Merrill Edge Does Not Offer a Checking Account
Merrill Edge is an investment brokerage platform, not a bank, so it does not offer a traditional checking account with a debit card and check-writing privileges. Merrill Edge is owned by Bank of America and focuses on stock trading, mutual funds, bonds, and other investments. If you want a checking account tied to your investments, you would need to open one through Bank of America itself or use a different financial institution.
Merrill Edge does offer a cash management account that holds uninvested money, but this is not the same as a checking account. The cash account earns interest and lets you move money in and out, but you cannot write checks or use a debit card directly from it.
Key Takeaways
- Merrill Edge is a brokerage platform for investing, not a bank that offers checking accounts.
- You can hold cash in a Merrill Edge account, but you cannot write checks or get a debit card for that cash.
- If you want both checking and investing in one place, Bank of America (Merrill Edge's parent company) offers checking accounts that link to your investments.
- Money in a Merrill Edge cash account earns interest and can be moved to your linked bank account or used to buy investments.
How Cash Works in a Merrill Edge Account
When you deposit money into Merrill Edge, it goes into a cash settlement account. This money sits there until you decide to invest it or withdraw it. The cash earns interest, though the rate varies based on market conditions and Merrill Edge's current offerings.
You can move cash out of Merrill Edge to a linked bank account, usually within one to three business days. You can also use the cash to buy stocks, funds, or bonds directly through the platform. But you cannot spend that cash with a debit card or write a check against it—those are checking account features that Merrill Edge does not provide.
Linking Merrill Edge to a Bank of America Checking Account
Many Merrill Edge users also hold a Bank of America checking account. The two accounts link together, so you can move money between them easily. This setup lets you keep your checking separate from your investing, which some people prefer for organization and budgeting.
If you want a single account that combines checking and investing features, Bank of America offers Merrill Edge+ accounts that bundle a checking account with investment access. These accounts come with a debit card, check-writing, and the ability to trade investments from the same login. The checking portion works like a standard bank account, while the investment portion works like Merrill Edge.
What You Can Do With Merrill Edge Cash
Your uninvested cash in Merrill Edge serves specific purposes. You can use it to cover the cost of buying stocks or funds without having to transfer money in from another bank first. If you sell an investment, the proceeds land in your cash account, where they sit until you reinvest or withdraw them.
You can also set up automatic transfers between your Merrill Edge cash account and a linked bank account. This makes it easy to move money out when you need it for everyday expenses, or to move money in when you want to invest.
Alternatives If You Need Both Checking and Investing
If you want a true checking account with investment options, you have several paths. Bank of America's Merrill Edge+ combines both in one account. You could also open a checking account at any bank and keep a separate Merrill Edge investment account—this is common and works well for people who like to keep their money organized in different places.
Some online banks and brokerages offer hybrid accounts that blur the line between checking and investing, though these are less common. The trade-off is usually that hybrid accounts have higher minimum balances or different fee structures than traditional checking accounts.
Fees and Minimums for Merrill Edge Accounts
Merrill Edge does not charge a monthly account fee for holding cash. However, trading stocks and funds may carry commissions or spreads depending on what you buy. The cash in your account earns interest, so you are not paying to hold uninvested money.
If you open a Bank of America checking account to pair with Merrill Edge, that checking account may have a monthly fee unless you meet certain balance or deposit requirements. Check with Bank of America directly for current checking account terms, as these change periodically.
Frequently Asked Questions
Can I use a debit card with my Merrill Edge cash account?
No. Merrill Edge does not issue a debit card for your cash account. If you need a debit card, you would need to open a Bank of America checking account or use a different bank.
How do I get money out of Merrill Edge if I do not have a checking account?
You can transfer cash from Merrill Edge to any linked bank account, including savings accounts or money market accounts at other banks. The transfer usually takes one to three business days. You can also write a check from a Bank of America account if you open one.
Is my cash safe in a Merrill Edge account?
Cash held in a Merrill Edge account is protected by FDIC insurance up to $250,000 per account holder, per bank. Merrill Edge is part of Bank of America, so your cash is insured the same way a Bank of America checking account would be.
Can I write checks from Merrill Edge?
No. Merrill Edge does not offer check-writing. If you need to write checks, open a Bank of America checking account or use a different bank that offers checking services.
What happens to my cash if I do not invest it?
Your cash stays in your Merrill Edge account and earns interest. There is no penalty for holding cash instead of investing it. You can leave it there as long as you want, or transfer it out whenever you need it.