Have you been having trouble accessing your Robinhood account? You’re not the only one. Thousands of users have reported their accounts being restricted without any warning or explanation.
Robinhood is supposedly working on a solution, but what can you do in the meantime? Read on to find out.
What Does It Mean “Robinhood Account Restricted”?
Restricted is a term used in reference to a user’s Robinhood account that the company has locked due to one or many reasons.
Reasons can vary from suspicious activity, failure to meet trading volume minimums, failure to provide sufficient personal information upon signup, etc., but the end result is always the same: restricted status on your account with no access to funds.
Why Is My Robinhood Account Restricted?
You can check your account status in your web application.
If you see “Your account is restricted,” it means your account meets one or more of these criteria:
- You have not funded your account by bank transfer within 3 days.
- You have withdrawn cash before 6 days have passed.
- You have deposited cash before 6 days have passed.
Robinhood reserves the right to restrict accounts if there is suspicious activity.
If your account has been restricted, you can contact [email protected] with additional questions about the restriction on your account.
Also Read: Robinhood Day Trading Rules
Why Is My Account Restricted From Purchasing Robinhood?
There might be a few reasons why your account is restricted from purchasing Robinhood.
One reason might be that we detected some suspicious activity on your account and, as a result, are temporarily restricting your ability to buy or sell stocks.
Another possible reason could be that you’ve reached your purchase limit for the day.
Robinhood places purchase limits on each account to protect the users from market volatility.
If you’ve reached your purchase limit, you’ll need to wait until the following day to make any additional purchases.
Finally, it’s also possible that the stock you’re trying to buy is currently unavailable on Robinhood.
How Long Will My Account Be Restricted On Robinhood?
It depends on the reason for the restriction. If your account is restricted because you violated the terms of service, then it will depend on the severity of your violation and how many times you have violated the terms.
Generally, if you violate the terms more than once, Robinhood will restrict or terminate your account.
If your account is restricted for other reasons, such as an issue with your bank or Robinhood trying to protect you from fraudulent activity, we will generally restore access within a few days.
However, in some cases where there is an issue that we need more information to resolve (such as a bank-related issue), it may take longer.
Also Read: Why is My Withdrawable Cash $0 On Robinhood?
Why Is My Robinhood Account Restricted From Withdrawal?
If you’ve been inactive for a while, your account is temporarily restricted from withdrawals. You can always check on your account status by going to Robinhood’s website and clicking “Visitor?”
I hope this didn’t confuse you too much, but customer service reps here do their best to ensure that everyone reaches success.
If a person’s account is restricted from withdrawal due to periods of inactivity exceeding the required balance of $1000 or more within 30 days, they can unblock their withdrawal button by following all these steps: log in to your Robinhood account and fill in the available form.
Why Is My Robinhood Account Restricted From Crypto?
There could be a few reasons why your Robinhood account is restricted from Crypto. One reason may be that you have not yet verified your account.
To verify your account, you will need to provide personal information, such as your Social Security number.
You can find more information on verifying your account by clicking here.
Another possibility may be that you live in a state where Robinhood has not yet launched its Crypto trading services.
As of now, Robinhood offers crypto trading in thirty states across the United States.
To see if Robinhood is available in your state, click here. Lastly, your account may have been flagged for suspicious activity.
How Do I Remove The Day Trade Restriction Robinhood?
If you need to remove day trade restrictions for Robinhood, all you have to do is get started with the right information.
There are three core principles that traders must follow to stay within compliance with securities law, including that day trading is not considered a part of their security strategy.
US securities laws require strict documentation and assessment by brokerage firms before granting traders access to execute trades, providing them with an advantage over others on the market.
Point number three states that any real-time trading activity should only be used as appropriate risk management during periods of high volatility or other significant events (such as flash crashes).
Also Read: How to Reactivate Robinhood Account?
Final Thoughts
Robinhood offers a free trading platform with no additional fees, but your account may be restricted from buying or withdrawing for your protection.
If you need to unblock your account withdrawal or purchase limit, please use the information above to help guide you through the process.
If you’re still having trouble after exhausting all options provided by Robinhood, you can always contact their customer service.
Please provide them with all your information and documentation to help speed up the process and get started reinvesting quickly and easily.
