Engaging in Forex trading, every trader is forced to pay the spread. In the Forex market involves two prices – a buy price and a sell price. The difference between them is the spread. The spread is the main source of income for brokerage firms. But for many traders to pay do not like it. Spread will be charged at the moment of trade opening, so making a transaction to buy or sell currency trader in the beginning is always in the red.
This situation is often unnerving. It is especially unpleasant for those who prefer tactics focused on obtaining a small profit from each transaction. These traders spread takes a significant portion of income.
Is there a possibility not to pay the spread, or at least return part of it?
It turns out that such a possibility exists and is called the Forex rebate. Forex rebate – not that other, as the return spread. Comes from the English word rebate. The concept of a rebate is not only used in Forex market and means the return to the buyer of the services or products.
Now in the Internet there are many services which return traders part of the spread. The essence of the rebate service next. Who wants to try yourself in the Forex market registers for such service. Then the affiliate link goes to the website of the chosen broker. The brokerage company this client is assigned a partner network rebate service.
Further you are engaged in the manufacturing and the service receives the rebate from the brokerage company charges. Part of these deductions the rebate service shares with you. This is the return spread.
A reasonable question arises, what is the benefit of broker?
Working under this scheme, the dealing center, he’s a broker, getting new customers. Typically, to participate in such programs, the client is required to make a minimum trading volume. Thus, the brokerage company unobtrusive makes traders to engage in active trade. And all is well. The broker is more money, the rebate service receives your income, and the trader is satisfied the return of the spread.
The rebate services a great many. How to choose the one that will actually return the spread? Usually of the huge number, only 5-10% of the services provided rebate. Rest in practice – common fraud. Choosing the rebate service consider the following:
• Who are the brokers partner this service. If the majority of brokerage firms do you see untrusted and unknown, with this service it is better not to get involved.
• The size of the return spread. Brokers give services at most 70% of the spread, so when the rebate service assured about the 100% refund, then you obviously ran into scams.
• Service. The important role played by the quality of service and support. Pay attention to the site, what condition is it in, what are for the service methods of communication: phone, Skype, Live Chat.
When working with the rebate services, in addition to the positive point – spread return and thereby increase income, it also has its drawbacks. Often, these services are short-lived and have to look for a new one. And finding, you must re-open the trading account, which entails a significant inconvenience. Although a return to at least part of the spread is worth it. Even one additional point of profit for each trade significantly increase your income.
When confident and mnogoletnei trade, the amount of rebate amounts to very considerable sums, which sometimes even cover the total plus and minus. For example, if a trader spent the whole day dealing with variable profit and at the end of the day he gain by selling a volume of 50 lots, regardless of the quality of transactions: profit/loss, the trader will in any case receive from 50 to 150 USD depending on the currency pair You are dealing.
To date, many dealing centers there is already an automatic rebates. In some rebate shall be calculated and credited immediately, some once or twice a day at certain times, and thirdly once a month.
You will find a list a reliable dealing centers, that make payments of rebates in automatic mode: