CityIndex introduces a fee for inactivity

CityIndex is another Forex broker that introduces a fee for inactivity with clients who have real accounts. After 12 months without transactions, an amount of GBP 12 will be charged every month.

"You don't trade = pay"?

Today, the British broker CityIndex announced that there will be a new item in its price list. From October 29, customers will be charged an additional fee of £ 12 (or currency equivalent) for each subsequent month after a 12-month period in which they have not made any transactions. "Non-commercial". These fees they will not cause a debit on the customer's account and only as a last resort its zeroing and then deactivation.

It is worth noting that as "Commercial activity" only transactions that have actually been completed are counted, which means that pending orders that have not been executed are not taken into account (but opening a position for 1 second with a minimum volume already does).

Excerpt from the message sent by CityIndex:

"Activity" is defined as concluding transactions and / or maintaining an open position during this period. Placing an order without completing the transaction will not qualify as "Activity" for these purposes.

Overdue "pennies" is a problem for the broker

Transaction fees are becoming standard among Forex / CFD brokers. Such items in their price lists have long been CMC Markets, Dukascopy, Admiral Markets or LMAX Exchange. Customers often express their dissatisfaction after the introduction of this type of fee, considering it an attempted attack on their funds. Companies explain the need to introduce them as the only solution to the problem of getting rid of the obligation to regularly settle accounts on which "pennies" are overdue, eg after withdrawing funds or passing a Margin Call.

What can you do about it? Traders who tend to keep funds on their investment accounts should note whether their broker does not charge fees for inactivity. The solution is to make a short transaction with a minimum value once every few months, the goal "Limit extension" for the next accounting period or each payment of all funds before the planned long break in investments.

Check it out: Brokers Charging Inactivity - Statement