Also known as:Cashback rebate, Forex rebates, Trading rebates, Spread rebate
What is Forex Cashback?
Forex Cashback is a rebate paid back to a trader for every trade they execute, funded from the spread markup or volume commission that the broker or Introducing Broker earns on that trade. It lowers the trader's effective cost per trade without changing the broker's quoted price.
The rebate is typically quoted per standard lot (100,000 units) traded, for example $3–$8 per lot on major currency pairs, or as a fraction of the spread. Because it is tied to volume rather than profit or loss, a trader earns the rebate whether the position wins or loses; only the number and size of trades matter.
Key takeaways
Rebate per traded lot, paid win or lose.
Funded from IB spread share / volume commission.
Lowers the trader's net cost per trade.
Strongest hook for scalpers and high-volume traders.
You profit from the gap between broker payout and rebate.
Cashback exists because IBs receive a share of the trading costs their referred clients generate. An IB or dedicated rebate site keeps part of that share as profit and passes the remainder to the trader as cashback. A scalper trading 200 lots a month at a $5 per-lot rebate receives $1,000 back that month, materially cutting their net transaction cost.
Rebates are usually paid into the trading account or a wallet on a daily, weekly, or monthly cycle, separate from any trading gains or losses. This makes cashback a durable retention hook: even during a losing stretch, the trader still sees a tangible, recurring credit for staying active.
How it works
The IB earns a per-lot commission or spread share from the broker on every trade a referred client makes. The IB then rebates a portion of that commission back to the trader as cashback, retaining the difference as margin.
Attribution runs through the IB's tracking link and account linkage, so the broker knows which trades to attribute. Rebates accrue per closed (or sometimes per opened) lot and are settled automatically on a set schedule. The trader's rebate is unaffected by whether trades are profitable, which is why cashback appeals most to high-frequency and high-volume styles like scalping.
1
Trader signs up via your link
The client opens or links a broker account under your IB code so trades are attributed to you.
2
Client trades
Each executed lot generates spread markup or commission that the broker shares with you as the IB.
3
Rebate accrues per lot
A fixed per-lot or percentage rebate is calculated on the client's traded volume, win or lose.
4
You split the commission
You keep part of the IB commission and pass the rest to the trader as cashback.
5
Cashback is paid out
Rebates settle to the trader's account or wallet on a daily, weekly, or monthly cycle.
Why it matters for partnership: Cashback is a powerful conversion and retention tool for IBs. Traders route through your link because they cut their trading costs versus going direct, letting you win share from competing partners while keeping active traders loyal.
Formula
Trader Cashback = Lots Traded × Rebate per Lot
Real World Example
A rebate site partners with IC Markets and earns roughly $7 per lot on Raw Spread accounts. It advertises a $5 per-lot cashback to traders and keeps $2. A client trading 150 lots a month receives 150 × $5 = $750 back, while the site nets 150 × $2 = $300 from that single trader's volume.
Cashback vs CPA vs RevShare (partner's view)
Model
Who gets paid
Trigger
Recurring?
Cashback
Trader (from IB share)
Each lot traded
Yes, per trade
CPA
Partner
First qualified deposit
One-off
RevShare
Partner
Client trading costs
Yes, ongoing
Pro Tip
Publish a transparent per-lot rebate table by account type and pair so high-volume traders can calculate their exact monthly cashback before switching to your link.
Common Pitfalls
Failing to explain that cashback is tied to trading volume leads clients to expect cash for merely holding an account, causing churn and complaints.
FAQ
Do I get cashback if my trade loses?
Yes. Cashback is paid on trading volume, not on profit or loss, so you earn the rebate on every executed lot regardless of the outcome.
How much cashback can I earn per lot?
Rates commonly range from about $2 to $8 per standard lot depending on the broker, account type, and instrument. Raw-spread and commission accounts usually offer higher rebates.
Does cashback cost me anything extra?
No. The rebate comes out of the spread or commission the broker already charges; you pay the same quoted price and receive part of the IB's share back.
Is forex cashback the same as a bonus?
No. A bonus is promotional credit with trading conditions attached, while cashback is a recurring rebate on the trading costs you actually generate.
Can I add cashback to my existing broker account?
Sometimes. Some programs let you link an existing account to an IB, but many require you to open a fresh account under the rebate provider's code to attribute trades.
How often is cashback paid?
Typically daily, weekly, or monthly, credited to your trading account or a separate wallet depending on the provider.
A practical framework for choosing which brokers to onboard onto a multi-broker rebate site, from tracking compatibility to payout reliability and long-term reputation risk.
