Forex traders have a wide range of payment processors to choose from, but despite low-cost and fast online options and the emergence of cryptocurrencies, most brokers make bank wires their preferred method.
Bank wire brokers generally offer other payment processors, but almost all brokers require traders to withdraw profits exceeding the deposit amount made via other options via bank wires. Learn what to look for in bank wire brokers, why all profitable traders may have to use them, and the benefits of using them, plus all you need to know about bank wires.
- FXTM, Best all-around broker with high floating leverage and fast execution.
- Exness, Tight spreads + leverage up to 1:2000.
- AvaTrade, Highly regulated, choice of fixed or floating spreads.
- Eightcap, Competitive pricing + excellent daily videos.
- FP Markets, ECN trading with leverage up to 1:500.
Best Bank Wire Transfer Brokers Comparison
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Regulators | CMA, FCA, FSC Mauritius, FSCA | CMA, CySEC, FCA, FSA, FSC Belize, FSC Mauritius, FSCA | ASIC, BVI, Central Bank of Ireland, FFAJ, FSCA, KNF, MiFID | ASIC, CySEC, FCA, SCB | ASIC, CMA, CySEC, FSCA |
Year Established | 2011 | 2008 | 2006 | 2009 | 2005 |
Execution Type(s) | ECN/STP, Market Maker | Market Maker | Market Maker | ECN/STP, Market Maker | ECN/STP |
Minimum Deposit | |||||
Average Trading Cost EUR/USD | 0.1 pips | 0.6 pips | 0.9 pips | 1.0 pips | 1.2 pips |
Average Trading Cost GBP/USD | 0.2 pips | 0.7 pips | 1.5 pips | 1.2 pips | 1.4 pips |
Average Trading Cost Gold | $0.18 | 11.3 pips | $0.29 | $0.12 | $0.16 |
Trading Platform(s) | MetaTrader 4, MetaTrader 5, Proprietary platform | MetaTrader 4, MetaTrader 5, Proprietary platform | Other, MetaTrader 4, MetaTrader 5, Proprietary platform, Web-based+ | MetaTrader 4, MetaTrader 5, Trading View | MetaTrader 4, MetaTrader 5, cTrader, Proprietary platform, Web-based |
Islamic Account | |||||
Negative Balance Protection | N/A | ||||
| Visit Website | Visit Website | Visit Website | Visit Website | Visit Website |
FXTM
In Summary Best all-around broker with high floating leverage and fast executionFXTM offers bank wires and ranks high among the best bank wire brokers, as there are no minimum deposit or withdrawal amounts. Traders should consider the €30 withdrawal fee, which is the average cost industry wide. FXTM subtracts it from the withdrawal amount, meaning a trader requesting a €500 withdrawal will receive €470.
While FXTM supports bank wire deposits in USD, EUR, and GBP, only EUR withdrawals are available. Therefore, Forex traders should use a multi-currency account or consider currency conversion fees, which FXTM updates daily. Deposit processing times are three to five business days versus 24 hours for withdrawals.
Pros & Cons
- Excellent commission-based Forex pricing environment and transparency
- Upgraded MT4/MT5 trading platforms plus proprietary mobile trading app
- Quality market research and educational content for beginner traders
- A highly regulated broker with a tier-1 license
- Limited choice of commodities
Exness
In Summary Tight spreads + leverage up to 1:2000Exness is one of the best bank wire brokers, featuring 24/7 payment processing for verified clients. The finance department handles all requests within 24 hours if manual verification is necessary. The average deposit and withdrawal times are only one hour, making Exness one of the fastest bank wire brokers, although it lists the maximum time as three days.
Most traders can avoid currency conversion fees, as Exness supports 80 currencies, but the minimum deposit amount is $10,000, while withdrawals have a minimum requirement of $250. The maximum single transaction for both is $250,000, and ClearBank processes all bank wires.
Pros & Cons
- Instant withdrawals, based on the payment system, from a trusted broker with numerous payment methods
- Multi-regulated broker
- 24/7 multi-lingual customer service
- No education for beginners
AvaTrade
In Summary Highly regulated, choice of fixed or floating spreadsAvaTrade is one of the best-regulated brokers, with licenses in nine jurisdictions. It supports financial transactions in AUD, USD, GBP, EUR, CHF, JPY, and ZAR. The availability is geographically restricted, meaning traders from the EEA can only use EUR or international clients USD. A currency conversion fee applies for non-supported currencies, the industry standard among most Forex brokers.
As one of the most trusted brokers, AvaTrade ranks highly among the best bank wire brokers. The minimum deposit requirement is $100, without a maximum amount, and there is no minimum withdrawal amount. Internal processing times are 24 to 48 hours.
Pros & Cons
- High quality educational offering via AvaAcademy
- Excellent choice of trading platforms catering to various trading needs
- Broad asset selection and cross-asset diversification opportunities
- Well-regulated and trusted broker with oversight from a central bank
- Trading costs competitive but nothing special
Eightcap
In Summary Competitive pricing + excellent daily videosThe minimum deposit requirement is $100 or a currency equivalent, but unlike the other twelve payment processors available at Eightcap, it does not list a minimum amount. There is no minimum withdrawal threshold, making Eightcap one of the best bank wire brokers. Traders may use the AUD, USD, GBP, EUR, NZD, CAD, and SGD to conduct deposits and withdrawals, and the average processing time for bank wires is between one to three business days.
