The two ways to transfer money out of E*TRADE

E*TRADE lets you move money to your bank account in two ways: an electronic funds transfer (EFT), which takes three to five business days and costs nothing, or an overnight wire transfer, which arrives the next business day but costs a fee (usually $25). For most people, the EFT is the right choice because it is free and fast enough for non-urgent moves.

Both methods move money from your E*TRADE cash account — the place where uninvested dollars sit — to a bank account you have already linked to E*TRADE. You cannot transfer directly from a brokerage account (where your stocks or funds live) without selling those holdings first.

The process itself takes just a few minutes on E*TRADE's website or mobile app. You will need your bank's routing number and your account number, but if you have already linked the account before, E*TRADE will remember it.

Key Takeaways

  • Electronic funds transfers are free and take three to five business days; wire transfers cost money but arrive overnight.
  • You can only transfer from your E*TRADE cash account, not from the account where your stocks or funds are held.
  • Your bank account must be linked to E*TRADE before you can transfer to it, a one-time setup that takes a few minutes.
  • E*TRADE will ask you to confirm small transfers by verifying two small deposits your bank makes to that account.

Setting up a linked bank account for the first time

Before you can transfer money out, E*TRADE needs to know which bank account to send it to. Log into your E*TRADE account on the website or app and look for a section called "Transfer Funds" or "Transfers & Payments" — the exact name varies slightly between the web version and mobile app.

Select "Add Bank Account" or "Link New Account." E*TRADE will ask for your bank's routing number and your account number. You can find both on a check, or call your bank's customer service line and ask for them. Enter the account holder's name exactly as it appears at your bank.

After you submit this information, E*TRADE will send two small deposits (usually under $1 each) to your bank account within one to two business days. Your bank will show these deposits in your account. You then return to E*TRADE and enter the exact amounts of those two deposits to confirm you own the account. This verification step protects you from accidentally sending money to the wrong place.

Once verified, that bank account stays linked to your E*TRADE account and you can use it for future transfers without repeating this process.

How to request an electronic funds transfer

Log into E*TRADE and go to "Transfer Funds" or "Transfers & Payments." Choose "Withdraw" or "Transfer Out." Select the bank account you want the money to go to from the dropdown list of linked accounts.

Enter the dollar amount you want to transfer. E*TRADE will show you your current cash balance so you do not accidentally ask for more than you have. Review the amount one more time before you submit — you cannot cancel a transfer after it leaves E*TRADE, though your bank may be able to reverse it if you catch the mistake quickly.

Click "Submit" or "Confirm." E*TRADE will send the money to your bank's system that same day or the next business day. Your bank will receive it within three to five business days after that. You can check the status of your transfer in the "Transfer History" or "Recent Activity" section of your E*TRADE account.

When to use an overnight wire transfer instead

Wire transfers cost money — usually $25 per transfer — but they arrive the next business day instead of three to five days. Use a wire transfer only if you need the money urgently and the fee is worth it to you.

The process is almost identical to an EFT: go to "Transfer Funds," select your bank account, enter the amount, and confirm. E*TRADE will clearly show you the fee before you submit, so you will know the exact cost. The money leaves your E*TRADE account when ready and your bank receives it the next business day (or the next business day after a weekend or holiday).

Wire transfers are also final — you cannot reverse them once they are sent. Make sure the bank account information is correct before you confirm.

What happens if your transfer does not arrive

If three to five business days have passed since you requested an EFT and the money has not shown up in your bank account, log into E*TRADE and check the transfer status. Most transfers will show as "Completed" or "Sent." If it shows "Pending" or "In Progress," wait another day or two.

If the status shows "Completed" but your bank has not received it, contact your bank first. Ask them to search for the incoming transfer using the amount and the date you sent it. Sometimes transfers are delayed on the receiving bank's end, or they may have been routed to the wrong account if there was a typo in your account number.

If your bank cannot find it, contact E*TRADE customer service. Have your transfer confirmation number ready — you can find this in your transfer history. E*TRADE can confirm whether the money actually left their system and where it was sent.

Transferring money when you have stocks or funds to sell first

If you want to move money out but it is currently invested in stocks, mutual funds, or ETFs, you have to sell those holdings first. The cash from the sale goes into your E*TRADE cash account, and then you can transfer it to your bank using the steps above.

Selling usually takes one business day to settle — meaning the cash is available in your account the next day. On the day of the sale, the money shows as "pending" or "unsettled." Once it settles, you can transfer it out when ready.

If you are selling a large position, check whether E*TRADE charges any fees for the sale itself. Most stock and ETF sales are free, but some mutual funds may have redemption fees or surrender charges depending on how long you have held them.

Frequently Asked Questions

Can I transfer money directly from my E*TRADE brokerage account to my bank?

No. You can only transfer from your cash account. If your money is in stocks or funds, you must sell those first. The cash from the sale goes into your cash account, where you can then transfer it to your bank.

How long does it really take for an electronic transfer to show up?

E*TRADE typically sends the money the same day or next business day. Your bank then receives it within three to five business days after that. The exact timing depends on your bank's processing speed. Weekends and holidays add extra days.

What if I enter the wrong bank account number?

E*TRADE will not let you transfer to an unverified account, so you cannot accidentally send money to a completely wrong account. If you enter the wrong number for a verified account, the money may go to that account instead. Contact your bank when ready if this happens — they may be able to reverse it.

Do I have to pay taxes on money I transfer out of E*TRADE?

Transferring cash you already have does not trigger taxes. However, if you sold investments to create that cash, you may owe capital gains tax on the profit. E*TRADE will report your sales to the IRS, and you will report them on your tax return.

Can I set up automatic transfers from E*TRADE to my bank?

E*TRADE does not offer automatic recurring transfers. You have to request each transfer manually. However, the process takes only a few minutes, so setting up a regular transfer when you need one is straightforward.