How to Prevent Bank Transfer Reversals

Transfer reversals are no fun, so we want to help make sure your funds always make it to your account. 

An ACH reversal happens when a scheduled transfer gets canceled. Reversals may happen for a few reasons:

  • Insufficient Funds
  • Wrong Type of Account (doesn’t support ACH transactions)
  • Duplicate Transaction
  • Declined Transfer

To prevent reversals, we recommend taking the following steps before initiating transfers to Robinhood:

  • Verify that you have sufficient funds available for 1-2 business days following your transfer request in the app because the request might be delayed reaching your bank.
  • Confirm that your bank account is compatible with standard outgoing ACH transfers, and that you’ve entered in the correct information when you linked the account.
  • Refrain from making transfers from a savings account because it might be limited to 6 transactions per month (including any small amounts we transferred to link the account manually).

 Tip: You can check how much cash you can withdraw from your Robinhood account by viewing your Account Summary.

If your transfer into Robinhood is reversed, we’ll send you a notification email, put your funds back in your originating bank account, and pass along the reversal fee. In some cases, we’ll unlink your bank account after multiple reversals to prevent additional fees.

Note: Stopped payments may also require additional documentation to avoid account closure.

If you have any questions about a reversal, we suggest speaking with your bank. We don’t initiate reversals.

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