payment methods

Forex brokers – Payment methods – Deposits and withdrawals

As discussed in a previous article (How to choose the best Forex broker and CFD provider), one of the main factors for a trader to select a broker is the available payment methods for deposits and withdrawals the broker offers.

In this article, we will analyze the most common payment methods brokers use, describing advantages and disadvantages, like speed of transaction, fees applied, etc, for traders to consider carefully the parameters involved and take right and sensible decisions.

Payment methods can be separated into three (3) main categories: Bank transactions, Card payments and electronic wallet (e-Wallet, digital Wallet) transactions.

Bank transactions

Bank transactions are the most common payment method a broker offers to its clientele as an available payment option. This is understandable, since one of the first steps a company (forex broker) should take is to open a corporate bank account. In reality there should be a separation, and a company should have corporate bank account(s) and clients’ funds bank account(s) where all clients’ funds should be stored. In terms of bank wire transfer (deposit/withdrawal) traders should be aware that normally 2-5 business days are needed for a bank wire transaction to be completed. In addition, there are fees involved (from 10 to 50 EUR/USD) depending on the speed of the bank transaction completion or any intermediary banks involved. Lately, ‘same day’ banking transactions have been applied from several banks, having though some additional fees charged. Usually, brokers provide the necessary banking information, so clients can initiate a bank wire either directly from their bank or via an e-Banking application. Bank wire transfers are mostly used for big amount transfers, while it’s not that wise to be used for small amounts (e.g. 10-50 EUR/USD) due to the bank fees.

Credit/debit card transactions

The second most common payment method is credit/debit card transactions. Brokers sign financial agreements with other companies (Payment processors) who play the role of the ‘clearing house’ and who they can process Card payments. Traders should clarify with their broker(s) the type of Card which can be accepted for a payment to be processed. Most brokers accept both Visa and Mastercard cards, while American Express cards are not that commonly used due to regulatory restrictions. Lately, many card transactions are being processed from Prepaid Cards which considered to be safer from a client’s perspective. Traders can get prepaid Cards either from their bank or even from kiosks exchanging cash to get prepaid cards. This method is quite common for small amounts (e.g. 10-200 EUR/USD).

Digital wallets

Together with the explosion of the internet and social media, digital wallets also found a solid base to flourish. Lately, more and more electronic wallets and brands appear while a small financial revolution concerning start-ups handling every aspect of finance can be downloaded to mobile devices. Digital wallets are often platforms, software tools or electronic devices which can securely manage money online. Many brokers adopted e-Wallets and offer them as payment methods to their clients mostly due to the enhanced security they offer and the speed of transaction. Most e-Wallets nowadays offer instant payments and transactions.


The latest trend for electronic wallets and transactions is payments processed via cryptocurrencies. These payments can be processed via bitcoin, ethereum, or other alternative cryptocurrencies including stablecoins. Most crypto payments are being processed via cryptocurrency exchanges.

Traders should check with their broker the available payment options offered, the respective fees charged, while there are many brokers in the forex and gaming industry who are covering all payment fees involved. This could be a useful tool for marketing purposes to attract more clients, but payment fees should be calculated from the company to have a solid understanding of the total payment fees’ costs.

Traders should keep in mind that most forex brokers and especially the regulated ones, should follow specific Anti-Money Laundering (AML) procedures. A common example is that a broker should send the withdrawal funds (at least) up to the total deposit amount back to the same source (and method) which was used for the trading account funding. Profits can be sent to a trader via any other payment method he/she wishes, with the most common method to be bank wire or e-Wallets’ transfers.
Lastly, it is worth to mention that any transfer of funds or a payment procedure (either deposit or withdrawal) should be done via a secure web environment (SSL), and for this reason brokers advise traders to initiate any payment via their Members Area once they login to their trading account profile environment.

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