Forex Brokers Bonuses, can You Really Withdraw them?
- Thread starter Robert
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Ummm, Robert, your calculations of how often you'll have to trade the bonus in order to be able to withdraw it are incorrect (you forgot to include leverage) ... but at least making a new post for each 'calculation' helped your post count. 😀
Personally I would never do business with a broker who offers any kind of deposit bonus.
A good broker doesn't need tactics like those to lure new customers.
The idea behind offering a bonus is to make people overtrade, so that they will lose not only the bonus money, but their initial (and maybe subsequent) deposits as well.
Cheers,
P.
Personally I would never do business with a broker who offers any kind of deposit bonus.
A good broker doesn't need tactics like those to lure new customers.
The idea behind offering a bonus is to make people overtrade, so that they will lose not only the bonus money, but their initial (and maybe subsequent) deposits as well.
Cheers,
P.
I will have to strongly disagree. A broker has no use for a client who loses an account and can't trade anymore. The more you trade, the better for them so they do not want you to lose your capital.
Yes, there are plenty of bucketshops but there are also plenty of great brokers who offer great bonuses in order to boost your trading activity. A client who blows their account is not good for a broker. I would not generalize they way you do, but it can be challenging to separate the good from the bad.
Yes, of course more trades are better for brokers ... but there are enough new traders getting into forex every day to keep up the flow.
In addition, that's what brokers have invented deposit boni for: so once the initial deposit is gone, they entice people to make another deposit, with another bonus.
Everybody has to decide for him/herself ... that's why I wrote 'Personally I'd never to business with a broker who offers boni'.
Cheers,
P.
Yep ... same goes for the ToS or any other document you have to click as 'read and accepted'.
It's damn tedious reading 20-30 pages of 'lawyerese', but it can save you a world of grief later on.
In regards to boni, I think it's even more important not to be tempted to overtrade, only to meet the minimum lot volume required to withdraw at least profits from the bonus.
What's the point of risking 200 or 500 bucks, to be permitted to withdraw a fraction of that in bonus-related profit?
Cheers,
P.
It's damn tedious reading 20-30 pages of 'lawyerese', but it can save you a world of grief later on.
In regards to boni, I think it's even more important not to be tempted to overtrade, only to meet the minimum lot volume required to withdraw at least profits from the bonus.
What's the point of risking 200 or 500 bucks, to be permitted to withdraw a fraction of that in bonus-related profit?
Cheers,
P.
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Fair enough, you hate a deposit bonus and you stay away from them. In general your assumption wrong that brokers want you to over-trade and lose your money. I am not saying that there are no bucket shops out there who want that, but there are plenty of really good brokers who offer great bonuses as a thank you for your deposit.
Most new traders will not bother with a second deposit after they blow up their account and those who use a bonus to over-trade should not be on the market to start with. All I know that any trader who blows up their account is worthless to a broker.
I’ve trading with accentforex from 2011. I really like the constant availability of bonuses and contests. Most of all last one - New Year 40% cash bonus. It really worked and withdrawal rather quickly. It was very important thing for me that executions without slippage.
The way I see it is bonuses are unhealthy for the trader.
- It encourage people to join brokers they wouldn't under any other circumstances
- Encourages over-trading
- Makes them greedy
I admit that with some very clever trading and a full understanding of the T's & C's that some do get to withdraw their bonus as cash - but the people capable of doing such things shouldn't be wasting their time on 'trading coupons' and just concentrate on being damned good traders!
- It encourage people to join brokers they wouldn't under any other circumstances
- Encourages over-trading
- Makes them greedy
I admit that with some very clever trading and a full understanding of the T's & C's that some do get to withdraw their bonus as cash - but the people capable of doing such things shouldn't be wasting their time on 'trading coupons' and just concentrate on being damned good traders!
I agree with your ideas. Broker uses bonus money for encouraging trader to trade more (overtrade).
I wonder some brokers are offering big bonus money 50-100%, so if trader can use it as a good money to trade high leverage and take more profit. Is there any thing bad for broker?
I wonder some brokers are offering big bonus money 50-100%, so if trader can use it as a good money to trade high leverage and take more profit. Is there any thing bad for broker?
The big bonuses are there to entice people to open accounts and/or switch broker. The fact is you will be paying for your own bonus via the spread anyway.
Larger bonus = Larger trading requirement/volume
Larger volume = more profit for broker
Until you have met the trading requirements, the money is not yours. You can lose your own money trying to get to the bonus.
It's also a way of making you stay with them - I have trader friends who have openly admitted they traded with a brokers they don't like just to 'get their hands on the cash' which is ironic because they're losing their own money in doing so.
My general rule of thumb - the larger the bonus, the more suspicous I am of the broker.
Focus on becoming a profitable trader, with your own money. It's healthier.
Thanks for your explain, it's clear. And through your explaination, I know bonus money helps us stay with broker, and if trader is good, they can use bonus money to make more profit. But if not, they wouldn't have anything from bonus money, even get into overtrade.
There are always going to be criteria for withdrawing bonuses. I use Profiforex and to withdraw bonus you have to meet the following conditions; The client should be willing to trade and for each $10 of the bonus should open one standard lot position. For example, if you received $20 bonus you should have made minimum two deals of one standard lot (each of them) in order to be able to withdraw the bonus.
Also, the bonus amount can be transferred from one account to another. These conditions are completely acceptable compared to what I have seen on other brokers.
I've successfully withdrawn bonuses from Real Trade within the last several years.
P.S. In honor of its 10th anniversary celebration, Real Trade runs a photo contest "Draw, gather or build the "Real Trade" logo with materials you have on hand and win $100!".
Photo contest period: June 1 to July 15, 2013 (inclusive).
P.S. In honor of its 10th anniversary celebration, Real Trade runs a photo contest "Draw, gather or build the "Real Trade" logo with materials you have on hand and win $100!".
Photo contest period: June 1 to July 15, 2013 (inclusive).
Guys, if the bonus is offered with trading power and crazy restictions, it offers no value and the broker is a market maker, something i cant trade with! some might argue that the ability to use the bonus in periods of draw down is an advantage, but i don't want my money to be tied up with any broker.
On the other hand, if the bonus offered doesn't have restrictions and it gives me extra cash value, why not? I think that each of us has different requirements,but for me, as I mentioned previously, my brokers bonus and rebates are real cash and suit me to generate extra cash in my balance. I can claim when if my equity is getting low so it gives me a cash boost when I want it. As you can see, I have factored into my strategy 🙂
On the other hand, if the bonus offered doesn't have restrictions and it gives me extra cash value, why not? I think that each of us has different requirements,but for me, as I mentioned previously, my brokers bonus and rebates are real cash and suit me to generate extra cash in my balance. I can claim when if my equity is getting low so it gives me a cash boost when I want it. As you can see, I have factored into my strategy 🙂
You could be wrong as regards your discriminatory perspective of unregulated broker. In true words, am not obsessed with unregulated brokers but I know a friend who works with them, they offered bonuses like the no deposit, cashbacks and rebates which so far he has withdrawn. He trades with AGEA.While unregulated, AGEA strives to adhere as strictly as possible to the standard laid out in MiFID. It seems that the no deposit bonus at AGEA is very easy to withdraw as long as you present the necessary documents and a number of people have reported that they have successfully withdrawn their bonus and profits made from the bonus. Try wash yourself off this bias with due researches.
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