Robinhood makes it simple to sell stock and move cash to your bank, but understanding each step helps you avoid delays. This guide walks through the process of selling shares and cashing out, with clear expectations for settlement and transfers.
Use the overview below to compare key timing and cost factors when you plan to sell stock on Robinhood and cash out.
| Action | Typical Timeline | Fees | Notes |
|---|---|---|---|
| Sell stock in app | Instantly reflected in buying power | No commission | Settlement is T+2 |
| Transfer to linked bank | 1–3 business days for ACH | Free | Instant transfer may apply for a fee at some banks |
| Sell during market hours | Immediate execution if market open | No commission | Higher liquidity |
| Sell after market close | Next day pricing | No commission | Funds available after settlement |
Sell Stock on Robinhood in the App Interface
To sell stock on Robinhood, open the app and locate the position you want to liquidate. From the stock detail page, tap the trade button and choose Sell.
Enter the number of shares or select sell all, review the estimated proceeds, and confirm the order type. Market orders typically execute right away during market hours, while limit orders give you price control but may take longer.
After you submit the sell, the order status updates in your activity feed. Once executed, the cash moves to your account buying power, and you can then initiate a withdrawal to cash out to your bank.
Understanding Settlement and Cash Availability
When you sell stock, the trade settles in two business days under the T+2 rule, even though Robinhood shows the buying power immediately. This means the shares are officially delivered, and you can withdraw the funds after settlement completes.
If you sell before market hours, the execution occurs on the next trading day, which can push settlement slightly later. Avoid unnecessary delays by checking the expected settlement date shown in the order confirmation.
Keeping the account in good standing and using standard ACH transfers helps ensure smooth and timely cash availability when you move money to your bank.
Withdrawing Cash to Your Bank Account
To cash out, go to the account section, select transfer, and choose Transfer to Bank. Enter the amount, confirm your bank linkage, and submit the request. Most withdrawals land in 1–3 business days at no cost.
You can speed up access with an instant transfer to a debit card where available, but verify any associated limits or eligibility before choosing this option. Tracking the transfer status in the app helps you anticipate when the cash will be usable.
Double-check the bank details and withdrawal amounts to prevent mistakes that would require you to cancel and resubmit the request, which can slow your cash out process.
Account Limits and Verification Requirements
Robinhood may apply holding periods or withdrawal limits based on your account history, risk profile, or regulatory rules. Large or unusual transfers can trigger additional reviews to protect both you and the platform.
Completing identity verification, linking a verified bank account, and maintaining consistent trading patterns reduce friction when you sell stock on Robinhood and cash out larger sums.
If you encounter holds, check the account notifications for specifics and follow the prompts to provide the requested documentation or clarification.
Key Steps to Sell Stock on Robinhood and Cash Out
- Open the Robinhood app and select the stock you want to sell.
- Tap trade, choose Sell, and enter the number of shares or select Sell All.
- Review the estimated proceeds and confirm the order type.
- Wait for execution, then transfer the cash to your bank via Transfer to Bank.
- Monitor settlement dates and transfer status to avoid delays.
FAQ
Reader questions
How long after selling stock does the cash become withdrawable?
Cash from a stock sale typically becomes withdrawable after the T+2 settlement completes, which is two business days from the trade date, though buying power is often available sooner.
Can I cancel a sell order on Robinhood if I change my mind?
Yes, you can cancel a pending sell order in the app before it executes, but once filled, the order cannot be reversed, and you would need to manage the resulting cash or repurchase shares if desired.
Why is my withdrawal to bank showing as pending for more than three days?
Extended holds can happen due to security reviews, large amounts, recent bank updates, or compliance checks; checking the transfer details and following up with support can clarify the specific reason.
Does Robinhood charge a fee when I sell stock and transfer the money to my bank?
Robinhood does not charge a commission on stock sales or standard ACH transfers, but instant transfers to certain banks may have limits, and external bank fees could still apply.