Robinhood is a popular commission-free trading platform widely used among U.S. traders. As you keep on gaining more trading knowledge, you'll want to extend your trading skills with Fidelity and for that, knowing how to transfer stocks from Robinhood to Fidelity can become really handy.
Fortunately for Robinhood users, not only does the Robinhood work with Fidelity but it also, features an automated feature that let's users easily move stocks to other financial institutions.
The ACAT feature lets Robinhood users transfer stocks from Robinhood to other brokerage.
If you're confused on how to initiate and complete the transfer process, then you're at the right place.
This article focuses on showing you how to transfer stocks from Robinhood to Fidelity.
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How to Transfer Stocks from Robinhood to Fidelity?
To transfer stocks and assets to other brokerages, users must use the ACATS (Automated Customer Account Transfer Service). You can also make a partial transfer if you want to keep your Robinhood account active.
If not, you can initiate a full transfer, and when it is finished, Robinhood will close the account you opened with them. It's important to know that moving your stocks completely or partially out of Robinhood will cost $75.
Steps to Transfer Stocks from Robinhood to Fidelity
With that in mind, here's how to transfer stocks from Robinhood to Fidelity.
- To begin the transfer, you must sign into your fidelity account or create one if you don't already have one. You'll need to do the following after logging in:
- Login into your Fidelity Account.
- After logging in, select "Transfer"
- Select "Transfer account to Fidelity" from the drop-down menu.
- Select the brokerage account you want to transfer to Fidelity. Type Robinhood into the search bar.
- Enter the account number associated with your Robinhood account.
- After that, you'll be asked to confirm the process of transferring Robinhood assets into a new Fidelity account or into an existing one.
- The next step is to specify the mode of account transfer
- Finally, for speedier processing, you will be required to provide an updated Robinhood Statement.
How Long Does it Take to Transfer from Robinhood to Fidelity?
The transfer usually completes on the same day. Normally, funds are transferred between Fidelity and Robinhood between the hours of 4 and 6 pm.
Simply buy and sell some stocks or fractional shares on either platform, and it should be finished by the following day, if you're worried it will take a while.
However, it will take 3-5 business days for the money to transfer if you buy stocks on Robinhood with a cash account and then transfer them to Fidelity.
If you choose to do this, just use the funds in your cash account to purchase some fractional shares to avoid any delays when transferring funds out of Robinhood.
Fees to Transfer Out of Robinhood
If you buy stocks on margin or with a cash account, Robinhood charges fees. The only expense that would be incurred is a withdrawal fee if your bank is not part of the network, but neither of these apply to this tutorial.
Since most people reading this tutorial will probably be using Fidelity, which is part of the same network, this shouldn't apply to them.
Don't get upset if you don't see the transfer of your stocks or money between Fidelity and Robinhood right away. It may take some time. Just wait a few hours, then come back. Everything should be good.
How Much Does it Cost to Transfer from Robinhood to Fidelity?
If you transfer stocks or cash from Robinhood to an outside brokerage, a $75 fee will be deducted from your account's available cash balance.
Also Read: Why is My Withdrawable Cash $0 On Robinhood?
How do I transfer my stocks from one broker's account to another?
You can transfer money for free from one brokerage to another if you have stocks with both of them. Depending on how much money is in your account, the entire process ought to take no more than two to three business days.
The main thing to keep in mind when switching brokerages is that most of the time, any fractional shares you may own will not be affected. This ought to make moving them between accounts a lot simpler.
What happens when you transfer from Robinhood to Fidelity?
Be prepared to wait a few days for the stocks you transfer from Robinhood to Fidelity to show up in your account.
This is because, while they look for the appropriate amount of money in your account, both apps essentially "lend" money to one another.
Accordingly, different procedures must be followed depending on the type of account in which the stocks are held. Just be patient because it might take a few days in either scenario.
All trades made once you switch from Robinhood to Fidelity will be free. This implies that there are no fees involved in exchanging a commission-free ETF from Robinhood for a commission share on Fidelity.
Robinhood VS Fidelity vs Webull: Which is better?
I'll advise using either Robinhood or Fidelity because they are both reputable, long-standing brokerages.
Because it provides more stock diversification than just the big 4 (Amazon, Apple, Google, and Microsoft) and also offers options trading, Fidelity is preferred by the majority of investors.
Due to its simplicity and ease of use, other people favor Robinhood. It may be important to take into account the fact that Fidelity allows option trading while Robinhood does not.
But when it comes to Webull, the only distinction between them is how well-known the company is for its cryptocurrency and derivatives offerings. So Webull is probably the best option for you if those are your main interests.
We advise using Fidelity if you don't already own any stocks because it gives you a wider range of stock and fund options to choose from.
In my point of view, however, Fidelity's only drawback is that there is a fee associated with every withdrawal from an account.
Robinhood VS Fidelity vs Webull: Which has better Support?
I can't say which of these platforms is better because I haven't ever called Support on any of them. Usually, I just visit their websites and find the information I require there.
If you're looking for a very dependable service, I'll recommend using a different platform as Robinhood occasionally experiences website issues (it's not always up).
Which One Should I Use: Robinhood or Fidelity?
Overall, we would say that personal preference is the decisive factor.
There is no assurance that choosing one platform over another will result in better results because the market is not a zero-sum game.
In actuality, many investors who have been doing so for a while frequently use multiple brokerages.
Robinhood is a popular commission-free trading platform and well-known within U.S. traders.
Thought the platform offers, free trading features, it is still limited in some aspects which is why, most traders will want to transfer their stocks from Robinhood to another brokerage such as Fidelity.
If that's the case for you, which is think is, this guide should help you complete the transfer process.