What buying power is and why you might want to move it
Buying power in Robinhood is the cash available in your account that you can use to buy stocks, options, or crypto. It includes money you deposited, proceeds from sales you made, and dividends paid to you. When you want that cash back in your regular bank account instead, you initiate a withdrawal — Robinhood sends it to the bank account you linked during setup.
The confusion often comes from the word itself. Buying power is not a separate asset or a special account type. It is straightforward the uninvested cash sitting in your Robinhood account. Moving it out means you are transferring that cash back to your bank, which takes a few business days and reduces the amount available for trading.
You might do this because you need the money for something else, you want to consolidate accounts, or you are closing your Robinhood account. The process is straightforward, but the timing matters — money does not arrive when ready, and you cannot withdraw more than you actually have.
Key Takeaways
- Buying power is the uninvested cash in your Robinhood account, and you move it out by requesting a withdrawal to your linked bank account.
- Robinhood transfers the money using the ACH system, which typically takes three to five business days to arrive at your bank.
- You can only withdraw cash you own — unsettled proceeds from recent sales may not be available when ready, depending on the security type.
- The withdrawal request happens inside the Robinhood app or website under the Account menu, and you choose which linked bank account receives the money.
- If your bank account information has changed, you must update it in Robinhood before you can withdraw, and Robinhood may require verification before processing large transfers.
How to request a withdrawal in the Robinhood app
Open the Robinhood app and tap the Account icon at the bottom right. Scroll down to the Transfers section and tap Transfer to Your Bank. Robinhood will show your current buying power and ask you to enter the amount you want to withdraw. Type the dollar amount and tap Next.
The app will display the linked bank account where the money will go. If you have multiple bank accounts linked, you can choose which one receives the transfer. Review the amount and the destination account, then tap Confirm to submit the request. Robinhood will send you a confirmation notification when ready.
On the web version, log into your account, click Account in the top right, select Transfers, and click Transfer to Your Bank. The process is the same — enter the amount, confirm the destination account, and submit. You will see a confirmation screen with a reference number.
Understanding the ACH transfer timeline
Robinhood uses the ACH system (Automated Clearing House) to move money to your bank. ACH is the standard method for moving funds between banks in the United States, and it operates on a batch schedule, not in real time. When you request a withdrawal, Robinhood batches it with other transfers and sends it to the ACH network, usually the same business day or the next one.
Your bank then receives the transfer and processes it on its own schedule. Most banks post ACH transfers within one to two business days of receipt, but some take longer. The total time from when you request the withdrawal to when the money appears in your account is typically three to five business days. Weekends and bank holidays extend this — a withdrawal requested on Friday may not arrive until the following Wednesday or Thursday.
Robinhood does not hold the money after you request it. Once the transfer is submitted, the funds are in the ACH system and out of your Robinhood account. If your bank is slow to post it, that is your bank's processing time, not Robinhood's delay.
What you need to know about settlement and available cash
Not all cash in your Robinhood account is when ready withdrawable. If you sold a stock, the proceeds are not settled for two business days. If you sold an option or crypto, settlement is faster — usually one business day — but it still is not when ready. Until the sale settles, that money counts toward your buying power but may not be available for withdrawal.
Robinhood shows your total buying power and your settled cash separately in the Account section. Before you request a withdrawal, check the Settled Cash amount — that is what you can actually move to your bank. If you request a withdrawal larger than your settled cash, Robinhood will reject it or ask you to reduce the amount.
If you have a margin account (which allows you to borrow money to trade), the rules are different. Margin accounts show buying power that includes borrowed funds, and you cannot withdraw more than your actual cash balance. Check your account type in Settings to confirm whether you are on a cash or margin account.
Updating or adding a bank account before you withdraw
Robinhood only allows withdrawals to bank accounts you have already linked and verified. If your bank account information has changed — you switched banks, closed an account, or moved — you must update it in Robinhood before you can withdraw.
Go to Account, then Settings, then Linked Banks. You can see all accounts currently linked and their status. To add a new account, tap Add a Bank Account and follow the verification process. Robinhood will ask for your routing number and account number, then verify the account by depositing two small amounts (usually under a dollar each) into it. You then confirm those amounts in the Robinhood app. This verification typically takes one to two business days.
Once the new account is verified, you can withdraw to it. If you want to remove an old account, tap it and select Remove. Robinhood will not let you remove the only linked account, so you must add a new one first if you are switching banks.
Large transfers and verification holds
Robinhood may place a hold on large withdrawals or flag them for verification. There is no published threshold — it depends on your account history, the size of the transfer relative to your typical activity, and Robinhood's fraud detection systems. If your withdrawal is flagged, Robinhood will contact you via email or in-app notification and ask you to confirm the transfer.
Verification usually involves answering security questions or confirming the withdrawal through your email. This process can add one to two business days to the timeline. If you are planning a large withdrawal, contact Robinhood support in advance to ask whether verification is likely and what information they will need.
Robinhood also has daily and monthly withdrawal limits for some account types, though these are not published. If you hit a limit, you will see an error message when you try to submit the withdrawal. In that case, you can split the withdrawal into multiple requests across different days, or contact support to discuss your options.
What happens if the transfer fails or gets rejected
ACH transfers can fail for several reasons: the bank account information is incorrect, the account has been closed, the account holder name does not match Robinhood's records, or your bank rejected the transfer for fraud reasons. If this happens, Robinhood will notify you and the money returns to your Robinhood account within one to three business days.
If a transfer fails, check the reason in your Robinhood notifications or contact support. Common fixes include updating your bank account information, confirming the account is still active, or verifying that the name on the account matches what Robinhood has on file. Once you fix the issue, you can request the withdrawal again.
If your bank rejected the transfer, contact your bank directly to ask why. Some banks flag transfers from investment accounts as unusual activity. Your bank may need you to confirm the transfer is legitimate before it will accept future ones from Robinhood.
Frequently Asked Questions
Can I withdraw money that is still settling from a recent sale?
No. You can only withdraw settled cash. Stock sales settle in two business days, and options and crypto settle in one business day. Until settlement is complete, that money is not available for withdrawal, even though it counts toward your buying power. Check your Settled Cash balance in the Account section to see what you can actually move.
How long does it take for money to arrive after I request a withdrawal?
Typically three to five business days. Robinhood submits the transfer to the ACH system the same day or next business day, and your bank processes it within one to two business days after that. Weekends and bank holidays add time. If it has been more than five business days, contact your bank to confirm they received the transfer.
What if I need the money faster than ACH allows?
ACH is the only withdrawal method Robinhood offers, and there is no expedited option. If you need cash when ready, you could sell holdings and use that cash for other purposes, but moving it to your bank still takes three to five days. Some banks offer faster internal transfers if you have multiple accounts with them, but that is separate from Robinhood.
Can I withdraw to a bank account that is not in my name?
No. Robinhood requires the bank account to be in the same name as your Robinhood account for regulatory reasons. If you need to move money to someone else, you must withdraw to your own account first, then transfer it from your bank to theirs.
What if I close my Robinhood account — do I need to withdraw my cash first?
You should withdraw your cash before closing your account to avoid any delays or complications. Once you close the account, Robinhood may not process new withdrawal requests. If you have unsettled proceeds or pending transfers, close the account only after everything has settled and cleared.