If you`re a Robinhood user, there`s a good chance you have an account with a contracted expiration date. When the expiration date for your contract arrives, it`s important to understand what happens to your account.
When your contract expires, Robinhood will automatically close your account. This means that any money you had in your account will be transferred back to your bank account. If you have any open positions in your account, those positions will be liquidated and the proceeds will be transferred to your bank account.
It`s important to note that if you have any outstanding debt in your account, Robinhood will use the funds from the liquidation of your positions to pay off that debt. This means that if you have a margin account and you`ve borrowed money to trade, you could end up owing Robinhood money if your account doesn`t have enough funds to cover the debt.
When your account is closed, Robinhood will also stop sending you notifications and alerts. This means that you won`t receive any more trade confirmations, market updates, or other important notifications.
If you want to continue trading on Robinhood, you`ll need to create a new account. This process is straightforward and should only take a few minutes to complete. However, if you plan on creating a new account, you should make sure that you`ve resolved any outstanding debt from your previous account.
In summary, when your Robinhood contract expires, your account will be automatically closed, your open positions will be liquidated, and any funds in your account will be transferred to your bank account. If you want to continue trading on Robinhood, you`ll need to create a new account.
