Forex Rebate Brokers and their Programs

In forex trading, investors always seek to minimise trading costs as much as possible. This is why it is important to trade with a broker that offers low spreads and competitive commissions if any. However, some brokers go beyond just providing competitive spreads. Some brokers in the market offer forex rebates to their clients which gives them cash-back incentives when they trade.

It works by refunding traders a percentage of the spread or commission they pay to the broker. Partnering with a forex rebate broker can greatly help traders reduce their trading costs. In this article, we will look at some of the best forex rebate brokers in the market. Let’s begin.

Pepperstone

Pepperstone is renowned for offering low spreads and fast execution speeds. The broker also has a rebate program in place, providing cashback to customers who meet certain trading conditions. As part of the Active Trader program, this forex cash rebate is paid out every day and depends on the trading volume of a trader. The larger the trading volume of a trader, the higher the cash rebate they earn. 

The rebate a trader receives is determined by three tiers based on their trading volume. Tier 1 includes traders who trade over 100 standard lots per month, earning a 10% cash rebate per Forex lot. In contrast, Tier 2 is for clients trading between 200 and 500 standard lots monthly, qualifying for a 15% cash rebate per lot. Tier 3 applies to those trading over 500 standard lots in a month. Tier 3 traders are advised to contact their premium client manager for further details on the rebate structure.

The cash rebate a trader earns is paid out straight to their account the day after closing a position so that they can put it back to use immediately. To remain in this Active Trader program, clients must meet volume requirements over a 3-month period.

What Pepperstone Offers

Pepperstone offers a vast array of investment opportunities, with over 1,200 different market products available to traders. Specifically, Pepperstone clients can trade CFDs on forex, cryptocurrencies, indices, currency indices, commodities, and shares. The trading platforms available to use on this trading site include MT4, MT5, cTrader, TradingView, and the Pepperstone Trading Platform. 

The spreads associated with this broker are within market standards, starting from 1.0 pips for major currency pairs with no commission on the standard account. In contrast, the razor account offers spreads from 0.0 pips plus a commission that depends on the trading platform a trader uses. When using MetaTrader 4, MetaTrader 5, TradingView, and Pepperstone Trading Platform traders pay a commission of $3.5 per side per lot. Contrarily, cTrader users pay a slightly lower commission of $3 per side per lot.

Moreover, this broker is subject to the oversight of several leading financial regulators. These include the FCA in the UK, ASIC in Australia, CySEC in Cyprus, and BaFin in Germany, among others.

76.3% of retail CFD accounts lose money
Rebates subject to availability.

XTB

XTB is another broker that offers cashback to high-volume traders, but its availability depends on the client's country of residency. For starters, this program is not available for traders in the EU, the UK, and the UAE. For traders where this program is available, XTB offers cashback as part of their loyalty offer. To qualify, you must have a monthly trading volume of at least 15 lots. Notably, you need to contact your account manager who will set up your personalised discount program. Cashback is calculated at the end of each month for positions that have been closed within that month. Since each program is personalised to individual traders, each investor must find out what level they are eligible for on their own.

What XTB Offers

This broker boasts a broad range of CFDs across various asset classes. In total, there are over 5,400 different assets including CFDs on forex, commodities, cryptocurrencies, indices, stocks, and ETFs. XTB offers its proprietary xStation platform, which is renowned for its ease of use and advanced charting features.

Additionally, XTB provides some of the lowest spreads to its clients. Its standard account features tight spreads starting from 0.5 pips on major currency pairs, with no commission fees. XTB notably offers a swap-free account, which eliminates interest on overnight positions. The Swap-Free account is available with slightly higher spreads, starting from 0.7 pips.

Finally, this broker is subject to the oversight of reputable financial regulators, including the FCA (UK) and CySEC (Cyprus). It is also regulated by the FSC (Belize) and KNF (Poland).

74-76% of retail investor accounts lose money when trading CFDs with this provider.
Rebates subject to availability.

Forex.com

Forex.com is one of the most popular forex brokers in the market today. It has a presence in many countries and offers its traders cash-back rebates when they trade. For traders in the US, the forex rebate program is available only for VIP clients when they trade more than $50 million per calendar month. The rebate they earn will depend on their trading volume. For example, traders with trading volumes of between $50 million to $100 million earn a cashback rebate of $3 per million up to $300. To become a VIP on Forex.com traders need to have a monthly trade volume of $50 million and a daily available balance of $25,000. New traders are also required to make a minimum deposit of at least $10,000 to become VIPs.

