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Bonuses – we all love them, it is exciting to see the broker suggesting 100% or 200% deposit bonuses and we cannot stop thinking of how much more money we can earn with our tradings with additional money. However, not many traders are aware what exactly are Forex deposit bonuses and what are the terms and conditions behind it. Before we will discuss Forex bonuses lets have a short overview of what Forex bonus is in general. Brokers offer a different kind of promotional bonuses to its potential customers, the idea is to make the best offering and persuade the customer to open an account with a particular broker. Some of the bonuses like Forex welcome bonuses are for the new customers of the broker, however, there are types of bonuses that are applied to the users that are already trading with the broker to keep them motivated and involved in FX trading.
Bonus on deposit is arguably the most popular welcome bonus Forex brokers have. The idea behind it is very simple to grab, the broker is offering a bonus when you open an account and make the first deposit. While for the no deposit bonus there is no need for the customer to make an initial deposit, for the deposit bonus it is needed, so why it is so popular? The reason is simple – with no deposit bonus, one can get a very limited amount of money as a bonus, while the bonus amount for the Forex deposit bonuses can be as high as $5000. Sounds great right?! So how can you get your bonus? and most importantly what are the best South African deposit bonuses and what do you need to know before applying for the bonus?
XM
Amount
from 20% to 50%
Software
MT4, MT5
Termination
Not Stated
Volume Requirement
Not Stated
OctaFX
Amount
from 10% to 50%
Software
MT4/MT5/cTrader
Termination
N/A
Volume Requirement
Bonus/2 lots
HotForex
Amount
100%, 30%
Software
MT4, MT5, WebTrader
Termination
Unlimited
Volume Requirement
How does deposit bonuses work?First things first, let us explain how does the deposit bonuses exactly work. While the bonuses and terms and conditions of getting the deposit bonus can be different depending on which broker you choose to open an account with, the general scheme of how bonuses work is the same for all. Once you open an account you need to make the initial deposit, it should be of course more than the minimum deposit and less than maximum, sometimes the amount of minimum and the maximum initial deposit is different for getting the bonus. When you make the deposit the broker will activate the bonus on your account automatically or upon your request, you can accept it or deny even if it is automatically added on your account. The amount of welcome deposit bonus can be varied with the different brokers. Usually, it is from $50 to $5000 depending on the initial deposit, with some brokers it can be the percentage of the deposit the customer makes.
As you can see getting a deposit bonus is very easy. It only takes you to open an account and deposit the funds, which you might have already done, so there is nothing new with it. However, with getting the deposit bonus some of the terms and conditions are applied that you need to be well aware of. First of all, you need to trade. Of course, no broker will give you any money just so, the deposit bonus should be used for trading and many of the brokers determine the minimum trading amount you need to fulfill before you are able to withdraw the money from your account. This is why it is very important to choose the best South African broker offering a deposit bonus and get to know the terms and conditions very carefully.
The biggest advantage of the Forex deposit bonus compared to the other welcome bonuses is, of course, the amount of it. While the no deposit bonus offerings are limited up to $50 mostly the deposit bonuses can be as high as $5000. It logically means that you can trade with more money and earn a bigger profit than you would be able to make with only your deposit or other bonuses. For example, if your initial deposit is $1000 and the deposit bonus applied is 30% of initial deposit you will get $300 added on your account and you can trade with $1300, meaning that the profits made will be higher.
However, sometimes the bigger is not better when we are talking about Forex trading. The more money you get as a bonus could mean that you have to make more tradings than you usually do, which can be stressful for the new traders as they might not be used to actively trading. Hence, the more money on your account could lead to more loses because one has to make more trades.
Another disadvantage is that with the Forex bonus on deposit you put your capital under the risk, which is not a case for the no deposit bonus. Let us explain with the example, trader X can get no deposit bonus of $50 and with only the bonus amount on his deposit he can trade without losing any of his money. If he will be successful with his traders, he will earn money, if he will make not successful trades – eventually, he will lose the money which was not from his own pocket. The case is different for the Y trader, he is trading with more money, however, the bonus he got is linked to his own money and if the trading will not go successfully for him, he will not only lose the bonus but his initial deposit money as well.
