The new Robinhood Gold Card offers 3% cash back on all purchases, making it a valuable rewards credit card. This offer is available for Robinhood Gold members who pay $50 annually. In addition to the cash back, members also receive a 3% match on IRA contributions and on transferring an IRA to Robinhood. The 3% match for transferring an IRA is a limited-time offer that expires on April 30th.
The 3% match for transferring an IRA works straightforwardly, with no limits on the amount matched by Robinhood. This offer has attracted viewers planning to transfer millions of dollars in IRAs to take advantage of the match. Despite the potential expense for Robinhood, the offer stands, as confirmed by successful transfers receiving the match.
To qualify for the 3% match, Robinhood Gold membership is required, along with a commitment to keep the IRA with Robinhood for 5 years. Taking a distribution from the IRA may trigger a clawback of a portion of the match, based on the initial transfer amount and remaining balance in the IRA. Market declines do not trigger clawbacks, but distributions may if they reduce the balance below the initial transfer amount.
Transferring an IRA to Robinhood has been described as an easy process, taking seconds to open an IRA account on a smartphone and initiate the transfer. Despite the simplicity and the potential benefits of the 3% match, some investors have expressed doubts about Robinhood, citing concerns about the platform glorifying risky trading behaviors.
While some investors may have reservations about Robinhood, those looking to build a portfolio of low-cost index ETFs can do so easily with the platform. By using ETFs from reputable providers such as Vanguard, Schwab, and iShares, investors can create a diversified portfolio with Robinhood. The 3% match offer for transferring an IRA may be appealing to those willing to commit to keeping their funds with Robinhood for the next 5 years.
