What are the fees and charges associated with using Robinhood?

Robinhood is well-known for its commission-free trading model, which allows users to buy and sell stocks, exchange-traded funds, options, and cryptocurrencies without incurring traditional brokerage fees. This feature is particularly appealing to newer investors and those looking to minimize costs associated with trading. However, it is important to note that while there are no commission fees for trades executed on the platform, Robinhood may still impose certain fees and charges in specific circumstances. One of the potential fees that users may encounter involves options trading. There may be exercise and assignment fees for options transactions, which are common in the industry. Furthermore, while Robinhood does not charge fees for purchasing or selling cryptocurrencies, they may incorporate a spread on these transactions. The spread is the difference between the buying and selling price of the cryptocurrency, which essentially serves as a fee. If a user opts for a premium subscription service known as Robinhood Gold, there is a monthly fee associated with it. This subscription provides additional features, including access to margin trading and professional research reports. The subscription fee is dependent on the level of service selected. In addition, regulatory and third-party fees may apply to specific transactions. These fees are often imposed by external entities or regulatory bodies and may vary based on the nature of the trade. Users are encouraged to review the fee schedule on the Robinhood website to obtain the most accurate and up-to-date information regarding any fees or charges that may apply. Being informed about potential costs can help users make the most of their trading experience.