A while ago, forex trading was limited to some folks and institutions. Reason being, it required significantly higher funds, but now things have changed with individuals investing to a minimum of $100. However, praise should be directed to the use of leverage.
You have an account, right? But, are you aware of the best ways to fund your account?
When buying shares, a ‘payin’ gets debited into your account, and when selling shares, a payout is credited. However, before buying, you first need to fund your trading account; it’s the starting point.
Some brokers may refuse to pay traders, and you don’t have to fall victim of those scenarios. Therefore, that’s why this article is best for you.
Forex Broker Funding Methods
One thing that makes forex trading even more attractive is the number of payment methods that are available for traders. The methods are all favorable for both deposits as well as withdrawal options.
These methods are placed in the following payment methods:
Offline Payment Methods
Offline methods are the traditional options, which are often involved when trading large sums of money into your account.
- Bank WIRE
- Western Union
- Local deposit
These methods are mostly expensive and will take you up to 5 days or even more for your funds to be in the account. Moreover, they have additional fees like bank transaction and currency exchange service fees.
But before making any significant transfer, ensure the broker is trusted. Offline payments come with a downside that whenever a scam happens, getting your funds back would be difficult.
eWallet Payment Options
Another category you can decide to apply is eWallet payment methods. The method is straightforward to use, has faster processing times, and it has lower transaction costs.
Therefore, this method sounds like the best shot (no wonder it’s overgrowing and getting popular).
The well-used methods in this category include;
eWallet can be described as the best option a trader can use because its methods like Skrill and PayPal protect from any possible scams. Also, there’re bonuses from most forex brokers once a trader deposits using the eWallet methods.
Another popular way of funding an account is via a debit or credit card. It’s the best as it’s more instant. But, it may not be appealing to you depending on your bank. The amount limit to deposit may differ with various banks.
Also, in cases of a broker being a scam, it’s easier to get a refund by merely a chargeback, but there’s a lot of explanation to do as well as some costs. However, it’s not a guarantee that you’ll get your money back.
Nevertheless, the best method of funding your trading account should always be safe to use, have cheaper transaction costs, and the processing times have to be quicker. The choice is for you to make, but for most traders, the eWallet is winning because it has all those attributes.