How Long Does it Take to Transfer Money to Checking Account After Selling Stock

How long does it take to sell stock and get the cash into a checking account?

If you think you'll soon be in a position where you need to sell stock to get money for a purchase, you'll have to do some planning ahead. Keep in mind that there are multiple types of brokerage accounts. Some will let you withdraw cash based on marginable securities. Others require a settlement period after the sale of a stock. If you have cash in a money market, you can usually transfer that cash right away, but it will still take a few days to show up in your checking account.

How long will it take to get my money?


Withdrawing Against a Margin

Some accounts allow you to withdraw against a margin and then sell the stock to cover the short-term loan. These accounts will take two to three days to get the cash transferred from your brokerage account to your checking account.

Money Market Accounts

Funds that are sitting in a money market account with your brokerage will also take two to three days to transfer into your checking account.

Standard Brokerage Accounts

For brokerage accounts like a standard Fidelity account, it will take three days to settle a transaction where you've sold your stock. Then the cash will be available to transfer. Depending on the time of the day that you initiate a transfer, it usually takes two to three days for the funds to show up in your checking account. So, the entire period can take up to six days to sell stock and get the money deposited into your checking. If you don't transfer the money the same day that the sale transaction settles, it may take even longer. Remember, you cannot initiate the outgoing transfer to your checking until the sale settles.

Think you'll need money quickly? Plan ahead!


Liquidating Stock for a Purchase

In conclusion, if you're going to need to liquidate a stock position for a purchase (like a down payment on a home or urgently-need cash to cover a check) you will want to make sure you understand the type of brokerage account you have. By figuring out your account type, you can find out if the cash can be transferred right away or if there is a settlement period. Poor planning for situations like these can cause stress and financial woes, so make sure you plan ahead.

How long does it take you to transfer money to your checking account?

My brokerage account

  • Allows me to transfer money out before the transcation settles
  • I keep money in a money market so I can transfer money as needed
  • takes five to six days to get money from stock account to my checking account
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Comments 10 comments

Darlene Sabella profile image

Darlene Sabella 6 years ago from Hello, my name is Toast and Jam, I live in the forest with my dog named Sam ...

Thank you for another great hub and your wise advise on stocks, I'm not a stock person but I enjoyed reading your hub.

sheila b. profile image

sheila b. 6 years ago

You told me something I didn't know before. Thanks.

Hello, hello, profile image

Hello, hello, 6 years ago from London, UK

Great advice and interesting read. Thank you.

ethel smith profile image

ethel smith 6 years ago from Kingston-Upon-Hull

Good advice

msorensson profile image

msorensson 6 years ago

Charles Schwab has been very good about this.

Springboard profile image

Springboard 6 years ago from Wisconsin

I like to keep a fairly proportional amount of money in cash, mainly because I like to make stock sale decisions based on stock performance and achievement of anticipated ROI rather than on the need for cash...

That said, there ARE times when substantial amounts are needed.

But really you shouldn't be cashing out stocks for things like a new roof, car repairs, or Christmas shopping UNLESS those stocks have met their performance first.

Buying a house on the other hand is quite a different thing. :)

Ten Blogger profile image

Ten Blogger 6 years ago

Good tips . I think it is a good idea to set aside money for emergencies in this ecomony. You should have a cash cushion such that you are able to get by at least 6 months without external help.

JYOTI KOTHARI profile image

JYOTI KOTHARI 6 years ago from Jaipur

Hi Paul,

Thanks for sharing. Perhaps you are referring system in the US. It is little different in India and may be in other countries.

Thanks and thumbs up!

Jyoti Kothari

tim-tim profile image

tim-tim 6 years ago from Normal, Illinois

Good info. I agree with Melinda that Charles Schwab is a good company but their fee is probably higher than most of the company. Do some research before you sign up with a company. Don't just look for the price either. See if they have satisfied customers. That is important!

De Greek profile image

De Greek 6 years ago from UK

Good stuff, tahnks :-)

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