There is a trend right now to trade and invest in cryptocurrency. A lot of people choose Robinhood as a platform to manage their finances. As this platform deals directly with money, it has several security measures and restrictions. Some people find out that they can’t withdraw money from the platform. So what’s the reason that your funds get locked and what you should do to fix it? Here is what you need to know.
Why you can’t withdraw money from Robinhood
There are several reasons which cause the inability to withdraw money from the platform. The most common one is trying to remove funds before the settlement period is over. The platform also has limits in withdraws. So it’s also possible that you may have done too many withdraws during 24 hours. Also, it may be a problem if you are trying to withdraw too much money. It means, that the reason why you can’t withdraw money, is account restrictions.
In most cases, the problem comes down to the settlement period. It means that before the transaction, your funds should have time to “settle”. The period of the settlement includes two days after the trade date. On the third day or after it you’ll be able to withdraw it.
Crypto-based transfers also have other restrictions.
Beyond that, if you’re going over the withdrawal limit, you’ll only be prevented from removing funds if your account has already been approved. Only up to 5 withdrawals are allowed on a platform within a business day. If you want more withdraws – it is impossible. In addition to this, you may only up to $50000 dollars per day is allowed to be taken.
Moreover, it may be some sort of account restrictions. This problem is, of course, less common, but it may take a place. Users, who have shown unusual behavior or trade patterns, or even those, who have changed their linked bank account. If you think that your account may be restricted, you’ll need to ask the platform’s support service directly.
How to withdraw funds to a different bank account
You should contact the support team if you want to withdraw money to a different bank account than you deposit from. Sometimes, may happen that you cannot access your bank account or have closed it. In this case, you should provide the support team with the following things:
- A description of why you are withdrawing funds to a new bank account.
- A front and back side of your ID card.
- Some bank statements to give an approval that you hold both accounts.
- The bank account to which you would like to transfer your funds.
- The amount of money you want to transfer.
So, to summarise, if it is impossible to withdraw money from the service, check whether the funds are still in the period of settlement or not. Actually, the money in this platform is free to be moved. It is accepted to have up to five withdraws with a combined value of up to $50000 in value every working day. Any number higher of those will be declined. In addition, as an option, you can try to create a debit card Robinhood with which you can withdraw cash.
Splaitor doesn’t provide any investment, money management, or trading advice. Read our Disclaimer to know more.
