Forex Cashback Deals

forex cashbackWhen many traders encounter the concepts of Forex cash back for the very first time, they are usually quite surprise about how it can substantially enhance their profitability. So, what exactly is Forex cash back and how can you exploit it to improve your trading experience? Essentially, numerous companies, such as those identified at the end of this article, earn a sizeable portion of the spread fees charged by Forex brokers. Consequently, if you then enroll with these firms, they will then pay you cash for every trade that you execute based on its spread value.

For example, envisage that Broker X has agreed to pay Company Y 25% of its spread costs for each client introduced. Now, imagine that you become a member of Company Y and it agrees to pay you 25% of the spread of each position you open. Consider that you open 100 trades with each one displaying a quoted spread of 5 pips. In addition, you wager the equivalent of £10 per pip.

As such, broker X would earn £5,000 form your total transactions. Company Y would then be paid £1,250 and would subsequently pass $312.50 onto you. Specifically, you would receive this amount irrespective of the results of your trades, whether you win or loss. As such, you should immediately appreciate the benefits of enrolling with a firm supporting Forex cash back as a means to reduce your trading costs and enhance your profitability.

How do you start receiving cash rebates?

  1. Your first step is to locate a reputable company offering Forex cash backs which you can readily do by undertaking an appropriate internet search. A full list of FX cash-back brokers is presented at the end of this article.
  2.  Next, you need to register with your selected company.
  3. You then need to study the broker comparison table displayed by that firm. Select one that you already have an active account with or open a new trading account with your preferred choice after investigating those itemized on the list.
  4. After you have clicked on your option, carefully follow the instructions listed by your cash back company so that you will start receiving payments from all your future Forex transactions.
  5. You will then need to advise your firm about your preferred payment option by visiting its appropriate webpage, i.e. do you want to be paid using PayPal or by bank wire, etc.
  6. Most cash back companies will compensate you once a month by paying a percentage of the transactions costs that you incurred during the previous trading period.

As the refund process varies dramatically among those companies operating Forex cash back, you should extend time and energy investigating the terms offered by each one in order to identify your best deal. Although this task may seem to be quite time-consuming, you must realize that it will be well worthwhile completing. This is because you will only need to perform it once and then you will be ready to constantly receive refunds for as long as your account remains active.

The Main Actions of Cash Back Companies

These firms will essentially pay you for each trade you activate if you select a Forex broker from their designated lists. Very importantly, you must appreciate that the spreads and fees quoted by your chosen Forex broker will certainly not be affected in any way whatsoever by your cash back activities.

You will normally receive a cash rebate once a month. You need to realize that over a period of time that these payments can amount to a sizeable sum of money that could make a substantially difference to your bottom line and to whether you record profits or losses. Cash back firms create partnerships with numerous leading financial brokers, which service not just Forex but also stocks, commodities and indices, etc.

How much can you earn?

You can collect as much as £1,000s per month or even higher. The exact size of your payment will primarily be influenced by three main factors.

  • The refund percentage of your selected broker.
  • The currency pairs you opt to trade
  • The size and volume of your trading

Each cash back company normally supplies a facility enabling you to precisely determine the size of your monthly payouts.

How and When will you be paid?

Most cash back companies will send your rebate by the 25th of the month at the very latest. You will be paid using the preferred method that you selected at enrollment.

How to Choose a Forex Broker

Cash back firms normally present a list of brokers on their websites that allow them to make refunds. However, although this feature is useful, you should still not utilize it as your primary criteria. This is because you should ideally create a trading environment that best matches your trading aspirations, preferred risk exposure, investment amount and favored leverage facility, etc. In addition you should also study each Forex broker of interest carefully in order to verify its reputation, client satisfaction and the reliability and effectiveness of its trading platform and tools, etc.

Full List of Cash Back Brokers in 2014:

A list of organizations that support Forex cash back is now presented in alphabetic order. The primary amount, which they pay for each fully completed transaction for a standard lot representing 100,000 currency units, is also displayed. In addition, as many of these firms promote different refunds per accounts on offer, you are well advised to study each one carefully in order to identify your optimum deal.

AAAFX Rebates

0.7 pips for each fully completed transaction per standard lot.

  • AFBFX Rebates

£6 for each fully completed transaction per standard lot.

Alpari UK Rebates

0.25 pips for each fully completed transaction per standard lot.

 AvaTrade (AVAFX) Rebates

0.70 pips for each fully completed transaction per standard lot.

  • AxiTrader Rebates

0.3 pips for each fully completed transaction per standard lot.

Dukascopy Rebates

40% of commission collected.

  • DeltaStock Rebates

0.7 pips for each fully completed transaction per standard lot.

Excel Markets Rebates

£2 for each fully completed transaction per standard lot.

FINFX Rebates

0.20 pips for each fully completed transaction per standard lot.

  • Forex.com

0.45 pips for each fully completed transaction per standard lot.

ForexTime Rebates

12.50% of the transaction spreads for standard accounts.

15% of commissions collected for ECN accounts.

  • Friedburg Direct Rebates
0.7 pips for each fully completed transaction per standard lot.  FXCBS Rebates

20% of commission collected.

FXCC Rebates

0.5 pips for each fully completed transaction per standard lot.

FXCM

0.70 pips for each fully completed transaction per standard lot.

FXDD

0.70 pips for each fully completed transaction per standard lot.

FxOpen Rebates

0.70 pips for each fully completed transaction per standard lot.

  • FxPrimus Rebates

0.5 pips for each fully completed transaction per standard lot.

  • FxPro

£2 for each fully completed transaction per standard lot for major currency pairs, such as USD/JPY, GBP/USD, EUR/USD and USD/CHF, etc.

£4 for each fully completed transaction per standard lot for minor and exotic currency pairs.

Gallant Capital Markets Rebates

0.40 pips for each fully completed transaction per standard lot.

HotForex Rebates

£2 for each fully completed transaction per standard lot.

IamFX Rebates

0.2 pips for each fully completed transaction per standard lot. 

IBFX Australia Rebates

0.5 pips for each fully completed transaction per standard lot.

  • InstaForex Rebates

1.3 pips for each fully completed transaction per standard lot.

  • IronFX Rebates

£3 for each fully completed transaction per standard lot for major currency pairs, such as USD/JPY, GBP/USD, EUR/USD and USD/CHF, etc.

£6 for each fully completed transaction per standard lot for minor and exotic currency pairs.

Liquid Markets Rebates

£3 for each fully completed transaction per standard lot.

Liteforex Rebate

1.6 pips for each fully completed transaction per standard lot.

Pepperstone Rebates

0.3 pips for each fully completed transaction per standard lot.

RoboForex Rebates

£3.20 for each fully completed transaction per standard lot.

ThinkForex Rebates

£3 for each fully completed transaction per standard lot.

Varengold Rebates

£1.5 for each fully completed transaction per standard lot.

Windsor Broker Rebates

£5 for each fully completed transaction per standard lot.

XM Rebates

0.50 pips for each fully completed transaction per standard lot.

YoutradeFX  Rebates

Up to £10 for each fully completed transaction per standard lot.

Adam

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Adam is an experienced financial trader who writes about Forex trading, binary options, technical analysis and more.

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