There are several ways to deposit and withdraw money from an online broker, whether for Forex or CFDs. To credit or debit a broker's trading account, you can use your credit card, make a bank transfer, or even use an electronic wallet such as PayPal. It is often clearly indicated on the online broker’s site which are the payment options and the potential conditions and commissions.
How PayPal works
Using PayPal for your online investments has many advantages. PayPal is a secure platform that works around the world. It is recognized around the world for its safe and secure transactions. With PayPal, it is possible to send or withdraw money to your trading account without having to disclose your bank information, which is very convenient. In addition, the PayPal service is completely free.
Compared to a trading account, it is possible to link a bank account to PayPal. PayPal will take the money directly from the bank account but without disclosing the trader’s bank details when paying with this payment method. In addition, using PayPal does not slow down transaction speeds. It is even remarkable compared to other means of online payment. With this solution, users can recover their funds instantly once the transaction is confirmed. PayPal is also useful for trading accounts but can also be used for many daily purchases made online, since you can perform any transaction simply by logging in with your username and password.
It should be noted however that PayPal may have some minor disadvantages. Indeed, if PayPal is an effective solution to invest money on the Forex, it must still take into account the rules of each online broker and determine transaction costs. Sometimes, they are slightly more expensive with PayPal than with other systems, so the minimum or maximum amounts authorized transactions may vary.
Forex brokers who offer to pay through PayPal
The PayPal payment system has grown steadily in recent years. However, the system is not yet very developed in European countries, and only some big names in online Forex offer to use it for trading. However, more and more online brokers should accept it in the short or medium term. Among those who already accept it are:
- FX Pro: offers low margins and powerful analysis tools
- eToro: known for its social trading system of which it was a precursor
- XTB: offers trading platforms tailored to all trader profiles and does not charge brokerage fees on the first 5 monthly orders
For other online brokers such as Admiral Markets, JFD Brokers or ActivTrades, which have not yet integrated PayPal into their payment systems, you have to go through other payment, transfer or credit card payment solutions. In any case, it is important to check that the online broker is regulated by the FCA and that the terms of payment are well explained before opening an account to trade and deposit money on it.
