How to Sell Stock on Robinhood and Cash Out

 

Robinhood has become one of the most popular platforms for individual investors to trade stocks, thanks to its user-friendly interface and commission-free trades. However, when it comes to selling stock and cashing out, users often have a few key questions. This article will walk you through everything you need to know, from selling individual stocks to withdrawing your money.

Can I Sell All My Stocks at Once on Robinhood?

Yes, it is possible to sell all your stocks at once on Robinhood. If you wish to sell stocks on Robinhood and fully cash out of your positions, the process is straightforward.

Here’s how you can sell all stocks on Robinhood:

1. Open the Robinhood App: Launch the app on your mobile device or log in through the website on your desktop.
2. Navigate to Your Portfolio: On the homepage, you’ll see your portfolio summary. Here, all the stocks you hold will be displayed.
3. Select the Stock You Want to Sell: Click on each stock to view the specific stock’s details, and press the “Sell” button.
4. Select “Sell All”: When selling, you have the option to sell either a portion or all of your shares. To sell all shares, simply select "Sell All" and confirm the transaction.
5. Repeat for All Stocks: If you have multiple stocks, repeat this process for each one until all of your positions have been sold.

After you sell all stocks on Robinhood, the proceeds from your sales will be reflected in your account as buying power. But the next question users often have is, “Where is my money after I sell my stock?”

I Sold Stock on Robinhood, Where Is My Money?

After you sell stock on Robinhood, the proceeds are not immediately available for withdrawal. Instead, the money from the sale will appear in your Robinhood account as buying power. But it’s important to understand a few key details about the settlement process:

1. Settlement Period: When you sell a stock, the trade must go through a settlement process. In the United States, the standard settlement period is T+2, meaning it takes two business days for the transaction to fully settle. This applies to all brokerage accounts, not just Robinhood.
2. Buying Power Availability: As soon as you sell stock, the amount from the sale is reflected in your buying power almost instantly. This allows you to use the funds to make new trades before the settlement is complete. However, these funds are not yet available for withdrawal.
3. Withdrawing Funds: Once the settlement period is complete, your funds will be eligible for withdrawal. You can then transfer the money from Robinhood to your bank account.

To withdraw money from your Robinhood account after selling stock, follow these steps:

• Go to the Account Tab: Tap the icon at the bottom right corner of the app to navigate to your account.
• Select Transfers: Choose "Transfers" and then "Transfer to Your Bank."
• Enter the Amount: Input the amount of money you want to transfer and select your linked bank account.
• Confirm the Transfer: The transfer usually takes 3-5 business days to complete.

How to Sell Stock on Cash App

Cash App, like Robinhood, offers the ability to trade stocks. If you’re wondering how to sell stock on Cash App, the process is just as simple and intuitive.

Here’s how to do it:

1. Open Cash App: Ensure your app is updated to the latest version for optimal performance.
2. Go to the Investing Tab: At the bottom of the screen, tap the “Investing” icon. Here you’ll see your investments in stocks.
3. Select the Stock: Choose the stock you want to sell. A detailed overview of your position will appear.
4. Tap Sell: Select the option to sell and decide how many shares you want to sell. You can sell part of your position or the entire position, depending on your investment strategy.
5. Confirm the Sale: After you’ve made your decision, confirm the transaction. Similar to Robinhood, the settlement period applies to Cash App as well, so it might take a few days for the funds to be available for withdrawal.

Once the sale is processed, the funds will be added to your Cash App balance, and you can then transfer them to your bank account.

Key Points to Remember When Selling Stocks on Robinhood

When you decide to sell stocks on Robinhood, there are a few important things to keep in mind:

• Tax Implications: Selling stocks may result in capital gains or losses, and you’ll need to report these on your taxes. If you held the stock for less than a year, you’ll be subject to short-term capital gains tax, which is typically higher than the long-term capital gains tax for stocks held for more than a year.
• Market Hours: Robinhood allows you to sell stocks during regular market hours (9:30 AM to 4:00 PM ET) and extended hours (9:00 AM to 9:30 AM ET and 4:00 PM to 6:00 PM ET). Selling stocks outside of regular hours can lead to less liquidity and wider spreads, which may affect the price at which your order is executed.
• Types of Sell Orders: Robinhood offers different types of sell orders. A market order will sell your stock at the current market price, while a limit order allows you to set a specific price at which you’re willing to sell. A stop order triggers a sale once the stock price hits a certain point. Choosing the right order type can help you execute your sell strategy effectively.

How to Sell Stock in Robinhood

Whether you’re looking to sell a portion of your portfolio or sell all stocks on Robinhood, the process is designed to be seamless. Robinhood's intuitive interface allows you to quickly navigate through your stocks and execute sales.

Steps to Sell Stock in Robinhood:

1. Log in to Your Account: Open the app or use the desktop site.
2. Go to Your Portfolio: Navigate to your list of stocks.
3. Select the Stock to Sell: Click on the stock you wish to sell.
4. Choose Sell Type: Select the number of shares or “Sell All” if you wish to liquidate the full position.
5. Confirm the Order: Double-check your order details before confirming.

Whether you're executing a long-term strategy or making a quick trade, knowing how to sell stocks on Robinhood ensures that you can take advantage of market opportunities.