Eightcap is well-regulated and highly trusted in the Forex trading community, and it does not levy internal transaction fees except for potential currency conversion costs.
Pros & Cons
- Low minimum deposit and high leverage of up to 1:500
- Competitive cost structure
- Excellent technology infrastructure and seasoned management team
- Daily research and quality educational content
- Limited leverage in some areas
FP Markets
In Summary ECN trading with leverage up to 1:500fpmarkets is an ASIC-regulated Australian brokerage which launched in 2005. For most traders, the unique selling point of this broker is in the extremely wide range of tradable assets offered, providing the opportunity to trade over ten thousand individual stocks and shares including publicly quoted Hong Kong and Australian companies. Ffpmarkets also offers 60 Forex pairs and crosses, 11 equity indices, the major commodities, and 5 cryptocurrencies including Bitcoin. fpmarkets offers an unusual hybrid ECN/STP execution model, meaning their clients can choose between ECN style of execution giving a very high level of speed, and a “straight through processing” execution style which allows for more “natural” spreads.
Pros & Cons
- Choice of trading platforms and auxiliary trading tools
- Very competitive cost structure and excellent asset selection
- Low minimum deposit requirement and leverage of up to 1:500
- Well-regulated and trustworthy
- Availability of Iress geographically restricted
Introduction: What is a Wire Transfer?
A wire transfer refers to a transfer of capital from the bank account of traders to the bank account of brokers. Regulated brokers keep segregated bank accounts for clients, meaning they cannot access the funds for internal use. Bank wire brokers usually use the SWIFT system for international bank wires and localized methods for domestic wire transfers, like SEPA in the Eurozone, BACS in the UK, or ACH in the US.
The same applies to withdrawals, where brokers send funds from their segregated bank accounts to the bank accounts of their traders.
How Does a Bank Wire Transfer Work?
The trader must have a bank account and a Forex trading account with bank wire brokers. Since Forex brokers do not accept third-party transactions, the name on both must match. Additionally, regulated bank wire brokers only permit verified traders to conduct financial transactions.
The secure back office of bank wire brokers is where traders can initiate bank wire deposits or request withdrawals. Making financial transactions with bank wire brokers functions similarly to online banking. Some brokers provide their bank wire information, allowing traders to deposit from their bank, but the back office provides a more efficient method.
Dependent on the bank and geographic location of traders, an intermediary bank may assist with the financial transaction, which usually delays the process and incurs additional fees.
Why Use Wire Transfer as Your Deposit/Withdrawal Method?
Bank wires are the slowest and most expensive method of transferring funds between traders and brokers, but below are reasons why bank wires remain the preferred choice.
Reasons for using bank wires to deposit or withdraw include:
- No geographic restrictions (unlike credit/debit cards or e-wallets)
- Highest level of account security, including biometric data, making account ownership and financial transactions traceable and transparent
- Less exposure to risk of theft, as nobody can steal a bank account, unlike credit/debit cards, while hacked accounts, like in e-wallets, are less frequent and usually the fault of users.
- Banks implement strict AML/KYC protocols, complementing the same principles at regulated Forex brokers.
Benefits of Choosing a Broker that Accepts Wire Transfers
Forex traders should consider the benefits of using bank wire brokers, despite waiting between two and ten business days before a transaction settles, dependent on their bank and geographic location, and paying notably higher fees.
Here are the benefits of using bank wire brokers:
- No deposit or withdrawal limits
- Many banks offer multi-currency accounts, eliminating currency conversion fees.
- Geographic restrictions do not apply.
- The most secure method of transferring funds
- Most brokers request traders to use bank wires to withdraw profits exceeding the deposit amount via other payment processors.
How to Pick a Decent Broker Offering Wire Transfers
Despite handling bank wires daily, not all brokers offer an equally efficient process. The most notable differences are processing times, which can take between two to ten business days, supported account base currencies, and currency conversion fees.
Forex traders should look for the following:
- Fast internal processing times
- Reimbursement of wire fees after a specific transaction amount
- Free wire transfers
- Account base currencies identical to the deposit currency
Wire Transfer Chargeback on Broker Account
While a wire transfer chargeback is available, dependent on the regulatory environment, traders must prove a scam was perpetrated on them to obtain one. Therefore, a wire transfer chargeback on a broker account is practically non-existent as scams are rare and hard to prove. Another reason banks approach it cautiously is that up to 90% of retail traders lose money and attempt to cheat legit brokers by claiming fraud, often due to not reading the terms and conditions, especially when accepting bonuses and incentives.
Bottom Line
Bank wires are the most secure transaction method between traders and brokers but also the slowest and most expensive. There are no geographic restrictions or withdrawal limits. Brokers usually implement deposit minimums due to high transaction fees. The most competitive bank wire brokers offer fast internal processing times and waive transaction fees for transactions exceeding a set value or offer one free bank wire monthly. Bank wire brokers also typically request that traders withdraw profits via bank wires if they exceed the deposit amount made via other payment processors.
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