How do Forex rebates work?
How we provide our service and how Forex
rebates work in general are all topics discussed in our
On this page we would like to take a more practical view of how
rebates work and what you can expect during the signup process and
until you begin receiving cash rebates.
The signup procedure
for a RebateMyPips account is easy, fast, secure and most
sign up you need to click the "Register" link, located on the top
of each page. You will then be transferred to the signup page,
where you will be asked for some basic account information needed
in order to allow us to open an account for you. Once you have
submitted the registration form, you will be sent a confirmation
email. The confirmation email contains an activation link. You will
not be able to use your account until you activate it via the link
enclosed in the email. After activation you have two basic options:
either create a new account with one of our select brokers or
activate an existing account with one of our brokers. Both options
are done through the activation form on the broker's page.
If you are looking to open a new account with one of our brokers,
you can refer to the broker comparison
table, to help you select the right broker for you.
Once you activate an account you will receive a confirmation
email. Once the account has been activated and approved for
cash back by both RebateMyPips and the broker, you
will receive a final confirmation email. You will begin receiving
rebates one month after receiving the second email, although the
rebate itself will be accumulated from the time of the initial
activation. In order to be able to receive your Forex
rebates, it is important to choose a payment method using
the form in your user profile page. If you
don't choose a payment method, we can't pay you.
In order to illustrate how our service works we will
outline a short case study. We are sure that after reading this
case study you will have a much better understanding of how
Forex rebates work.
Our case study begins with John. John is new to Forex trading
and is taking his first steps in this world through RebateMyPips.
He begins by signing up for a free account
using our registration page. After
registration and activation he checks out the broker comparison table in order
to select an appropriate broker for his needs. After selecting a
broker, John continued to the broker's page. After reading the
information about the broker John decides that this is in fact the
broker he would like to trade with. John clicks the "Open live
account" button and follows the instructions on the broker's
registration page. Once the account with the broker is created,
John goes back to the broker's page on RebateMyPips and activates
his account using the activation form. Once the account has been
activated John goes to his profile page and sets his preferred
payment method. John begins trading with his new broker account and
a month later receives a nice payment from RebateMyPips.
How much will John earn?
John is a small trader. He trades in small lots and never
invests a lot of money is a specific position. John is trading
through a broker which, through RebateMyPips, rebates 1 pip for
each round-turn-lot traded.
John opens a position in the EUR/USD currency pair for 500$,
which through 1:200 leverage give him 100,000 units (or 1 Lot). The
spread (buy sell) for this trade is 3 pips per lot. Since John is
trading 1 lot, he will pay 3 pips or for this currency pair,
or 30$ of commission, to the broker. Because he signed up with his
broker through RebateMyPips he will get 1 pip back (equal to
10$!). For each such position John opens and closes, he will get a
33% rebate on all of his trading commissions.
For example last month john traded on the EUR/USD currency pair
a volume of 10 lots (after laverage) and the spread on EUR/USD is 3
pips. RebateMyPips offers a rebate of 1 pip per round turn lot with
his chosen broker.
how much John pay to the broker?
10(lots)*100000(=1 lot)*0.0003(3 pips spread)= 300$
How much John will get from RebateMyPips?
10(lots)*100000(=1 lot)*0.0001(1 pips rebate)=100$
After this short case study we hope you understand the process
and practice of our rebate system and we are also sure you
understand why we say we are "The logical choice for
If you have any further questions, you are welcome to contact
us. Once again, thank you for selecting RebateMyPips as your
premier trading rebates provider!