In most other countries outside the US, the rebate program is one of the benefits of the Active Trader program. With this program, volume traders can earn cashback rebates depending on the trading volume and the asset. For example, traders with a trading volume between $10 million and $25 million can earn a cash rebate of $2 per million traded on forex. Both new and existing clients can earn rebates. But to qualify, new traders must fund their accounts with at least $10,000 or trade the minimum for each asset class in a calendar month. On the other hand, existing clients have to maintain a trading volume of at least $10 million or maintain an average account balance of at least $25,000.

What Forex.com Offers

There are many assets that investors can trade on this broker site. For traders in the US, forex, futures, and futures options are the only asset classes available to trade. In comparison, traders outside the US can trade CFDs on forex, stocks, indices, cryptocurrencies, commodities, and precious metals. The platforms available to use while trading include MT4, MT5, TradingView, and Forex.com Trader.

On another note, Forex.com provides some of the most competitive spreads in the market. The Standard account offers spreads starting as low as 0.8 pips, while the MetaTrader account begins at 1.0 pips. These two accounts do not charge a commission. In contrast, the Raw account features spreads starting from 0.0 pips but incurs a commission of $5 per $100,000 traded.

Lastly, Forex.com is regulated by a variety of financial regulators. These include the CFTC and NFA in the US, the FCA in the UK, the CySEC in Cyprus, and the ASIC in Australia, among others. Such regulations are part of the reason why Forex.com is among the best forex rebate brokers in the world.

74-76% of retail investor accounts lose money when trading CFDs with this provider.
Rebates subject to availability.

HFM

Another broker that offers its traders forex rebates is HFM. This broker offers rebates as part of the 100% supercharged deposit bonus program that is only available in South Africa and Kenya. With this, traders can enjoy daily rebates of $2 per lot, with a maximum of $8,000 per day. However, it's important to note that any withdrawals made from the account, including profits, rebates, and even deposits, will reduce the bonus amount on a 1:1 basis. 

What HFM Offers

With over 1,000 tradable instruments, HFM provides a comprehensive range of CFDs across various asset classes. These include CFDs on forex, metals, energies, indices, stocks, commodities, bonds, ETFs, and cryptocurrencies. This extensive range enables traders to diversify their portfolios based on their individual strategies. Furthermore, HFM offers a choice of trading platforms, including the popular MT4 and MT5, as well as its own HFM Platform.

On another note, HFM offers a range of account types tailored to different trader profiles. These include the Premium, Cent, Pro, Pro-Plus, Zero, and Top-up Bonus accounts. Premium and Cent accounts feature spreads starting from 1.2 pips for major currency pairs while the Top-up Bonus account has spreads from 1.4 pips. 

Lastly, the broker is regulated by several authorities, including the FCA in the UK, the CySEC in Cyprus, the FSCA in South Africa, and the CMA in Kenya, among others.

70% of retail investor accounts lose money when trading CFDs with this provider.
Rebates subject to availability.

FBS

FBS is a popular forex broker known for offering competitive trading conditions and a variety of services. One of its attractive features is the rebate program, which provides traders with cash-back incentives on their trades. FBS offers one of the highest rebate rates in the industry, with the potential to receive up to 90% of the spread. Rebates are typically paid out on a weekly basis, allowing traders to quickly benefit from their trading activity. The rate of the rebates is up to $9 per lot for the standard and the cent accounts. Positively, this rebate program is available on a variety of market products ensuring to accommodate a diverse set of traders. However, this rebate program is not available in all the regions that FBS operates in. It is only available for international traders trading on the FSC-regulated entity of the broker.

What FBS Offers

FBS offers a diverse range of trading instruments, encompassing forex, indices, metals, energies, stocks, and crypto. To cater to different trading preferences, FBS provides multiple trading platforms, including MT4, MT5, and mobile apps. Notably, FBS operates under the supervision of reputable financial regulators, including the CySEC, the ASIC, the FSCA and the FSC. Additionally, FBS provides some of the lowest spreads available in the market. The standard account features spreads starting at just 0.7 pips for major currency pairs, with no commission fees.

72.68% of retail CFD accounts lose money.
Rebates subject to availability.

Closing Remarks

Forex rebates can be a valuable tool for reducing trading costs by offering cashback incentives. These incentives allow traders to recoup a portion of their trading expenses. This article explored several top forex rebate brokers, highlighting their rebate structures, trading offerings, and regulations. Nonetheless, remember that rebate programs and terms can change over time. It's always advisable to verify the latest rebate information directly with the broker before opening an account. Moreover, always ensure that the rebate broker you choose aligns with your trading needs.