Withdrawal is the act of removing or taking out funds from a bank account or financial plan. In banking, a withdrawal can involve cashing out from a savings or checking account through various methods, such as ATMs, checks, or electronic transfers. In the context of investments or retirement plans, withdrawals may have specific rules, often involving penalties or tax implications if taken before a certain age or without meeting particular conditions. Managing withdrawals wisely helps maintain financial stability and prevents unnecessary charges or penalties that could impact one’s financial standing.