Financial Services
RobinhoodHeadquarters
Find BBB Accredited Businesses in Financial Services.
Information and Alerts
Alert Details
This business has 2 alerts.
Government Actions
THE COMMISSIONER OF FINANCIAL PROTECTION AND INNOVATION v. ROBINHOOD FINANCIAL, LLC,
On April 4, 2023, Robinhood Financial, LLC entered into a consent agreement (CRD NO: 165998) with the Commissioner of Financial Protection and Innovation (CFPI).
The consent agreement stems from an investigation brought by state securities regulators from Alabama, Colorado, California, Delaware, New Jersey, South Dakota and Texas. According to court documents, it was alleged that Robinhood was negligent in inaccurate information it provided to customers, including margin and risk associated with multi-leg options spreads, provided an inadequate identification program, failed to supervise technology critical to providing customers with broker-dealer services, provided an inadequate system for customer service inquiries, failed to exercise due diligence before approving certain option accounts and failing to report customer complaints the Financial Industry Regulatory Authority and state securities regulators as required.
Without admitting or denying the findings, Robinhood in addition to internal changes already implemented, was ordered to pay up to $10.2 million in penalties. $200,000.00 in penalties will be paid to CFPI for violations of corporate securities law.
Pattern of Complaints
Robinhood came to BBB’s attention in September 2018. Al review of complaints was completed in December 2024. Complaints processed by BBB state receiving no response or follow up when contacting the company to resolve issues. Complainants also state despite providing the requested information to verify their identity in some cases multiple times, they still are unable to get access to their account.
BBB has reached out to Robinhood to address the above issues, and will update this profile accordingly.
Important Information
Customer Complaint
Robinhood came to BBB’s attention in September 2018. A review of complaints was done in June 2024. Complaints on file state concerns with account security.
BBB recommends users to review the following:
Two-factor authentication
How you're protected
Security guarantee
For additional support, please visit How to contact support.
Service Area
- USA
BBB Business Profiles may not be reproduced for sales or promotional purposes.
BBB Business Profiles are provided solely to assist you in exercising your own best judgment. BBB asks third parties who publish complaints, reviews and/or responses on this website to affirm that the information provided is accurate. However, BBB does not verify the accuracy of information provided by third parties, and does not guarantee the accuracy of any information in Business Profiles.
When considering complaint information, please take into account the company's size and volume of transactions, and understand that the nature of complaints and a firm's responses to them are often more important than the number of complaints.
BBB Business Profiles generally cover a three-year reporting period. BBB Business Profiles are subject to change at any time. If you choose to do business with this business, please let the business know that you contacted BBB for a BBB Business Profile.
As a matter of policy, BBB does not endorse any product, service or business. Businesses are under no obligation to seek BBB accreditation, and some businesses are not accredited because they have not sought BBB accreditation. BBB charges a fee for BBB Accreditation. This fee supports BBB's efforts to fulfill its mission of advancing marketplace trust.