Most brokers will offer some form of cashback bonus when you first sign-up and make a deposit. With so many bonus offers available, it can be hard to find one that matches your trading style and requirements. Cashback bonuses are a great way to test out the features of a new online broker without risking your initial capital.
Some (particularly binary option brokers) often use attention grabbing promises of 100% bonuses, if you deposit above a certain amount. We explain some of the most common tricks and scams to avoid. And why we consider the Zentrader bonus and loyalty points system to be the most honest and straightforward for all new and active traders.
Cashback Bonus Terms & Conditions
Cashback bonuses and sign up incentives are the trading industry’s favored method for attracting new traders. Many new traders will choose a broker based purely upon the bonus offered. While the “no-deposit” or “100-200% cashback” bonus appear to be a great reason to select a broker, you have to wonder why would the broker be offering this?
It is essential you pay attention to the “Terms and Conditions” attached to any cashback bonus offer. There is no shortage of horror stories from new traders who have realised what is in the fine print after it is too late. A very common trick used is to tie the redemption of the cashback bonus to trade volume or turnover requirements. Forcing the client to trade. We have seen instances where the trader must trade the bonus amount + their deposit 50x (yes, 50 times) to be able to withdraw from their account. Until this requirement is met, even their original trading capital is locked up!
If your broker offers you a trading bonus that has a turnover requirement – be wary!
Zentrader Cashback Bonus
The Zentrader cashback bonus is a contrast to most other brokers in the industry. Simple, straightforward, but most importantly genuine. After a trader has received their cashback, the trader’s cashback balance is used first so their trading capital balance is not impacted. The only requirement is that the cashback amount must be traded once. On winning trades the trader receives the cashback amount and also the profit made on those trades.
All new traders automatically receive a $50 welcome bonus from Zentrader to be used against their initial trades.
Zentrader VIP Cashback
In addition to the welcome bonus cashback, the VIP cashback or Zentrader Rewards program is a system that rewards active traders. Win or lose, you are rewarded each month for volume traded. It operates in a similar way to rebate programs major forex brokers or Introducing Brokers offer their clients.
If you want to focus purely on trading markets and still receive bonuses, the Zentrader bonus is the very best on offer, particularly if you are very active or trade very large size.