Brokers offering interest on funds on a Forex account - 2024 List

Brokers offering interest on funds on an investment account are rare. You can practically list popular companies that offer this element on the fingers of one hand. The interest rate is often associated with certain restrictions. But Rome wasn't built in a day - there is a good chance that, seeing the actions of the competition, other companies will follow suit and conditions will improve. In this article you will find all the necessary information about interest rates on Forex accounts and several sample offers.

Interest rate on funds in your Forex account

The time of increased interest rates on the market is the moment when investors start to wonder whether the risk associated with investing in derivative instruments (such as CFD or futures contracts) or shares are a game worth the candle. After all, they can earn the 5-8% with virtually no risk of loss by investing their capital in bonds or depositing it into savings accounts or deposits. Of course, it is difficult to beat inflation this way, but it is much safer than trading.

Another problem is the fact that few investors use 100% of their capital for active trading. By depositing e.g. PLN 10. USD to Forex broker, it can be assumed that most will actively use only 10-30% of the deposit. The remaining amount lies there and does not work for itself, constituting a kind of margin for ongoing investments (to maintain an open position; to be able to open further transactions after completing the SL, etc.).

Therefore, brokers came up with an idea that would allow funds not used for investments to earn money, at least to a small extent, and at the same time keep their clients' capital with them. Thanks to the interest charged, the trader does not think about the fact that uninvested funds "lose" their value by lying idle and is more willing to leave them for future investments. The trader also gains flexibility - by accepting that he will earn 1-2% less on the interest rate compared to the deposit, he can quickly and easily transfer the free funds to another financial instrument at any time.

First check the terms of the offer

Brokers usually introduce various restrictions on the interest rate or the method of calculating it. Sometimes the interest rate needs to be activated manually, sometimes you need to have an appropriate deposit, and sometimes the offer is time-limited - so if this point of the offer is important to you, be sure to read the terms of the given offer first. You can find more about the conditions in the next paragraph and in the offer comparison table.

However, it is worth mentioning the most important element that is common to every company:

The interest rate applies only to available funds.

What does this mean in practice? Free funds are defined as capital that is not currently used to hold open positions. In some cases, the balance of transactions that remain open is also taken into account (e.g. at Saxo, the profit/loss for positions on CFDs, FX Forwards, FX options and futures contracts is included).

You should also remember that interest rates change over time, so brokers will certainly adjust them to the prevailing market conditions, so it is worth monitoring the announcements of the brokerage house we choose.

Brokers offering interest on funds

Below we present the three most popular offers of Forex/CFD brokers who offer interest on funds, along with a detailed description of the most important elements.

Interest rates on Forex funds – Statement 2024

Is activation necessary?	NEVER	NEVER
Does the interest rate depend on the amount	NEVER	YES – min. 10 thousand EUR
Does the interest rate depend on the currency?	YES	YES
When interest is charged	every day at midnight	every day (depending on time)
When interest is paid	by the 5th day of the following month	at the beginning of the next month
Min. amount to be withdrawn	LACK	LACK
Who pays the tax	broker on behalf of the client	client
Is there a time limit	higher interest rate until the 90th day - counted from the date of signing the contract	NEVER
Interest rate**	PLN – 4% (after 90 days – 2%) EUR – 3,8% (after 90 days – 2%) USD – 5% (after 90 days – 2,5%)	Depends on the set Saxo bid rate (updated daily). Check the calculator
CREATE AN ACCOUNT	DEMO	DEMO
	REAL	REAL

*You can read about how to activate the interest rate HERE.
**Rates are given on an annual basis. The table shows the status as of November 6, 2023 - please remember that the interest rate may change.
***Currently only available in Denmark, Sweden, Finland, Norway and the Netherlands.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. From 68% to 89% of retail investor accounts record monetary losses as a result of trading CFDs. Think about whether you understand how CFDs work and whether you can afford the high risk of losing your money.

XTB

XTB is the largest broker in Central and Eastern Europe. The brand has been present on the market since 2005 and has come a long way to become a leader in the region. The xStation platform by XTB is highly rated by traders for its intuitive use, functionality and reliability. This, combined with high-quality free educational materials and a very wide offer (nearly 6000 instruments), attracted a real sea of ​​​​investors. One of the key features of the offer is also the ability to buy shares and ETFs without commission up to a turnover of EUR 100 per month.

Saxo Bank

Saxo Bank is a Danish banking institution that focuses its activities on offering investment intermediation services. The broker impresses with the number of instruments available in its offer, of which there are approximately 50. An additional advantage is a very high level of security due to being subject to banking supervision, and thus covering customer funds with 100% protection of the bank guarantee fund up to the amount of EUR 100.