Deleting an Account at M1 Finance
If you have an Invest account with M1 Finance that you’re no longer using, it’s advisable to close the account to prevent unauthorized use. To close it correctly, keep reading.
First, Choose a Method
It’s possible to close an M1 Finance account by either liquidating everything in the account and then requesting closure or transferring the account to another brokerage firm. A full transfer will automatically close the account at M1 Finance.
There are advantages and disadvantages to both methods. The primary advantage of the transfer method is that holdings don’t have to be sold. The major disadvantage is that M1 Finance charges a $100 outgoing ACAT fee ($200 total for an IRA because of the additional $100 IRA termination fee).
Closing M1 Finance Account by ACAT Transfer
If you opt for the transfer method, the account will be moved out via the ACAT system to another brokerage firm. The process is pretty straightforward and typically takes about 5 to 7 business days.
The first step is to do some prep work. This includes opening a second brokerage account if you haven’t done so yet. This must be done at a brokerage firm that performs ACAT transfers, because that is the transfer system you will be using. The two accounts must be the same type (such as custodial or joint) and have the same name or names on them.
With the receiving account open, it’s important to get it ready. If you have a margin balance in the M1 Finance account you plan to move, you’ll need to add margin trading to the receiving account.
There’s not much to do inside the M1 Finance account. Although fractional shares can’t be transferred through the ACAT network, M1 will liquidate fractional shares to cash during a full transfer. The cash may show up in the new account a few days after the securities.
Now it’s time to submit the ACAT transfer request. This must be done with the incoming brokerage firm, so there’s nothing to submit on the M1 side of things. Most brokers today have online tools to submit a transfer request. It should take just a few minutes to complete the form. Be sure to request a full transfer and not a partial one, as a partial transfer won’t close the account.
A transfer through the ACAT electronic system typically takes about 5 to 7 business days. During that time, you may see your M1 account disappear first, followed by the assets appearing in the new account.
Because M1 Finance supports dollar-based fractional-share investing, your account may contain fractional shares. They can’t be moved through the ACAT network, so M1 will convert them to cash during a full transfer. The cash balance will typically follow the securities after the whole shares are transferred.
One final note is about cryptocurrencies. M1 Finance offers crypto trading through a separate Crypto Account. Crypto assets cannot be moved through the ACAT network. If you also want to move crypto out of M1, you can sell the positions and withdraw the cash or contact Bakkt Financial Solutions I, LLC to transfer crypto to an external wallet that you own and control. Bakkt charges a $150 fee for crypto transfers.
Broker Promotions
If you are moving your M1 Finance account to a different broker, make sure to check whether that
broker offers incentives for opening a new account »
M1 Finance Account Closeout with Liquidation
If M1’s $100 outgoing ACAT fee is too much for you, then you can skip the transfer and close the account directly with M1. This will avoid the outgoing ACAT fee, although an IRA is still subject to the $100 termination fee. Securities will have to be liquidated.
We do emphasize liquidation here. M1 Finance is a somewhat different type of broker. Because M1 executes customer orders during scheduled trading windows rather than immediately when an order is entered, the process for closing an account is somewhat different at M1.
Instead of selling first, what you need to do inside your M1 Finance account is initiate a withdrawal for the entire account value. Once you do this, M1 will liquidate the account during the next available trading window. After the trades settle, the available cash will automatically be sent to the brokerage account’s linked bank account.
If you have any recurring transfers or deposits in the M1 Finance account, be sure to turn these off as well.
With the account drained and automatic services turned off, it’s time to close it out.
You can request closure by using M1’s logged-in Messenger and typing “close account.”
If you need any further assistance, you can reach an M1 Finance associate by phone on weekdays at 312-600-2883.
M1 Finance Account Closure Fee
M1 Finance does not charge an account termination fee for non-IRA accounts. IRA accounts have a $100 termination fee.
M1 Finance ACAT Fee
M1 Finance’s outgoing account transfer fee (ACAT fee) is $100 for both partial and full account transfers.
Updated on 8/21/2026.
Chad Morris has been analyzing investment firms for Brokerage-Review.com since 2015. Backed by FINRA Series 65, 66, and SIE credentials, his work reflects a deep knowledge of the retail brokerage industry and digital trading tools.
|