Best Forex Deposit Bonus And No Deposit Bonus In 2022

Bonus Comparison (2022 Updated)

What is A Forex No Deposit Bonus?

Simply said – A Forex No Deposit Bonus is a tradable bonus in the real forex live account offered by forex brokers to forex traders who are just starting out in the trade without requiring any new deposit.

Free bonuses are a great way for traders to learn their way around the Forex market including the emotions and pressure related to trading with real money. No deposit requires bonuses are a great option to start trading without the risk of losing money.

What Is A Forex Welcome Bonus?

Traders must first make sure that they fully understand what exactly the forex no deposit bonus is. The forex no deposit bonus does not require traders to make any deposit before receiving it, a one-time offer mostly offered as a ‘welcome’ for signing up with a specific broker. There are many regulated brokers who do offer no deposit bonuses, sometimes referred to as a “welcome bonus”.

Note: A “Welcome bonus” is a term used by forex brokers to describe a forex bonus, and it can both represent deposit bonus offers and no deposit bonus offers.

While traders should never think of forex no deposit bonus as free capital to just play around with, it is meant as a way for traders who are new to the forex world to practice making trades.

What Can A Trader Benefit From Using A No Deposit Bonus?

There are many ways a trader can benefit from using a Forex No Deposit Bonus since it is a great incentive for traders to open a live account. There are three main benefits when it comes to a No Deposit Bonus for traders.

1. They would have the opportunity and the chance to experience a Forex broker’s platform. This gives them the option to understand the structure and the inner-working of a Forex broker.
2. The second benefit traders will get from using a Forex No Deposit Bonus is that they can apply their trading skills to the test in real-time and conditions. By putting their trading skills and implementing them in real-time and conditions, they are honing and enhancing their proficiency in trading to become an experienced trader.
3. The third and final benefit traders will get out of using a Forex No Deposit Bonus is that they have the ability to trade risk-free without the fear and anxiety about losing their investments and funds. This means that traders would be able to trade without facing any possible financial risk. One of the many fears of traders is losing their investments or their trading funds due to risky trade dealings, but a Forex No Deposit Bonus saves traders from all that.

Why Are Brokers Giving Away Bonuses?

Forex brokers would like to attract the attention of prospective clients and for experienced traders to stay loyal. By providing bonuses, Forex trading brokers will try to keep their clients to stay on board and increase their trading volumes. However, it is a fine line between offering a bonus and providing a tiresome financial burden on the trader.

You should always keep in mind that a trading bonus is not a free gift from your Forex broker, but they are providing some money to show their gratitude for trading with them and generating profit. The more you trade, the better the Forex broker generates profit through spreads and commissions.

The Process Of Getting A Bonus

The process of bonuses is a fairly simple process that occurs between Forex brokers and its clients. First, you deposit funds into your trading account with your Forex broker. Then, the Forex broker tops you up with the bonus they offered as a percentage of the deposit. Finally, you can start trading with extra funds in your trading account.

You will find Forex brokers will provide you with an abnormal bonus that you will not be able to withdraw from your trading account. As an active trader, you can trade with the bonus, but you can never withdraw the bonus itself. We recommend that you do not participate with those types of brokers, and it would be best if you can obtain a bonus that you can withdraw.

What’s In It For The Brokers?

Forex brokers generate profit when you trade and by providing you the bonus, they are preventing you from financial loss and it is promoting you to trade more. As you trade enough times to reach the targeted trading volume, your Forex broker will have made double the value of the bonus they offered you. On the other hand, the Forex broker pays lots of expenses to meet your trading needs possible. Forex brokers are more interested in the number of traders, so the bonuses are a component of the brokers’ customer maintenance strategy.

What To Look For In A No Deposit Bonus Broker

There are many brokerage firms that offer no deposit bonuses, which is why it makes the decision-making process confusing for traders. Simply put, traders don’t know which brokerage company to trade with, especially when the no deposit bonus option is provided by many companies. However, there are two ways to evaluate a brokerage firm and its validation for the no deposit bonus.

The first aspect to consider, as a trader, is the reputation of the broker and you can do that by looking at reviews of the company. Many reviews are honest and straightforward, telling you everything you need to know before opening a live account. The reviews will identify the good brokers, from the bad, and answer all questions you may have, from their previous experiences.

The second aspect to consider is the regulations that the broker abides by and whether they are aligned with any secure, legal procedure. Most traders look for a brokerage firm that is validated and authorized by any form of financial authority. The financial authority guarantees that the broker will ensure your investments and operate under utter transparency.

