How Much Does Robinhood Charge To Cash Out?

If you're considering using Robinhood to invest in the stock market, it's important to know the fees associated with cashing out your investments.

Specifically, many users wonder how much Robinhood charges to cash out. So, let's find out.

No Fees For Standard Bank Transfers

The good news is that Robinhood does not charge any fees for standard bank transfers. This means that if you decide to withdraw your funds to your bank account, you won't incur any additional fees beyond any potential taxes you may owe on your gains.

Instant Transfer Fee

However, if you choose to use an instant withdrawal option, such as instant transfer to a debit card or bank account, you will be charged a fee. The fee for instant withdrawals is currently set at 1.5% of the total amount you are withdrawing.

For example, let's say you have $1,000 in your Robinhood account that you want to cash out. If you choose the standard bank transfer option, there will be no fee to withdraw your funds. However, if you opt for an instant transfer, you will be charged a fee of $15 (1.5% of $1,000).

It's important to note that while instant withdrawals may seem like a convenient option, they can quickly add up in fees if you're not careful. If you're not in a rush to receive your funds, it's generally better to choose the standard bank transfer option to avoid any unnecessary fees.

Conclusion

In summary, Robinhood does not charge any fees for standard bank transfers when cashing out your investments.

However, if you choose to use an instant withdrawal option, such as instant transfer to a debit card or bank account, you will be charged a fee of 1.5% of the total amount you are withdrawing. Be sure to factor in any potential taxes owed on your gains as well.

This article was generated using automation technology, and thoroughly edited and fact-checked by an editor on our editorial staff.