If you want to withdraw your money and close your Charles Schwab account, you need to complete a few steps before Schwab can officially close the account. Your balance needs to be cleared, pending activity must be resolved, and you will need to contact Schwab to request the closure.
This guide explains how to withdraw your cash, prepare your account for closure, and close your Charles Schwab account.
How to Withdraw Money From Your Charles Schwab Account
Before you can close your Charles Schwab account, you need to remove any remaining cash and investments. If you only have uninvested cash, you can transfer it directly to your linked bank account.
To withdraw your cash:
- Open the Charles Schwab app and tap the three dots at the bottom right to open the More tab.
- Under Move Money, tap Transfer Funds.
- On the transfer screen, select your Schwab brokerage account.
- Check your available cash balance. This is the amount you can withdraw without selling investments.
- Under the destination, select your linked external bank account.
- Enter the amount you want to withdraw.
- Leave the frequency set to One Time for a standard withdrawal.
- Check the transfer date.
- Tap Continue, review the details, and submit the transfer.
A standard ACH withdrawal generally takes one to three business days to reach your bank account. The transfer is not instant, but it is generally the appropriate option for a normal withdrawal.
If you need to move money more quickly, Schwab also offers wire transfers, although fees may apply.
What If Your Money Is Invested?
You can only withdraw cash that is already available in your brokerage account. If your money is invested in stocks, ETFs, or mutual funds, you will need to decide what to do with those investments before you close your Charles Schwab account.
If you are moving to another brokerage, you may be able to transfer your investments instead of selling them. An ACATS transfer allows you to move eligible investments from one brokerage to another without selling them first.
If you are closing your brokerage account because you no longer want to invest and need the money in cash, you may need to sell your investments before withdrawing the proceeds. Selling investments can have tax consequences, particularly if you have gains.
Make Sure Your Charles Schwab Account Is Ready to Close
Once your final withdrawal has reached your bank account, check that your Schwab account has no remaining balance or pending activity.
Schwab may require you to resolve several things before it can close your account.
Close or Transfer Your Investment Positions
If you still hold stocks, ETFs, or mutual funds, you need to either sell them or transfer them to another brokerage.
If you are simply switching brokerages, transferring your investments may allow you to keep your existing positions rather than selling them. If you sell investments at a profit, the sale may create a taxable capital gain.
If you are finished investing and want the money in your bank account, selling the investments may be necessary before you can close your Charles Schwab account.
Cancel Pending Orders and Recurring Transfers
Check for any open orders, recurring deposits, automatic investments, or other scheduled transactions.
Cancel anything that could cause money or securities to move into or out of the account after you have requested the closure.
Link Your Bank Account
Make sure you have an external bank account linked to Schwab if you still need to withdraw cash.
A linked bank account can make it easier to transfer your remaining balance. If you do not have a linked account, Schwab may use another method, such as mailing a check, depending on your circumstances.
Find Your Account Number
Have your Schwab account number available before contacting customer service. You can typically find it on your account screen underneath the account name.
You may need this information when you contact Schwab to close your Charles Schwab account.
How to Close Your Charles Schwab Account
Once your balance is cleared and all pending activity has been handled, you can start the account closure process.
In the Schwab app, tap your profile icon in the upper-left corner. From there:
- Open Security Settings.
- Scroll to the bottom of the page.
- Look for Close My Account.
- Follow the information provided about the closure process.
However, you generally cannot complete the entire account closure directly from the app. Schwab requires you to contact them or submit a written request to close the account.
This additional verification helps protect your account from unauthorized closure.
How to Close Your Charles Schwab Account by Phone
One option is to contact Schwab by phone and request the account closure.
The phone number referenced in the instructions is 1-800-435-4000.
When you call, you may be asked for your account number and information to verify your identity. Once the representative has verified you, clearly state that you want to close your account.
Before ending the call, consider asking a few important questions.
Ask About Any Fees
Ask whether there are any fees associated with closing your account.
A standard brokerage account closure may not have a closing fee, but fees can vary depending on the type of account or transaction involved. If you are transferring investments to another brokerage, ask whether a transfer fee applies.
Confirm Your Tax Documents
Ask Schwab how you will receive your final tax documents after the account is closed.
Closing your Charles Schwab account does not eliminate your tax reporting obligations. You may still receive tax forms, such as a 1099, for activity that occurred while the account was open.
Request Written Confirmation
Ask Schwab to provide written confirmation that your account has been closed.
Keep the confirmation with your financial records in case you need to prove that the account was officially closed later.
How Long Does It Take to Close a Charles Schwab Account?
Your account may not close immediately after you submit the request.
If there is still cash, an investment transfer, or another pending transaction, Schwab may need to wait until everything has fully cleared. The process can take several business days depending on what remains in the account.
Once all activity has been completed and the account is eligible for closure, Schwab can finalize the closure.
What to Do After You Close Your Charles Schwab Account
After you close your Charles Schwab account, keep an eye on your email and mail for any final account statements or tax documents.
Save your final statements and any confirmation of closure. You should also keep your tax documents for your normal tax-record retention period.
If you receive a 1099 from Schwab during the following tax season, provide it to your tax preparer or keep it with your other tax records.
Following these steps can help you withdraw your money, clear your account, and successfully close your Charles Schwab account without leaving pending transactions behind.
