There are a few options for closing your account. Calling Fidelity directly at 1-800-343-3548 is the most efficient method. You can chat with a person who will walk you through the account closure process.
How do I close my Fidelity account?
You can also send a letter to Fidelity to close your account. When starting the procedure, make sure you have all of your papers with you.
Find the Fidelity Contact Addresses on Your Account
The first step is to go through the account documentation and locate the Fidelity contact information. It is usually listed there. If it isn’t there, you can look for it on Fidelity’s website, which has a postal address. Keep in mind that addresses will vary depending on the account type, so pick the correct one from the list.
Write a Request to Close Your Account
Begin by drafting a letter stating which Fidelity account you intend to terminate. Provide them with accurate identifying information, such as the account number, the date the account was opened, your phone number, and the names of all the people listed on the account.
Mail Your Letter Using Certified Mail
It’s now time to send Fidelity your letter. Send the letter to them with a form of proof, such as certified mail. You can also request a signature if you require evidence of delivery.
Wait for Your Account Closure Confirmation
Finally, you must wait for Fidelity to confirm that your account has been closed. When your account is cancelled, there’s a chance you’ll be charged a fee. Don’t worry; you’ll receive a statement detailing the fee amount. Then, if there is any money remaining in your account at the time of the closure, Fidelity will issue you a payout.
Can you close an empty Roth IRA?
Individual retirement accounts (IRAs) allow you to contribute after-tax money in exchange for tax-free withdrawals in retirement. When you make contributions using income that has already been taxed, you will not be taxed again when you receive the cash. People who expect to pay a higher tax rate in their later years might consider Roths. You can terminate your Roth IRA at any moment, but the IRS discourages early withdrawals by imposing additional taxes and penalties.
Does Fidelity charge fees on Roth IRA?
*Asset allocation and diversification do not guarantee a profit or protect against a loss. Investing entails risk, including the possibility of loss.
- Fidelity’s Traditional, Roth, SEP, and Rollover IRAs have no setup fees and no annual fees. There may be a $50 account closure fee. Management, low balance, and short term trading fees may apply to fund investments held in your account, as specified in the offering documents. For details on trading commissions and transaction fees for all securities, see the Fidelity commission schedule (PDF).
- Trading options carries a high level of risk and is not suitable for all investors. Certain complicated options methods come with a higher level of risk. Please read Characteristics and Risks of Standardized Options before trading options. If applicable, supporting documentation for any claims will be provided upon request.
- Refer to the Brokerage Commission & Fee Schedule for retirement accounts for further information.
- If the five-year aging requirement has been reached and at least one of the following conditions has been met, a distribution from a Roth IRA is federally tax-free and penalty-free. You attain the age of 591/2, die, become disabled, or purchase an eligible first-time home.
- Investing in a money market fund could result in a loss of capital.
- Although the fund strives to keep your investment at $1.00 per share, it cannot promise that this will happen.
- The Federal Deposit Insurance Corporation or any other government entity does not insure or guarantee investments in the fund.
- The fund’s sponsor, Fidelity Investments and its affiliates, is under no legal responsibility to provide financial support to money market funds, and you should not expect the sponsor to do so at any time.
The sale of your shares in Fidelity’s government and U.S. Treasury money market funds will not be subject to a fee, and your ability to sell shares will not be temporarily restricted if the fund’s weekly liquid assets fall below 30% of its total assets due to market circumstances or other factors.
- The Cash Balance in the FDIC-insured deposit sweep is transferred to a program bank’s FDIC-insured interest-bearing account. SIPC does not cover deposits made at the program bank. The deposit is insured by the Federal Deposit Insurance Corporation (FDIC), but only to the extent that the FDIC’s insurance coverage limits are met. The aggregate limit is normally applied to all assets held by the account holder with the depository institution. During the account opening procedure, the program bank will be assigned to your account. See the current list of program banks that are eligible. Please see the FDIC Insured Deposit Sweep Program for further details (PDF)
Can you have 2 ROTH IRAs?
How many Roth IRAs do you have? The number of IRAs you can have is unrestricted. You can even have multiples of the same IRA kind, such as Roth IRAs, SEP IRAs, and regular IRAs. If you choose, you can split that money between IRA kinds in any given year.
Can I have 2 Fidelity accounts?
Having many Fidelity accounts for different persons living at the same address can result in a large amount of mail. To reduce the quantity of mail or email communications you get from us, you can merge all eligible accounts in a household onto one consolidated statement.
Does Fidelity charge inactivity fees?
Fidelity does not charge an inactivity fee, which is wonderful because it means your account will not be charged even if you are not trading for an extended period of time (months or years).
What happens to a Fidelity account when someone dies?
Designating a beneficiary or beneficiaries on a nonretirement account registers the account for transfer on death (TOD). A TOD registration for an individual account permits ownership of the account to be transferred to the selected beneficiary after your death.
What happens if I close out my Roth IRA?
You may incur income tax and a 10% penalty if you withdraw money from a Roth IRA. If you take an early distribution from a traditional IRA, whether it’s from your contributions or profits, you may be subject to income taxes and a 10% penalty. Early withdrawals are tax-free and penalty-free in some cases.
What is the penalty for closing a Roth IRA?
The penalty for withdrawing early is 10%. If your Roth IRA account is less than five years old and you remove earnings before reaching age 591/2, you will be subject to this penalty. (Because you’ve already paid taxes on your donations, you can withdraw them at any time without penalty.) It’s possible that you’ll have to pay taxes on your withdrawal. There are several exceptions to these restrictions that allow you to avoid paying taxes and penalties, such as if you utilize the funds to purchase your first house or if you become permanently incapacitated.
What is the 5 year rule for Roth IRA?
The Roth IRA is a special form of investment account that allows future retirees to earn tax-free income after they reach retirement age.
There are rules that govern who can contribute, how much money can be sheltered, and when those tax-free payouts can begin, just like there are laws that govern any retirement account and really, everything that has to do with the Internal Revenue Service (IRS). To simplify it, consider the following:
- The Roth IRA five-year rule states that you cannot withdraw earnings tax-free until you have contributed to a Roth IRA account for at least five years.
- Everyone who contributes to a Roth IRA, whether they’re 59 1/2 or 105 years old, is subject to this restriction.