A Forex Bonus Can be Very Tempting but are They Worth it? Read our Helpful Guide and Decide for Yourself
Forex bonuses can be very tempting there’s no denying it. After all, why would so many Forex brokers use them to attract new customers, as well as keep regular customers loyal to their brand. Type ‘the best Forex bonus’ into any search bar and you’ll be amazed with the number of hits. The problem comes when you’re trying to decide whether they’re worth it, or whether to pass them by. But don’t worry, because solving such a conundrum is just one of the reasons we’ve created this page. Another is to provide all of you with information so you are better placed to make the right decision. We’ll be looking at the subject of Forex bonus brokers, unravelling the mystery being the top Forex bonus offers, and giving you some tips on how to find them. So let’s get the ball rolling with a brief explanation.
|$ 5||$30 Non-Deposit Bonus||Review|
Online Forex bonuses – What are they?
The number of brokers offering attractive bonuses is on the increase almost daily. It’s not a new idea, as many other services have been using them for years. In the case of Forex bonuses, quite simply they are promotions and special offers given by a range of different brokers in order to attract new clients or retain those who have already opened trading accounts. There are a range of different ones available and often require very little in exchange from anyone accepting the offer. But we have to say a large number of them do come with a catch, which is often very hefty. They usually involve certain terms and conditions or rules which have to be followed if you want to take advantage of the bonus or make any kind of withdrawal. Always take the time to read these very carefully, even though you might find them boring, as it is easy to get caught out. If there is anything at all you don’t understand get in touch with the broker and ask them to explain in layman’s terms. Each Forex bonus broker will have their own set of bonuses and they are never transferable. They tend to fall into one of three categories.
This is a very popular bonus aimed solely at new customers. If you already have a trading account you are not eligible to apply and it is a once only offer. This particular category includes sign up bonuses, welcome bonuses and any other type of offer designed with the new customer in mind.
If you’ve already registered and opened an account with a broker you don’t need to feel left out as there are bonuses designed to keep you interested in a broker’s service. Regular bonuses include certain privileges and extras that aren’t usually available for new customers. As you would expect there are certain terms and conditions and these usually revolve around trading volumes and account balances.
Third party bonus
This type of bonus involves a third party and include such offers as the refer a friend bonus.
From this simple categorization we can now look at the various types of Forex bonus available.
Trading cash bonuses, free trades and prizes – A wealth of bonuses available
If you’re worried there won’t be a bonus to suit you then don’t be. There are so many different ones you’re bound to find one you like. Of course, we’re not going to tell you which one that is because the choice is a very personal thing. What we can do is give you all the pertinent facts, here and as part of our Forex broker reviews and then we’ll leave it up to you to decide. Our Forex reviews are also a great place to stay updated with the latest Forex bonus offers.
All the following types of bonus will be featured on a regular basis by a number of the top Forex brokers.
- Welcome bonus – As you would expect, this is a welcoming offer and either requires a new trader to make a deposit or requires no deposit at all. It is available when a trading account is opened for the first time and never repeated. It is usually the bonus that will be emblazoned across the broker’s website, but not all brokers offer one.
- No deposit bonus – This is also a welcome bonus, just with a different name. It is extremely popular for newcomers to Forex trading as it allows them to test the waters and see whether they like this form of investment, before risking any real money. Nothing is lost if a trader finds they don’t like Forex trading, but if they find they do then it makes a great start. Again, it will usually feature on the front page of a broker’s website and this is because its aim is to attract new customers. As you’d expect there is no need to place any funds into a trading account but you do have to be a new customer. Trading can get underway immediately, however, there will be some very sizeable conditions to meet if you want to withdraw any profits.
- Deposit bonus – This type of bonus requires a trader to make a payment and deposit funds into a trading account. Rather than being expressed as a certain amount of money it is usually a certain percentage of the initial deposit.
- Loyalty rewards – These are for the loyal customer, one who has already had an account and been trading for a certain length of time. They can vary considerably from broker to broker and could be one-on-one training, the services of a personal account manager, free trades, trading cash bonuses and a number of other offers.
- Refer a friend – If you know someone who is interested in Forex trading this can be a great bonus for you. For every friend you refer there will be a certain amount of trading cash put straight into your own trading account, and possibly even the referrals account as well. The bonus is only given when the referral has opened a trading account, made a deposit and started trading.
- Forex competitions – This type of offer hasn’t been around very long but its popularity is gaining momentum. And it isn’t just live account holders who get to participate as there are a number of demo contests as well. Prizes vary, but we have seen competitions giving away holidays, real cash, iPhones and even a car.
- Demo account – Not really a bonus as such, but it is something many traders give away for free. For beginners it is the perfect opportunity to try trading and see if they like it. While for more experienced traders it is great to use one when you’re considering changing your broker. You can test the waters and experience a broker’s service without risking any cash. You can even try out various strategies or new trading platforms or signals, before putting your own cash at risk.
These are the main types of bonus available but there are a number of others available. These include:
- Forecast bonuses – The closest prediction is the one that wins a prize
- Volume bonuses – These can be cash-back bonuses are are usually offered to high volume traders
- Draw bonuses – Names are picked out of a hat and the winner gets the prize
- Freebies – This type of bonus usually centers around educational material and includes eBooks, webinars, seminars, training videos, or free training courses.
- Rebates – These usually have very specific requirements and vary considerably from broker to broker
- Rewards – These can be cash bonuses that are only available to be used for trading purposes
So you thought there were only a few bonuses, and we don’t really blame you because welcome and no deposit bonuses are the one you see most. However, a number of Forex brokers have their own set of bonuses which are usually featured on an individual promotions page. Most don’t require a huge commitment but there are nearly always terms and conditions. You’re probably starting to wonder how you can find these top Forex bonuses. Let’s give you some tips to help.
Tips for finding the best Forex bonus
Our first tip will be to keep us as one of your favorites, because we’ll be featuring some of the best brokers in our reviews section, and will always take the time to mention any promotions. But there are a few others ways to keep yourself informed.
- If you’ve already got an account with a certain broker don’t just spend your time on the trading pages. Take some time to peruse a broker’s news section, blog posts and maybe join the forum if there is one.
- Use your favorite search engine and type ‘Forex bonus’ into the search bar and you’ll get thousands of hits. So many you’ll be completely spoilt for choice. The best advice on how to whittle them down to just a few is to consider only reputable and reliable brokers and to always, always, always read the terms and conditions.
- As well as our site there are a number of other Forex review sites you can visit. Most of them will have a section dedicated to Forex broker bonuses.
- Talk to other traders you might know and ask about their experiences.
- Sign up and register with a Forex forum, because there are always going to be other trader who are willing to share their experiences. You’ll get an understanding for some of the problems they may have experienced, learn how a particular bonus system works and how you can out the bonus to good use.
- With the help of a demo account try out different brokers and trading platforms.
Bonuses are great for newbies and experienced traders alike, They are definitely worth serious consideration. We always like to be fair to our readers by being totally honest and upfront about not just the benefits but the disadvantages too. So, before we finish we’ll look at the downside of Forex bonuses, because unfortunately there is one.
The downside of even the best Forex bonus
One thing that struck us when undertaking our research was the number of disgruntled customers there were who were having or who had had serious problems with Forex bonuses. More often than not, they featured issues with making a withdrawal. And is in fact, one area where many new traders get their fingers burnt. However, it is usually the case that they failed to read and understand the rules of the bonus and hadn’t met the requirements before requesting some of their funds. If there is a downside then the terms and conditions feature heavily. Which is why we will remind traders time and time again to make sure they read and understand them.