Ready to take control of your investments and sell some assets on the Charles Schwab app? Whether you're looking to lock in profits, rebalance your portfolio, or simply free up some cash, selling can feel a bit daunting if you're new to it. But don't worry, the Charles Schwab app is designed to make the process as straightforward as possible.
Let's dive right in and walk through it together, step by step!
A Comprehensive Guide: How to Sell on the Charles Schwab App
The Charles Schwab mobile app offers a robust and intuitive platform for managing your investments, including placing sell orders. This guide will walk you through the process, covering various order types and important considerations.
Step 1: Log In and Navigate to Your Portfolio
First things first, let's get you into your account.
- Open the Charles Schwab App: Locate the blue Schwab icon on your smartphone or tablet and tap to open it.
- Log In Securely: You'll be prompted to enter your User ID and password. For added security and convenience, if you've set it up, you can also use fingerprint or facial recognition to log in.
- Access Your Accounts: Once logged in, you'll typically land on your Summary page, which provides an overview of all your Charles Schwab accounts. From here, tap on the specific account from which you wish to sell the security. This will take you to that account's detailed holdings.
Step 2: Locate the Security You Wish to Sell
Now that you're in the right account, it's time to find the investment you want to sell.
- View Your Positions: Within your chosen account, navigate to the "Positions" or "Holdings" section. This will list all the securities you currently own in that account.
- Select the Security: Scroll through your list of holdings until you find the specific stock, ETF, mutual fund, or option you intend to sell. Tap on its name or ticker symbol. This action will usually take you to a detailed quote page for that security.
Step 3: Initiate the Sell Order
You're now on the security's detail page. This is where the selling process truly begins.
- Tap "Trade" or "Sell": On the security's detail page, you'll typically see a "Trade" button or a direct "Sell" option. Tap this to proceed.
- Confirm "Sell" Action: The app will present you with an order ticket. Under the "Action" or "Side" field, ensure that "Sell" is selected. If you were viewing an option, you might also see "Sell to Open" or "Sell to Close" options – make sure you choose the correct one for your strategy.
Step 4: Fill Out the Order Ticket – Key Details
This is the most critical step, where you define the parameters of your sale. Pay close attention to each field.
4.1. Quantity/Number of Shares/Contracts:
- Enter the exact number of shares (for stocks/ETFs) or contracts (for options) you wish to sell. Double-check this number to avoid accidental over-selling or under-selling.
4.2. Order Type: Understanding Your Options
This is crucial for controlling the price at which your order executes. Charles Schwab offers various order types to suit different trading strategies.
- Market Order:
- What it is: A market order tells your broker to execute your trade immediately at the best available price.
- When to use it: Best for when you want to execute your trade quickly and prioritize speed over a specific price.
- Important Note: While quick, the executed price might be slightly different from the last quoted price, especially in fast-moving markets. This is known as market slippage.
- Limit Order:
- What it is: A limit order allows you to set a specific price at which you're willing to sell. Your order will only execute if the market price reaches your specified limit price or higher.
- When to use it: Ideal if you want to ensure you sell at a certain price or better, especially for less liquid stocks or during volatile periods.
- Consideration: There's no guarantee your order will fill if the market price doesn't reach your limit.
- Stop Order (Stop-Loss Order):
- What it is: A stop order becomes a market order once a specific "stop price" is reached. For a sell stop, if the stock's price drops to or below your stop price, it triggers a market order to sell.
- When to use it: Commonly used to limit potential losses on an existing position.
- Important Note: Like market orders, once triggered, it can experience slippage and execute at a price below your stop price, especially in rapidly declining markets.
- Stop-Limit Order:
- What it is: This combines a stop order with a limit order. Once the "stop price" is reached, it triggers a limit order to sell at your specified "limit price" or higher.
- When to use it: Provides more control than a simple stop order by setting a minimum acceptable selling price, but it might not execute if the market drops too quickly past your limit.
- Other Advanced Order Types: Charles Schwab also supports more advanced order types like "Trailing Stop" and "One-Cancels-Other (OCO)" orders. These are typically for more experienced traders. If you're unsure, stick to market or limit orders initially.
4.3. Time in Force (TIF): How Long Your Order Lasts
This determines how long your order remains active in the market.
- Day:
- What it is: Your order is active only for the current trading day. If it doesn't execute by market close, it's automatically canceled.
- Good 'Til Canceled (GTC):
- What it is: Your order remains active for an extended period (typically up to 180 calendar days at Schwab) unless it's filled or you manually cancel it.
- When to use it: Useful for limit or stop orders where you're willing to wait for your desired price.
- Extended Hours:
- What it is: Allows your order to be eligible for execution during pre-market or after-hours trading sessions. Only limit orders are typically allowed for extended hours.
Step 5: Review Your Order
You've entered all the details. Now, it's time for a critical double-check.
- Tap "Review Order": After filling out the order ticket, tap the "Review Order" or "Continue" button.
- Verify All Details: A summary screen will appear, showing all the parameters of your trade:
- Account: Is it the correct account?
- Action: Is it "Sell"?
- Symbol: Is it the right stock/ETF/option?
- Quantity: Is the number of shares/contracts correct?
- Order Type: Is it what you intended (Market, Limit, Stop, etc.)?
- Limit/Stop Price: If applicable, is the price accurate?
- Time in Force: Is it Day, GTC, or Extended Hours?
- Estimated Amount: The app will often provide an estimated proceeds amount.
- Commissions/Fees: Note any potential fees (though many online stock/ETF trades are $0 commission at Schwab, other fees like regulatory fees may apply).
- Read any disclosures or warnings carefully.
Step 6: Place Your Order and Monitor Status
If everything looks correct and you're comfortable with the details, it's time to submit.
- Tap "Place Order": Confirm your decision by tapping the "Place Order" or "Submit Order" button.
- Order Confirmation: You'll receive a confirmation message indicating that your order has been received.
- Monitor Order Status: You can typically check the status of your order in the "Order Status" section of the app (often found under the "Trade" or "More" menu).
- Open: Your order is active and waiting to be filled.
- Partially Filled: Some of your order has executed, but not all of it.
- Filled: Your entire order has executed.
- Canceled: Your order was either canceled manually or expired.
- Rejected: Your order could not be placed due to an error (e.g., insufficient shares, invalid price).
Important Considerations:
- Market Hours: Standard market hours are typically 9:30 AM to 4:00 PM ET, Monday through Friday (excluding market holidays). Trades placed outside these hours will typically queue for the next trading session.
- Settlement: When you sell a security, the funds don't become immediately available for withdrawal. Stock and ETF trades generally settle in T+2 business days (Trade date plus two business days). This means the cash from your sale will be fully available in your account after two business days.
- Tax Implications: Selling securities can have tax implications (capital gains or losses). It's always advisable to consult with a tax professional for personalized advice.
- Insufficient Shares: Ensure you have enough shares of the security in the chosen account to cover your sell order.
- Liquidity: For less frequently traded stocks, market orders might result in a less favorable price, and limit orders might take longer to fill (or not fill at all).
- News and Events: Be aware of any upcoming news or events related to the security you're selling, as these can significantly impact its price.
By following these steps and understanding the various options available, you'll be able to confidently sell your investments on the Charles Schwab app.
10 Related FAQ Questions
Here are 10 frequently asked questions about selling on the Charles Schwab app, along with quick answers:
How to check my available funds after selling on the Charles Schwab app?
You can check your available funds in your account summary. Remember that stock and ETF sales typically settle in T+2 business days, meaning the cash will be fully available after two business days.
How to cancel or modify an open sell order on the Charles Schwab app?
Go to the "Order Status" section in the app. If your order is still "Open," you should see options to "Change" or "Cancel" it. Note that market orders are usually executed too quickly to be changed or canceled.
How to sell fractional shares on the Charles Schwab app?
Charles Schwab generally supports selling fractional shares if you initially purchased them as fractional shares or if a stock split created them. When entering the quantity, simply input the decimal value.
How to sell an entire position on the Charles Schwab app?
When on the trade ticket, you can usually tap an option like "Sell All" or "Max Quantity" to automatically populate the field with the total number of shares you own for that security.
How to view my past sell order history on the Charles Schwab app?
You can typically find your past trade history, including sell orders, in the "Activity" or "History" section of your account within the app.
How to understand the different order types for selling on Charles Schwab app?
Market orders execute immediately at the best available price. Limit orders allow you to set a minimum selling price. Stop orders trigger a market order when a specific price is hit. Stop-limit orders combine a stop trigger with a limit price.
How to set up alerts for my investments on the Charles Schwab app before selling?
On the security's detail page, look for an "Alerts" or "Notifications" option. You can set up price alerts to notify you when the stock reaches a certain level, which can help you decide when to sell.
How to sell options on the Charles Schwab app?
Navigate to the "Trade" section, then select "Options." You'll choose the underlying security, then the specific option contract and select "Sell to Close" (if you own it) or "Sell to Open" (for covered calls, for example). The process is similar to selling stocks but involves contracts and expiration dates.
How to know if there are fees for selling on Charles Schwab app?
For most online listed stocks and ETFs, Charles Schwab offers $0 commission. However, regulatory fees or other specific fees (like options contract fees of $0.65 per contract) may still apply. Always review the "Estimated Amount" and disclosures on the review screen.
How to get help if I'm having trouble selling on the Charles Schwab app?
If you encounter any issues, you can contact Charles Schwab customer service directly through the app (often via chat or a "Contact Us" section), or by calling their support line. They offer 24/7 assistance.