You can close a Charles Schwab account by phone, online, or in person at a branch
Charles Schwab lets you close most account types through their website, by calling their main line, or by visiting a local branch in person. The process itself takes minutes, but what happens to your money, investments, and any pending transactions depends on which type of account you have and whether you want to move assets elsewhere first. Most people close accounts because they're consolidating with another brokerage, no longer need the account, or want to simplify their finances — and Schwab's process accommodates all three situations.
Before you initiate closure, you should know that closing an account is different from closing a position. Closing an account ends the entire relationship with Schwab; closing a position means selling a single investment. If you have stocks, mutual funds, ETFs, or other holdings, you'll need to decide whether to sell them first or transfer them to another brokerage.
Key Takeaways
- You can close a Schwab account online through your account settings, by phone at 1-800-435-4000, or in person at any Schwab branch.
- If you hold investments, you must either sell them or arrange a transfer to another brokerage before closure — Schwab will not close an account with open positions.
- Cash remaining in the account will be sent to the bank account or mailing address you specify within 5 to 10 business days.
- Closing an account does not affect your credit score or credit history, and there is no fee to close.
- If you have a margin account or options account, you may need to contact Schwab directly rather than closing online, depending on your account status.
Closing your account online through Schwab's website
Log into your Schwab account and navigate to the Account Settings section, usually found under your profile menu or account information. Look for an option labeled "Close Account" or "Account Closure" — the exact wording varies slightly depending on whether you're using the desktop site or mobile app. Schwab will ask you to confirm that you have no open positions and that you understand any remaining cash will be sent to you.
The online closure process works fastest if your account is already in good standing, has no pending transactions, and holds only cash. If you have any investments still in the account, the system will stop you and direct you to either sell those positions or contact Schwab to arrange a transfer. Some account types — particularly margin accounts or accounts with options trading enabled — may not offer the online closure option and will require a phone call instead.
Transferring investments to another brokerage instead of selling
If you want to move your stocks, mutual funds, or ETFs to a different brokerage rather than sell them, you can request an Automated Customer Account Transfer Service (ACATS) transfer. This process moves your entire account or specific holdings to your new brokerage without forcing you to sell and rebuy, which can save you from triggering capital gains taxes or missing market movements.
Contact your new brokerage first — they will initiate the transfer request on their end and provide you with the forms or authorization needed. Schwab will receive the transfer request and typically complete it within 5 to 10 business days. Once the transfer is finished, your Schwab account will close automatically. You do not need to call Schwab to close the account separately; the transfer process handles it.
If you're transferring only part of your account — for example, keeping some cash at Schwab but moving your stocks elsewhere — you can request a partial transfer. In that case, your Schwab account will remain open with whatever cash or positions you chose to keep.
Closing by phone with a Schwab representative
Call Schwab's main customer service line at 1-800-435-4000 and tell the representative you want to close your account. Have your account number ready. The representative will confirm that you have no open positions, ask where you want any remaining cash sent, and process the closure on the call. This method is useful if you have questions about what happens to pending transactions, need to arrange a transfer, or have an account type that doesn't support online closure.
Phone closure typically takes 10 to 15 minutes. The representative will send you a confirmation email or letter within a few business days. If you have a joint account, both account holders may need to authorize the closure, though Schwab can sometimes process it with one authorized person if the other has given written consent.
What happens to your money and investments during closure
Any cash remaining in your account will be sent to you via check or electronic transfer, depending on what you specify. If you have a linked bank account on file, Schwab can deposit the funds directly; otherwise, they'll mail a check to your address of record. This process typically takes 5 to 10 business days after the account is officially closed.
If you have any pending transactions — such as a dividend payment, a pending trade, or a transfer you initiated but hasn't completed — Schwab will either complete those transactions before closure or hold the account open until they settle. You cannot close an account with open positions or unresolved transactions, so the representative or online system will tell you exactly what needs to happen first.
Closing your account does not affect your credit score or credit history. Schwab does not report account closures to credit bureaus, and closing a brokerage account is not the same as closing a credit account.
Closing a joint account or account with special circumstances
If you have a joint account, both account holders typically need to authorize closure. Schwab may allow one person to close the account if the other has provided written consent, but this varies by situation. Contact Schwab directly to confirm the process for your specific account.
If you have a custodial account (an account you manage on behalf of a minor), a trust account, or an inherited account, the closure process may have additional steps. Schwab will ask for documentation proving your authority to close the account. These account types often require more verification than standard individual or joint accounts, so expect the process to take longer.
Frequently Asked Questions
Does closing my Schwab account hurt my credit?
No. Closing a brokerage account does not affect your credit score or credit history. Credit bureaus only track credit accounts like credit cards, loans, and lines of credit — not investment or brokerage accounts. Schwab will not report the closure to any credit agency.
What if I have a negative balance or owe Schwab money?
If your account has a negative balance — for example, from a margin loan or unsettled trade — you must pay that balance before Schwab will close the account. Contact Schwab to arrange payment, and then you can proceed with closure once the balance is zero or positive.
Can I reopen a Schwab account after closing it?
Yes. Closing an account does not prevent you from opening a new one later. If you decide to return to Schwab, you can open a fresh account following their standard account opening process. Your old account history will remain in Schwab's records.
How long does it take to receive my money after closing?
Cash is typically sent within 5 to 10 business days after the account is closed. If you chose electronic transfer to a linked bank account, it may arrive faster. If Schwab is mailing a check, add a few extra days for postal delivery depending on your location.
What if I have stocks I don't want to sell but also don't want to transfer?
You cannot close an account with open positions. You must either sell the stocks, transfer them to another brokerage, or keep the account open. If you want to keep the stocks but not actively use the account, you can leave it open indefinitely — Schwab does not charge a fee for inactive accounts.