When they that money worth nearly 5 Trillion USD is traded in forex trading, a legitimate question pops up in the mind – Where is the money? How is this huge amount of money circulated around the globe when it is a very closely guarded commodity? And many of the people think that there is a secret track 2 for payments or a global money laundering scam involved in forex trading! Well, that is completely false!
Payments in forex trading are done through legitimate channels such as Credit Card, Bank Transfers, Payment Wallets, Cheques, and in some cases Cryptocurrency. And every time it is done in accordance with the local and international laws.
In fact, many forex brokers have depicted an increase in their business to the tune of 30%, when they allow the traders to make payments from multiple payment methods. So, here are the top payment methods which are a must for a forex broker in 2020!
5 best payment methods for forex trading in 2023
Credit Cards have become a very important link in the global payment networks. They give a sense of authenticity and convenience. Companies such as American Express, Mastercard, Visa, Citi Bank, Union Pay, etc. are the popular Credit Cards across the world.
Traders can make payments for forex trading they have done with any forex broker. If brokers don’t accept payments by Credit Cards, then they are likely to lose a lot of traders on from their platforms. The payment process is fairly simple, just like we do for any other CC transaction.
Bank Wire Transfer:
This is another emerging payment method across the world. With better access to the internet and increased security in the software, people are now doing bank wire transfer directly from their phones. People can also do bank wire transfer manually at their respective banks.
All the major banks offer wire transfer facilities today. Sometimes, when wire transfers are done from one country to another, it may attract scrutiny from investigative agencies though. But within a single country, this is a safe, fast and the best payment method.
Digital Payment Wallets:
Payment wallets such as Skrill, Neteller, Moneta, WebMoney, PayPal, PayU, PerfectMoney, FasaPay, etc. are very well reputed internationally and a lot of people use them regularly. Especially when payments are to be done overseas, these wallets offer better convenience compared to wire transfers.
This is an ideal payment method for the forex trader and the forex broker as well. With time, they have evolved to a very secure and simple platforms for financial transactions. If a broker is not accepting payments through wallets, it’s his loss!
This is the newest payment method that the world has seen in the recent years. Especially Bitcoin, Ethereum, Ripple, Union, Onepay, etc. are the most popular cryptocurrencies in the world. Though there are ambiguities in the world about their reliability and in many countries, they are termed illegal; they are popular nevertheless.
A broker might come across somebody who wants to pay through cryptocurrencies and it is for the broker to decide if he want to accept the payment od not! They come with a risk but they also come with potential gain in the future.
This is the oldest form of doing and accepting payments in the world. You can write someone a cheque and it is completely safe to accept a cheque for payments. Today, many people do not use this medium at all but it is still alive and kicking. In most cases, older people use this payment method and in the USA it is fairly common.
So, ideally a forex broker should be equipped to accept payments through cheques. Not accepting cheques means losing a little bit of the business.
As you can see, every dime that enters the forex trading is well-accounted for. They are all legitimate and secure payment methods. Today, a forex broker can not depend on only one payment method – CASH!
We need to expand our payment methods and allow traders to make payments from multiple different channels. Studies suggest that the brokers who accept payments using multiple methods, can increase their business by staggering 30%. So, ensure that you incorporate them in the payment module of your forex trading platform.
If you need any help with that, you can surely contact Pheasantech anytime. We wil upgrade your forex trading platform to include all the payment methods that you need.