It does not mean that the Forex deposit bonus is bad for you and you should not get it, but it is important to know your capabilities. If you have experience of Forex trading and want to try trading with a particular broker, or simply want to increase the amount of money you want to trade with – deposit bonuses can be the best for you.
There are choices that must be made with the great care and choosing the best deposit bonus in South Africa is one of them. There are some of the things you need to consider when you decide to get the deposit bonus. Since the bonuses are promotional offerings to attract new customers, many of the scam brokers are offering them as well hoping to scam more and more people. This is why it is important to get the bonus from the best South African Forex brokers offering no deposit bonuses. Usually, when people see the high bonuses they get excited and do not pay much attention to the terms and conditions that are attached to the bonuses. Here are the most important things you need to consider when viewing the offerings of the brokers.
Requested amount of tradingEverything comes with the rules and the same goes for the deposit bonuses, but it is important to know the conditions if they are fair and possible to fulfill or are designed in a way that you will not be able to gain any profit from it. However, even if the conditions are fair and well designed you need to evaluate if it is possible for you, as a trader to fulfill the conditions. The first rule of the bonuses is that you need to trade, but with the deposit bonus, it is not up to you how much you will trade.
The brokers offering a welcome deposit bonus determine the needed amount of trading. For example, if you got $100 deposit bonus, you might need to make the tradings worth of $10,000 for every $1 given as a deposit bonus. Some brokers require fewer trades, some more. You need to decide which broker is requesting the achievable amount of trades based on your experience. Also, keep in mind if the trade amount is too high for you, you can simply claim the less deposit bonus.
Time is given for tradingThe requested amount of trading should be made in a certain period of time. Brokers add money on your initial deposit for you to be able to trade more, but you cannot leave the trading for some time and go back to it whenever you desire when you have the deposit bonus. Some of the brokers give traders over 180 days for trading with the bonus. Which is a reasonable time, some might give less than 90 – in this case, you need to be careful and ask yourself if you will be able to make the needed amount of trades in this short period of time. If the time given is too low – you might come across with the offering of a scam broker. Mostly the fraud brokerages offer high bonuses and give a short period of time to make sure that the customer will not be able to fulfil the terms and conditions of the deposit bonus and lose it alongside with the initial deposit. In case the amount of trades and time given is reasonable, but you still are not sure if you can make it or not – you can claim the less amount of deposit bonus.
Deposit bonus withdrawalUnarguably the withdrawal conditions are the most tricky when it comes to the bonuses and the scam brokers are using it very well. The best South African brokers have very well defined and clear deposit withdrawal conditions. When reading the terms and conditions, or the best Forex deposit bonus reviews make sure that the withdrawal conditions are written in a way that you can understand every aspect of it. What to pay attention to?
In any case, the withdrawal of the bonus is not possible and the profit made with the bonus cannot be withdrawn if you have not made a certain amount of trades.
However, the best brokers make it possible for you to withdraw part of your initial deposit, which results in the proportional decrease of the deposit bonus. If you see that the withdrawal conditions are designed in a way that it is impossible to meet the conditions or are not clear enough, you might want to stay away from this broker as it will be a scam and you will find yourself losing all the bonus and deposit money including the profits you have made.
the best way to get the best Forex deposit bonus available in South Africa is to find the best SA Forex broker. When you want to get any bonus deposit, it is always the best idea to choose the best broker, as you will be sure that you will not get involved in scam scheme and the deposit conditions will be fair and possible o meet. We advise you to read the reviews of the best South African brokers and its bonuses. The reviews will cover all the topics you need to know about the broker, its tracking records, how reliable are they and what are the conditions of getting the deposit bonus and withdrawing the profits made from it.
If you will consider this advice and spend some time on choosing the right broker with the right offering of the deposit bonus, you can no longer hesitate and apply for the best Forex deposit bonus in South Africa. If you are looking for the best brokers to trade with check the broker reviews on our page and stay informed about the best offering from most reliable South African brokers.
