Dividends

 

We process your dividends automatically. Cash dividends will be credited as cash to your account by default, but not automatically reinvested in the stock.

You can view your received and scheduled dividends in your mobile app:

  1. Tap the Account icon in the bottom right corner.
  2. Tap History.
  3. Tap Filter.
  4. Tap Dividends.

 

 Dividends_Screenshot.png

 

If you have dividends that are scheduled but haven’t been paid yet, they’ll appear in the “Pending” category. You’ll find the scheduled date and amount listed next to the stock’s symbol. Recently-paid dividends are listed just below pending dividends, and you can click or tap on any listed dividend for more information.

In order to qualify for a company's dividend payment, you must have purchased shares of the company's stock before the ex-dividend date and hold them through the ex-dividend date.

You will not qualify for the dividend if you buy shares on the ex-dividend date or later, or if you sell your shares before the ex-dividend date.

Dividends that are paid in foreign currency will not display as pending, and only appear in History after your account has been credited. Keep in mind, dividends for foreign stocks take additional time to process. You'll most likely receive your dividend payment 2-3 business days after the official payment date.

If you don’t see a dividend, or if you have questions regarding the amount, please send us a note. 

Reversed Dividends

Sometimes we may have to reverse a dividend after you have received payment. If this situation occurs, you will see the reversed dividend in the Dividends section of the app. You can click or tap on any reversed dividend for more information.

We describe some of the most common dividend reversal scenarios below.

Rate Update
If the rate was updated after payment was made to users, we will reverse the inaccurate dividend and repay using the correct rate. The correct dividend and payment will show up in the app as paid. These rate changes are determined by the issuer, not by Robinhood. Common reasons include:

  • The company amends the foreign tax rate.
  • The company amends foreign currency to USD/ FX rate.
  • The company amends the dividend rate(s).
  • The company amends one of the following critical dates: ex-date, record date, or payment date.

Complete Reversal
In another scenario, we may pay out a dividend that gets recalled and we need to reverse the dividend completely. The dividends may be recalled by the DTCC or by the issuing company. If this situation occurs, you will see the reversed dividend in the Dividends section of the app, as well as on your monthly account statement.

Dividend Reinvestment (DRIP)

Robinhood doesn’t currently support dividend reinvestment, but we may in the future. We’ll be sure to update you when this feature is available.

 

20190729-912837-2751187

 

Was this article helpful?
42 out of 46 found this helpful
Have more questions? Submit a request