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Managing Funding and Connected Accounts at Betterment

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Funding vs. Connected Accounts

Betterment allows you to link funding accounts and connected accounts, but these serve different purposes:

  • Funding accounts: External bank accounts used to deposit, withdraw, and transfer money to and from Betterment.
  • Connected accounts: External financial accounts (such as checking, savings, investment, and retirement accounts) linked to Betterment for a holistic view of your finances. Connected accounts do not move money but help Betterment factor your full financial picture into its advice.


Instant vs. Manual Connections

Betterment offers two ways to link external accounts:

Instant Connection (Recommended)

  • Uses Plaid, a secure third-party service, to link accounts in real-time.
  • Requires logging into your financial institution using your online banking credentials.
  • Provides faster access and automatic syncing of account balances and transactions.
  • Recommended for funding accounts and connected accounts where supported.

Manual Connection

  • Requires entering your account number and routing number (for funding accounts) or manually inputting account details and balances (for connected accounts).
  • Funding accounts linked manually require verification via microdeposits—two small test deposits sent to your account, which must be confirmed in Betterment before the account is fully linked. This process takes 1-2 business days.
  • Connected accounts linked manually do not update automatically—you must update balances manually over time.
  • Manual connecting is not available for linking funding accounts to Betterment Checking.


How to Link a Funding Account Instantly

On a Web Browser

  1. Log in to your Betterment account.
  2. Go to Settings > Funding Accounts.
  3. Click Connect a Funding Account.
  4. Verify your identity when prompted.
  5. Choose to add an existing account or connect a new institution.
  6. Select Connect Instantly.
  7. Search for your bank by name and log in using your bank credentials.
  8. Select the account you’d like to use as your funding account.

On the Mobile App

  1. Open the Betterment app and log in.
  2. Tap Menu (☰) > Settings > Funding Accounts.
  3. Tap Add a bank account.
  4. Verify your identity when prompted.
  5. Choose to add an existing account or connect a new institution.
  6. Select Connect Instantly.
  7. Search for your bank by name and log in using your bank credentials.
  8. Select the account you’d like to use as your funding account.


How to Link a Funding Account Manually 

Please note: manual linking (using account and routing number) is not available for Betterment Checking funding accounts.

On a Web Browser

  1. Log in to your Betterment account.
  2. Navigate to Settings > Funding Accounts.
  3. Click Connect a Funding Account.
  4. Verify your identity when prompted.
  5. Choose to connect a new institution.
  6. Select Connect manually instead (1-2 business days)
  7. Enter your account number and routing number for a checking or savings account.
  8. Check your external bank account in 1-2 business days for two small microdeposits.
  9. Once the deposits appear, return to Betterment and enter the deposit amounts to verify your account.

On the Mobile App

  1. Open the Betterment app and log in.
  2. Tap Menu (☰) > Settings > Funding Accounts.
  3. Tap Add a bank account.
  4. Verify your identity when prompted.
  5. Choose to connect a new institution.
  6. Select Connect manually instead (1-2 business days)
  7. Enter your account number and routing number for a checking or savings account.
  8. Check your external bank account in 1-2 business days for two small microdeposits.
  9. Once the deposits appear, return to Betterment and enter the deposit amounts to verify your account.


Adding an Existing Connected Account as a Funding Account

If you previously linked an external bank account as a Connected Account, you can upgrade it to a Funding Account to enable deposits and withdrawals.

On a Web Browser

  1. Log in to your Betterment account.
  2. Go to Settings > Funding Accounts.
  3. Click Add a Funding Account.
  4. Select from the list of eligible Connected Accounts that can be used as a funding account.
  5. Follow the prompts to complete the process.

On the Mobile App

  1. Open the Betterment app and log in.
  2. Tap Menu (☰) > Settings > Funding Accounts.
  3. Tap Add a Bank Account.
  4. Select from the list of eligible Connected Accounts that can be converted to a Funding Account.
  5. Follow the prompts to complete the process.

Note: Not all Connected Accounts are eligible to be used as Funding Accounts. If your bank does not appear in the list when adding a funding account, it is not an eligible funding source (ie. a checking or savings account).


How to Link a Connected Account Instantly

On a Web Browser

  1. Log in to your Betterment account.
  2. Navigate to Settings > Connected Accounts.
  3. Select Connect New > Connect Instantly.
  4. Search for your financial institution and log in using your credentials.
  5. Select the account(s) you’d like to connect for financial tracking.

On the Mobile App

  1. Open the Betterment app and log in.
  2. Tap Menu (☰) > Settings > Connected Accounts.
  3. Tap + and choose Connect Instantly.
  4. Search for your financial institution and login using your credentials.
  5. Select the account(s) you’d like to connect for financial tracking.


How to Link a Connected Account Manually

On a Web Browser

  1. Log in to your Betterment account.
  2. Navigate to Settings > Connected Accounts.
  3. Select Connect New > Connect Manually Instead.
  4. Provide the account name, balance, and other requested details.

On the Mobile App

  1. Open the Betterment app and log in.
  2. Tap Menu (☰) > Settings > Connected Accounts.
  3. Tap + and choose Connect Manually Instead.
  4. Provide the account name, balance, and other requested details.


How to Confirm Microdeposits

If you linked your funding account manually using your account and routing number, you'll need to verify microdeposits before you can use the account for transactions.

On a Web Browser

  1. Log in to your Betterment account.
  2. Navigate to Settings > Funding Accounts.
  3. Locate the pending account that requires verification.
  4. Enter the two small deposit amounts that were sent to your external bank account.
  5. Click Confirm to complete the verification process.

On the Mobile App

  1. Open the Betterment app and log in.
  2. Tap Menu (☰) > Settings > Funding Accounts.
  3. Locate the pending account that requires verification.
  4. Enter the two small deposit amounts that were sent to your external bank account.
  5. Tap Confirm to complete the verification process.

Important Notes:

  • Microdeposits typically appear in your external bank account within 1-2 business days.
  • If the deposits do not appear, check with your bank or ensure you entered the correct account details.
  • If you believe you are entering the correct deposit amounts but they are not being accepted, contact Betterment Support for further assistance.  
  • If you do not verify the microdeposits within the required timeframe, you may need to restart the linking process.


Disclosures & Data Privacy For Linked Accounts

When instantly connecting with Plaid, Betterment does not store your login information and will never share your synced data. We never sell, rent, or trade your information without your approval. See our privacy policy for more information.

Linking to a financial institution creates a secure, read-only connection with your firm through our data partner, Plaid. Doing so will allow Betterment to receive and analyze transactional data from your connected account to provide you with financial advice or to recommend additional Betterment products and services to you. Betterment cannot guarantee the accuracy of the information that it receives about your connected accounts, and any errors in that data may affect the accuracy of our advice. For purposes of goal projections, Betterment does not consider fee or account type information received from Plaid, and instead applies its fee assumptions, which are described in the goal projection and advice disclosure. Betterment also generally assumes that any connected account linked to a Betterment Goal has the same allocation as that Goal. Cash and crypto accounts are projected as a static balance based on currently available account information.