Robinhood is an American financial company with headquarters in Menlo Park, California. The company is the pioneer for commission-free funds, stocks, exchange-traded, and cryptocurrencies via a mobile app introduced in March 2015. Robinhood is registered with the U.S. Securities and Exchange Commission and is a FINRA-regulated broker-dealer. It is a member of the Securities Investor Protection Corporation. I will show you how to transfer money out of Robinhood once you earn from various trading’s.
The company’s revenue is mainly from three primary sources: selling order information to high-frequency traders, interest earned on customers’ cash balances, and margin lending. The latest statistics show that the institution has over 31 million users throughout the country. The highest number of the company’s customers is attributed to high-quality services that you can get once you become a member. Remember that I have just mentioned that the company is FINRA-regulated, and you can be sure that it is secure to work with.
Robinhood is mainly an online company. You have to open an online account before getting started with the company’s services. Online financial companies are the best to work with since you save a lot of time to do your activities. With Robinhood, you only need to access your account using a smartphone or computer, and you are good to go. You can also open an account using a computer or tablet. However, a smartphone is more convenient to access your account anywhere and anytime you want.
Things You Require To Open A Robinhood Account
There are various requirements that you should have when opening an account with Robinhood. The federal government requires that each and every financial institution get various documents from account applicants. The following are the things you require to open your account. Have a look.
- Be 18 years or older
- Have a valid Social Security Number
- Have a valid U.S. residential address within the 50 states or Puerto Rico
- And Be a U.S. citizen, or have a valid U.S. visa
Remember that once you create your account, you can access it from anywhere in the world except areas with sanctions such as North Korea, Cuba, Iran, Syria, and the Crimea region of Ukraine. If you attempt to log in while in these areas, your account may receive more restrictions.
Entire Procedure To Open A Robinhood Account
Once you have all the required info, you can then begin your account application process. You only need to visit the Robinhood account registration page online, and you are good to go. If you are ready to start commission-free investing and get the tools necessary to put your funds in motion, then sign up and get your first stock for free (some limitations apply). The following is the process to sign up for your account.
- Visit the Robinhood website on your phone or computer.
- Navigate to the signup tab.
- On the page that opens, input your full legal name. Make sure your legal name matches any form of government ID.
- Enter your email address
- Then enter your password and hit continue
- Enter your contact information. It includes your residential address, city, State, Zip code, and your phone number.
- Verify your identity. Here, you will need to provide your date of birth, Social Security Number, marital status, employment info, and citizenship.
- Next, fund your account. You can choose various banks listed on the site and deposit a certain amount of money. If you do not see any bank, you can still fund your account in the Robinhood app.
- Submit your application. Make sure you go through all the user agreements and understand everything.
- Download the Robinhood app. The app will help you to access your account conveniently. You will get a link that will land you to Android or iOS versions of the app to download.
- Log in to your Robinhood account via the app. Use the same login credentials you provided when opening your account.
- Lastly, click on the “Add Funds” link to enter your bank account details and start investing with Robinhood!
You can even transfer money from Robinhood to a bank once you have traded and made a substantial profit.
Some Reasons To Choose Robinhood
We have multiple reasons why you should consider Robinhood for your stock trading. Some include the following:
i) You can invest any amount
You have the authority to choose how much you want to invest, and Robinhood will convert the amount to parts of a whole share.
ii) You can build a balanced portfolio
Customize your portfolio with pieces of various companies and funds to help you reduce risk.
iii) Real-time trading
There is no waiting as trades placed each time will be executed at that particular time.
iv) Commission-free trading
You can make unlimited commission-free trades in funds, stocks, and options with Robinhood Financial. However, other fees may apply.
v) Account protection
Securities in your Robinhood account are protected up to $500,000 since Robinhood is a member of SIPC.
vi) Stay informed
You can set up customized news updates and notifications about your investment. You will never stay in the dark when new good things are circulating among other account holders.
Ways You Can Follow For Deposit Money To Robinhood Account Using A Bank Account
You have to deposit some money in your Robinhood account in the following ways.
a) Deposit from a mobile app
- Tap the person icon
- Tap ‘Transfers’
- Select ‘Transfer to Robinhood’
- Choose the account to transfer money from
- Enter the deposit
- Review the deposit details
- Submit the deposit
b) Deposit over the web
- Click Account on your screen
- Select ‘Banking’
- Choose the account to transfer from on the panel labeled Transfers.
- Enter the amount to deposit.
- Hit on ‘Review’
- Click ‘Submit’
You need to note that you can only make up to five deposits per business day. Again, you can transfer up to $50,000 per business day into your trading account. Remember that, Robinhood does not accept mailed check deposits. Instead, you can set up a direct deposit if your Robinhood account is upgraded to Cash Management.
Other Ways to Add Money to a Robinhood Account Without A Bank Account
Earlier on, I mentioned how you could add money to your Robinhood account with a bank account. However, there are ways you can add money to Robinhood without a bank account. They include the following:
1) Use Cash App
You can add your Robinhood debit card to Cash App and transfer money to your Robinhood account. Likewise, you can transfer money from Robinhood to Cash App.
2) Use PayPal Cash Card
You can add PayPal Cash Card to your Robinhood account to add money to your trading account. PayPal Cash Card links directly to your PayPal account, and when you spend money using the card, you spend money from your PayPal account.
Steps To Transfer Money Out Of Robinhood
Once you have made enough money from Robinhood, you can withdraw your funds from your trading account to your bank account and use it for various transaction activities. The following steps show how you can get money out of your account.
1. Withdrawing from an iOS device
- Tap the ‘Account’ icon at the bottom
- Tap ‘Transfers’
- Hit ‘Transfer to Your Bank’
- Choose the bank account you would like to transfer the funds to
- Enter the amount to move to your bank
- Tap ‘Submit’
2. Using an Android device
- Tap the ‘Account’ icon at the bottom
- Hit ‘Transfers’
- Select ‘Transfer to Your Bank’
- Choose the bank account to transfer to
- Enter the amount to move to your bank
- Hit ‘Submit’
3. Using web
Robinhood allows you to run your account over the web. You can withdraw money as follows.
- In the upper right corner, tap ‘Account’.
- Click ‘Transfers’.
- Using the panel on the right, initiate a transfer from Robinhood to your bank account.
Remember that you must have added the bank routing and account numbers of the bank you intend to transfer money to. You will then transfer money using the routing number and account number.
Note that you can withdraw up to 5 times per business day into your bank account. Moreover, you can withdraw up to $50,000 per business day.
Bottom Line
Robinhood is an American financial company with headquarters in Menlo Park, California. The company is famous for trading cryptocurrencies and stocks. You can operate your account online using your smartphone or a computer.
Robinhood allows you to add money from your bank account and other sources like Cash App and PayPal. Like many other financial institutions, you require your Social Security Number and identification document to open a Robinhood account.