Unfortunately, there is no central financial authority that supervises the Forex market, but there are reputable financial authorities. These financial authorities include US Commodity Futures Trading Commission (CFTC), US National Futures Association (NFA), UK Financial Services Authority (FCA), E.U.’s Markets in Financial Instruments Directive (MiFID), etc.

These aspects will help you identify the right brokerage company for you and allow you to enjoy many benefits that they have to offer, such as the no deposit bonus.

What To Check For When Choosing A No Deposit Bonus?

One of the many crucial steps to follow when choosing a Forex No Deposit Bonus is to find out whether the bonus is regulated and whether it is authorized to offer services in the local residence.

The second step, when deciding on a Forex No Deposit Bonus, is to read carefully the terms and conditions of the bonus. Reading the terms and conditions gives the trader a cautious understanding of all the financial transactions that follow the bonus, and is a way to avoid any surprises and hidden fees.

The third step to follow when choosing a Forex No Deposit Bonus is to understand the broker’s requirements for withdrawing any potential profits. By finding out the broker’s requirements for withdrawing any potential profits, then there is a level of transparency between the trader and the broker.

The fourth and final step, when deciding on a Forex No Deposit Bonus, is to familiarize yourself with the required documents and procedures for verifying your account. This will allow the trader to have an in-depth understanding of the importance of account verification and identification so that they could protect their privacy.

No Deposit Bonus: Real Vs. Fake

There are many fake Forex No Deposit Bonus websites since it is a tactic for brokers to attract more attention to their websites. In order to find out whether the option for a Forex No Deposit Bonus is real or fake, there are various factors to look out for.

Traders can look at the broker’s main website and see the legitimacy of the broker, through the website design. If the broker is valid, then the structure of the website would be designed carefully and intricately. The name of the website should also be aligned with the brokerage company’s brand; most fake brokers have complicated and unrelated names.

Another factor would be the age of the broker and the offers provided, as it would be considered invalid if the offer did not have a deadline. Simply put, a scam brokerage firm would attempt to attract traffic to their website by providing offers that are too good to be true and would not have a specific end date.

These factors would help you understand whether the broker offers you a true no deposit bonus, or if it’s just a click-bait ad.

Guidelines For Traders To Choose The Right Bonus

Traders should follow the top Forex no deposit bonus list that is provided above, but the choice is mostly for the traders. In order to choose a Forex no deposit bonus, it is mostly based on personal preference. However, there are a few guidelines for traders to choose the right Forex no deposit bonus.

Don’t concentrate on just the amount offered in the bonus

Traders will choose a broker that provides the highest rate Forex no deposit bonus in 2019; this is not the smartest choice. Traders should not select a broker based on the amount of Forex no deposit bonus, since clients will be working with the brokerage firm in the following years and there are more than one choice when it comes to choosing the right broker, especially if that choice is the bonuses the brokers are offering.

It is recommended to look through their trading platform and financial instruments, along with other aspects. However, this is one of the most crucial features that should be considered for traders to decide on their broker.

Browse through the Terms and Conditions

Traders need to read and check the terms and conditions thoroughly to guarantee that this is the right choice for them. For instance, traders may want to profit only with the Forex no deposit bonus, which is an option. However, in those circumstances, brokers who need consumers to make a deposit before withdrawing funds are not the most suitable option.

Get a second opinion on offers and promotions

There are many brokerage firms that provide a low Forex no deposit bonus, but there could be other benefits and offers in the foreseeable future. There are some brokers who could offer both deposit bonuses and a no deposit bonus simultaneously; this could occur when traders sign up and then right after making a deposit. Yet, most traders disregard that possibility and only consider the amount of the Forex no deposit bonus.

Read the reviews on the brokers written by experts

Before registering at a Forex broker, it is best to read the reviews that are provided on Forex broker review websites, such as this one. Traders will find important information that is essential in deciding on a brokerage firm. Throughout reading broker reviews, traders must not forget the drawbacks that could occur with a broker that contains a Forex no deposit bonus.

The drawback would be if the terms and conditions are limiting traders from making transactions and trades freely, the withdrawal methods are not in accordance with the particularities and preferences of the traders, and the trading platform may not be suitable for the trader.

How To Claim Your Forex No Deposit Bonus

In order to claim your Forex No Deposit Bonus, it is an easy and simple process that anyone can do. There are two strategies that you can use to claim your Forex No Deposit Bonus.

The first strategy is a three-step model through that you can claim your bonus through. You will first register with the Forex broker to be an active member of the broker. The next step is to verify your identity by uploading documents such as Proof Of Identity (POI) and\or Proof of Residence (POR). As for the final step, you will be able to claim your bonus.

