Robinhood may eventually require you to close out existing margin positions.

Risks of margin trading you should know

Margin trading amplifies both wins and losses. If you buy $4,000 worth of stock with $2,000 of your own money and $2,000 borrowed, a 10% gain makes you $400 — a 20% return on your actual cash. But a 10% loss costs you $400 and wipes out 20% of your money. A 50% loss would wipe out your entire $2,000 and leave you owing Robinhood money.

You also pay interest on borrowed money every day, which eats into small gains. If you borrow $2,000 and the interest rate is 8% annually, you are paying roughly $4.40 per month just to hold the borrowed cash. This cost compounds if you hold positions for weeks or months.

Margin calls can force you to sell at the worst time. If the market drops sharply and your account value falls below the minimum, Robinhood can sell your positions without asking permission. You have no control over which stocks are sold or at what price, and this can lock in losses and trigger tax consequences.

Frequently Asked Questions

Do I have to use margin if I have Robinhood Gold?

No. You can keep Gold active and trade only with cash in your account. You will still pay the $5 monthly fee, but you do not have to borrow. Many people keep Gold for the research tools and priority support without ever using margin.

What is the interest rate on borrowed money?

Robinhood's margin interest rate varies and is not fixed. It changes based on how much you borrow and current market conditions. You can see your current rate in your account settings. Rates typically range from 5% to 12% annually, but this changes.

Can I get Gold if I am under 18?

No. Robinhood requires you to be at least 18 years old to sign up for Gold or use margin. If you are under 18, you can trade stocks with cash, but margin is not available.

What happens to my Gold membership if I close my Robinhood account?

Your Gold membership ends when you close your account. Robinhood will stop charging the $5 fee once the account is closed. Any borrowed money must be paid back before the account can be fully closed.

Can I pause my Gold membership instead of canceling it?

Robinhood does not offer a pause feature. You can only cancel or keep the membership active. If you want to stop paying the fee temporarily, you have to cancel and sign up again later when you are ready to use margin again.