Tips for funding your forex account (for beginners)

Forex brokers offer several funding methods but they have their pros & cons so beginners should know this.

1. Always Fund in Your Account Currency

I always deposit in the same currency as my trading account currency to avoid currency conversion fees being deducted from my deposit.

2. Local Bank Transfer - fastest method

I personally use local bank transfer (not wire transfer) to deposit into my trading account if speed is of the essence. Many brokers support depositing through local banks in your vicinity, so I simply use the bank mobile app to transfer to the account number given to me by my broker.

3. Debit/Credit Card- most unreliable method

Personally, I have had terrible experiences funding my trading account with cards. First of all the broker needs to verify the card which causes delays and secondly, cards expire so your deposit or withdrawal could be stuck if you use an expired card. I only fund my account using cards if there is no other option or if I want to use a credit card (but they say do not trade with money you cannot afford to lose)

4. Mobile Money - cheapest method

I also like funding with mobile money apps if I want to deposit very little amounts. You see, many brokers allow smaller minimum deposits when you are using mobile money.

5. eWallets - best for us dollar deposits

I opt for eWallets like Skrill and Neteller when i want to fund in the US dollar because it is faster, but some broker charge fees for this method.

6. Crypto deposits - very difficult to reverse if there is a problem

Crypto is another fast way of funding your account and is widely supported by several brokers but if there is a problem it may take the broker weeks to track and is almost impossible to reverse the deposit if there is an issue or if you made a mistake.