The second strategy is also a three-step model that will enable you to claim your bonus. You will, first, have to register with the Forex broker. The second step is that you will be able to claim your bonus and then you will be required to verify your identity when you withdraw your profit from your trading account.

Most clients will prefer the second model since it seems simple and easy to handle. However, the majority of Forex brokers use the first model. The reason that the first model is used more by Forex brokers is that it acts as a filter since the broker will be able to determine the serious traders. The second model is used by Forex brokers to promote prospective traders who do not want to be put through the hassles of verifying their identity until the clients have something tangible to gain.

Types Of Identity Verification

There are four different types of verification that are all different methods to determine your identity before joining the Forex broker. The first type of identity verification is email verification where you will find a link in your inbox and you will just click on it to clarify your identity. As for the second form of identity verification, your Forex broker will send you a verification code through an SMS message or a voice call, known as phone verification.

The third type of identity verification is the Proof of Identity (POI), where you will upload a document of your identity. This can be your passport, national ID, and\or driving license. The fourth and final form of verification is Proof of Residence (POR), which is a document that you upload of your current address. The most common Proof of Residence (POR) is utility bills, bank statements, or any document with your address on it.

Restrictions On Using A Forex No Deposit Bonus

With a Forex No Deposit bonus, there are limited and specific rules in trading. You will have a free bonus to trade, but you will have to abide by the rules that follow. The following are restrictions that traders are required to enforce while trading a Forex No Deposit bonus.

1. Maximum Lot Size
There are Forex brokers that limit their traders from opening orders with a large lot size, and the most common lot size found by Forex brokers is 0.01 lot. As an active trader, trading with a small lot size can be discouraging since the traders are required to meet a specific trading volume to be able to withdraw profits from their funds. Lot size makes profit generation more difficult for traders.

2. Maximum Active Positions
Another limitation that traders will face while trading a Forex No Deposit Bonus is the maximum value of active positions for each trader. Forex brokers put a restriction on their traders from acquiring a lot of simultaneous active positions, including pending orders. Trading strategies and the trading experience of clients can be negatively influenced by the limitation of active positions.

3. Trading Assets Limitation
Currency pairs and all other financial instruments are an essential component of Forex trading, which is using the volatility of financial markets to generate profit. Forex brokers who enforce restrictions on the trading asset mean that traders will have a limited range of currency pairs to select from. With these restrictions, the opportunity to trade when a credible entry setup takes place with a Forex pair is limited. In addition, traders are limited in trading with different currency pairs.

4. Bonus Validity
The fourth restriction of a no deposit bonus is that the bonus will be removed by the Forex broker when the duration of the bonus expires. For a bonus with a short validity, traders will not have enough time to truly use the bonus and the trading account. With bonuses that have a longer duration term, traders will have the opportunity to trade in various financial market conditions. The most common duration of bonus validity is likely 30 days or more, which will allow traders to fully recognize what real trading is.

5. Hedging And Scalping Is Not Allowed
Hedging and scalping are not permitted in trading a Forex No Deposit Bonus, which means that traders who perform hedging and scalping will have to change their trading methods. Hedging is keeping two different open trades in different directions to briefly remove the financial risk that comes with the financial markets’ unstable conditions. Scalping is a trading strategy that traders utilize to generate a small profit in several entries a day by holding a position for a short amount of time; scalping has allowed traders the potential to generate profit in the shortest time.

6. Expert Advisors (EAs) Are Not Allowed
Expert Advisors, better known as Robot Trading, is prohibited when trading a Forex No Deposit Bonus. Expert Advisors simplify trades by performing all actions in the trading process, which includes: opening and closing a trade, generating tradable signals, market condition analysis, and so on. You will find that Expert Advisors are more applicable to traders who are starting out in the trading world. However, trading a Forex No Deposit Bonus does not include Expert Advisors, which means that traders will have to trade manually.

Conclusion

Forex No Deposit Bonus is a credit bonus given by many Forex brokers to new traders, as an incentive to get them to open a live trading account with them. Unlike deposit bonuses, no deposit bonuses require no initial deposit from the client and they can start trading right away.

There are certain ways for the trader to check on a Forex No Deposit Brokers, four ways to check. The first step is to find out whether the bonus is regulated and whether it is authorized to offer services in the local residence. The second step is to read carefully the terms and conditions of the bonus. The third step is to understand the broker’s requirements for withdrawing any potential profits. The fourth and final step is to familiarize yourself with the required documents and procedures for verifying your account.

We’ve shown you various tips on how to choose the Forex no deposit bonus and what you need to know before you decide on the right broker for you. Our most favorable tip is that you read reviews on brokers before you choose which broker you want to help you trade.