Deposit and withdrawal fees have considerable influence on the total returns of a trader or investor. In recent years, this problem has grown worse, as many online payment services have now significantly raised tariffs for high-risk companies, including forex brokers.
Almost all payment services charge high commissions on transfers, which can reach 6-10 %. This has made customers abandon their usual online payment services. Additionally, a client must earn at least 10 % in order to only pay the entire fee.
In its bid to offset the fees for online money transfers made by its traders, ICE FX launched a full compensation program whereby the client is fully compensated for such expenses. The program has no minimum deposit amount or number of deposits requirements.
Features of the full compensation program:
- No minimum deposit amount.
- No restrictions on deposit methods.
- No time limits (the promo is infinite).
- No limits on number of deposits made.
How the full compensation program works
Every online payment service charges some commissions on money transfer. When depositing funds into his ICE FX account, the client pays a commission to the payment service via which the money was transferred. In this case, the client would receive two payments in his ICE FX account:
- the actual deposit amount minus the commission charged by the payment service;
- a bonus equal to the commission charged by the payment service.
A client deposits $1000 to their ICE FX account via a payment service, which charges him a $50 fee. The client will receive two transfers in ICE FX account: $950 (his personal funds) and $50 (bonus).
The bonus can be used for any purpose (trading and investing) within ICE FX. The bonus amount does not impose restrictions on trading and investment activities. However, the client will not be able to withdraw the bonus from ICE FX until it has been converted to personal funds.
Bonus funds are converted to personal funds when 30 % of the trading fee paid to ICE FX is returned to the client based on the number of orders opened as a rebate bonus.
Every $10 bonus is converted to personal funds when the “Conversion counter” (take a look at the below screenshot) reaches this amount. The counter is updated once a day at 00:05 – 01:00 EET. See below for more details on how the bonus works.
Full compensation in your Personal dashboard interface
Let’s consider an example.
The client deposits $1,000 to their ICE FX account using the online payment system Skrill. It charges 5 % commission on transfer, which is $50 (1,000 × 0.05 = $50).
The client’s ICE FX personal account will be credited with $950 (1,000 – 50 = 950) as personal funds and $50 as bonus funds. In total the client gets $1,000 (950 + 50 = 1,000) on his ICE FX account.
After his account has been credited with the amount, the client can use his personal funds and bonus to trade or invest. Bonus funds do not limit these processes in any way.
Note! Only bonus funds converted into personal funds can be withdrawn by the client.
How are bonus funds converted to personal funds?
Clients receive 30 % cash-back from ICE FX on trading and investment activities in the form of a rebate bonus. This value is displayed in the “Pending bonus” block, also known as Conversion Counter:
The counter is updated once a day between 00:05 – 01:00 EET. As soon as the counter counts up to $10, the amount is credited to the client’s personal account, as personal funds, and can be withdrawn by the client any time he wishes. At the same time, this bonus amount ($10) is debited from the client’s personal account, i.e. withdrawable funds are credited, and non- withdrawable funds are debited. In the transaction log.
After the $10 bonus has been converted to personal funds, the amount in the “Remaining bonus ” block changes to $40 from $50, while the amount in the counter is reset to zero:
Note! If the client’s bonus amount was less than $10, for example $6.5, then when the counter reaches $6.5, it will be transferred to the client’s personal account.
Bear in mind that the credited $10 becomes the client’s personal funds, which can be withdrawn from by the client or used for any other trading or investment.
The process repeats itself again in a similar order until the amount in the “Remaining bonus” block becomes zero. As a result, the commission paid by the trader to the online payment system to transfer funds to his ICE FX account is returned to the trader as a rebate bonus.
Withdrawing funds before receiving full commission compensation
Bonus funds can be used for trading and investment but cannot be withdrawn from the ICE FX account. The trader can only withdraw bonus funds that have been converted into personal funds according to the mechanics described above.
The trader’s total balance (the sum of balances on his personal, trading and investment accounts) with ICE FX is recorded whenever a deposit is made. When withdrawing funds, the remaining balance after the withdrawal is compared with the balance that was recorded at the time of deposit.
If the balance becomes less than the amount that was recorded at the time of deposit, then the non-converted bonus is withdrawn from the trader’s account. The trader will be informed of this via a message at the moment of withdrawal.
The trader’s total balance at the time of deposit was $1,000. He withdraws $200 and the balance becomes $800 – non-converted bonus will be withdrawn, which will be displayed in the trader’s transaction history.
If the balance is NOT less than the amount at the time of deposit, the non-converted bonus will be retained.
The trader’s total balance at the time of deposit was $1,000. He received $500 profit and withdrew $200. The balance becomes $1,300 – the non-converted bonus will be retained.
Note! Only the non-converted bonus will be deducted by the system.
The client’s balance at the time of deposit was $1,000. The non-converted bonus is $20, and the converted bonus is $30. The client withdraws $200 and the balance becomes $800 – the non-converted bonus ($20) will be deducted by the system.
The client’s ICE FX balance is recorded after every deposit. This means that each bonus is “attached” to a certain value.
The client’s balance when he made his first deposit was $1,000, and he received a $30 bonus. At the second deposit, the balance increased to $2,000 and he received a $20 bonus. Both bonuses have not yet been converted into personal funds.
The client withdraws $500 and the balance becomes $1,500 at the time of withdrawal. The system deducts the second $20 bonus, leaving the first $30 bonus.
In this article, we have tried to describe in as much detail as possible how our full commission compensation program works. If you have any questions, please feel free to ask! We will be very glad to answer them.