Robinhood Markets offer commission-free trading with the help of its website and mobile application, and it is basically a discount brokerage. The company, Robinhood, generates a significant amount of money through the payments for order flow, which is common even though it’s a controversial practice in which the broker receives the compensation and also the other benefits in return for directing orders to different types of parties for the sake of trade execution. The company considers this kind of revenue as the “rebates from market makers and trading venues.” Now while the payments are a bit negligible in terms of small retail trades, as it’s a company that is making billions of dollars in trades to the market makers so that they can earn substantial amounts.
So, it has been a problem lately for the users to link their bank accounts win the Robinhood app. So before proceeding anywhere ahead, let’s see how to link your bank account in Robinhood.
How to link your bank account?
Major Banks
If you’re doing business with a major bank that is on a level like Wells Fargo or Bank of America, then it’s quite easy to link your bank account in the Robinhood app.
- Click on the Account icon in the corner at the bottom right.
- Tap on Transfers.
- Then, tap on Linked Accounts.
- Tap on the Add New Account option.
- Choose your bank from the given list of major banks, or you can also use the search bar for searching your bank.
- After that, enter the username and password of your online banking.
- Then choose the account that you want to link.
Small Banks
Now maybe your account is in a small bank or in a bank that’s not that much renowned, so it may happen that you won’t be able to see or search for your bank or credit union listed. So for that, you will have to verify your account manually.
- Click on the Account icon in the corner at the bottom right.
- Tap on Transfers.
- After that, tap on Linked Accounts.
- Tap on the Add New Account option.
- Scroll down and select More Banks.
- Type in your bank manually.
- If you’re not able to see your bank, tap on the ‘I don’t see my bank’ option.
- Tap the checking or savings.
- Then at lasts enter your routing and account number.
But people also face an error code E05 when they try to link their bank account and as a result, have to wait for many hours to solve this problem. So let’s see how to fix this issue.
How to fix it?
So first of all, try linking your bank account manually as the steps are given above. And if you have Two-factor authentication, try turning that off and then try again to link your account. After that, you can turn it back again if you wish to do so.
