Just four minutes from investing in your mobile device absolutely free.
In keeping with The Motley Fool's mission aid investors all over the world by investing smarter, we're compiling an inventory of the best online investment brokers, and offering instructions on the steps to register for accounts. This tutorial is focused on Robinhood's online brokerage account. If you'd like to look at rival offers from different brokerages, visit our page on broker comparison.
What are the things you'll require to start?
- Social Security number
- Information about the bank that will be able to fund the account (you could always create this later)
- A mobile phone (you cannot invest through Robinhood on tablets or smartphones)
According to the company's website, it takes less than 4 minutes to create an account. This is something was what I observed to be quite exact.
There aren't any costs to open the Robinhood account or keeping one, and neither wills the company charges you for your trades. It's almost too appealing to be true however, Robinhood claims that it earns money by "accruing interest on accounts that have cash balances that aren't invested," just like other brokerages online offer. Robinhood also offers the Robinhood Gold service that starts at just $10 per month, and offers customers extra features like trading after hours and a credit line (to trade using margin) and bigger amount of deposits that are immediately accessible to invest.
Step 1: Establish an account
To begin, go to Robinhood's registration page. You'll be asked to provide essential information, such as your email address and name. You'll also need to create an account username and password. your account. In the middle of this page Robinhood will ask you whether or do you have an Android or iOS-powered mobile device. iOS or Android (Hint that if your tablet or phone aren't manufactured by Apple or Google, it's likely to be one of the Android gadget).
The company is asking this question since everything that you trade through Robinhood is conducted using a mobile device. So, don't sign up for an account with a Robinhood account when you wish to invest on your desktop computer or laptop as you will not be able to complete it.
However, you can create your account on your computer first and then login to the Robinhood application on your smartphone to start investing. We'll guide you through how to set up your account online, and then guide you through accessing your Robinhood account from your smartphone for this step-by-step guide.
Step 2 Step 2: Enter your contact details
This section requires certain personal details such as your home address and telephone number. It will also ask if you or someone in your immediate family is an employee of a company that is a member of the stock exchange or that of the Financial Industry Regulatory Authority (FINRA) or if you or a family member is an officer, director or shareholder of 10%, or a senior officer of the publicly traded firm. It is likely that you will choose "no" to the first two questions.
On the right side of the screen, you'll find answers to any questions you may ask about the application such as why Robinhood requires a customer's address (answer: Uncle Sam requires all brokerages to gather addresses to verify identity).
Step 3: Verify your identify
In this section, you'll read a document explaining why Robinhood will soon ask to see the details of your Social Security number. Broker dealers are legally required to gather Social Security numbers, and Robinhood states "This information is needed to deter money laundering and terrorists from getting access to the market." If you're not one of them, then hit on the "continue" option to move on to the next screen (and in the event that you fall in one of those categories, please spare all of us from a lot of hassle and turn your back!).
In the following page on the next page, you'll be asked to enter you Social Security number, citizenship status, marital status numbers of dependents birth date and your working status. Simply answer the questions in a hurry and then move into the next section.
Step 4: Fund your account
The company claims on their website that there aren't any fees to deposit money into, or withdrawing money from, your account. There is also no minimum deposits.
You can transfer funds to the account using the list of banks. If you aren't able to find your bank's name on this list (or in the event that you would like to make a later payment) You can select the "What is the best option if I don't recognize my bank listed on the table" link that is located on the right part of the page, and then click"click here" or the "click this" link. This will permit you to move to the next step in the application process and then fund the account via the Robinhood application.
Step 5. Submit the application
Review the agreement for your account at this site (maybe make yourself a cup coffee before you start) after which you'll click "Submit application."
Step 6 Step 6: Download the application
When you've completed your application form, you'll get directed to a web page that will instruct that you need to install the Robinhood application to begin investing.
The company claims to send you an email notification when your application is accepted -in the event that it requires additional details from you first and in that case, you'll still get notified. You can also click on this page to save a copy of your application.
Step 7: Sign into the app.
After downloading the application to your device, simply sign in with the account details you set up in step 1. After you've done that you'll see a message informing you the account is approved. You'll also see an announcement in the lower right corner of the screen that instructs you to make a contribution to the account.
Simply click on “Add Funds," then click "Add Funds" link and input your bank account details to begin investing through Robinhood! A side note: You are able to get all the details about your account, its settings and investment history. Click on the icon at the top left corner of the application.
That's all there is to it! Make sure to look over special broker deals here. And if you're looking for some suggestions on how to start investing, look through these articles:
- How to invest
- Why should I invest?
- What should I invest in?
- What is the best time to invest?