Binary options bonus and bonus types

Best Binary Options Brokers 2020:
  • Binarium
    Binarium

    Top Binary Options Broker 2020!
    Best Choice For Beginners and Middle-Leveled Traders!
    Free Demo Account!
    Free Trading Education!
    Big Sign-Up Bonus!

  • Binomo
    Binomo

    Trustful Broker. Recommended Only For Experienced Traders!

Binary Options Bonus

A binary options bonus can provide you with extra money to trade with, sometimes for free with no deposit, but more often as an added percentage of whatever amount you deposit to your account (A ‘deposit match’ bonus).

Binary options brokers are always keen to attract new traders. One of the main methods for gaining new custom is to offer a bonus. These can come in many forms, from the simple deposit bonus or risk free trades, to more complex packages of training aids and hi-tech gadgets – brokers know how to entice traders, new and old.

Here we list and compare all bonuses 2020 and explain the key points to ensuring that any bonus taken is a genuine benefit and does not become a source of frustration. We explore some of the common types of bonus, and when the right time to take it might be. We also discuss some of the pitfalls, and why all that glitters, may not be gold.

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What are Binary Options Trading Bonuses?

A binary options bonus is an offer from a broker, designed to provide the trader with additional funds to trade with or to mitigate losses should a trade go wrong. Normally the offer is in the form of a welcome bonus, or a sign up offer as it is sometimes also called. Welcome offers are of course also an incentive for new clients to join that particular broker.

They come in a variety of forms, for example:

  • No deposit bonus
  • Deposit match
  • Risk free trade
  • Education material
  • Hardware or prizes

The bonuses will always come with terms and conditions. These terms are the most important aspects of comparing a bonus. A smaller ‘no strings’ bonus for example, might be much more attractive than a larger bonus that has some very restrictive terms and conditions.

Welcome Bonus Example

Let us take an example. The most common form of bonus is the ‘deposit match’. Here, when a new trader opens an account, their first deposit will trigger a bonus. This is normally a percentage of the deposit. So assuming the deposit was a 50% bonus deal:

  1. A trader makes a deposit of $200
  2. A bonus of 50% (In this case $100) would be added to their account

If the deposit match bonus figures was 100%, the same trader would get $200 in bonus funds.

Risk Free Trade

A risk free trade is another simple form of bonus. One attraction of the risk free bonus is that the terms are normally way less restrictive. A risk free trade gives the trader a chance to place a trade, knowing that if it loses, they do not lose any money from their account. If it wins, they keep the profits.

Some brokers will offer 3 or even 5 risk free trades, and they will all operate the same way. With more trades however, come more conditions. For example with one risk free trade, the broker is likely to pay out winnings as cash – immediately available for withdrawal. Where a broker offers more risk free trades, it becomes more likely that any winnings must be “turned over” (traded) a number of times before they can be withdrawn.

Best Binary Options Brokers 2020:
  • Binarium
    Binarium

    Top Binary Options Broker 2020!
    Best Choice For Beginners and Middle-Leveled Traders!
    Free Demo Account!
    Free Trading Education!
    Big Sign-Up Bonus!

  • Binomo
    Binomo

    Trustful Broker. Recommended Only For Experienced Traders!

This is one of the reasons why when comparing bonuses, the terms are crucial. At the end of this page, we explore risk free trades in more detail, and explain why there is always some level of risk.

No Deposit Bonus

The ‘No deposit’ bonus is exactly what the name suggests – a bonus credited to an account without the need for an initial deposit. It is clearly an attractive option for a trader, but as explained above – reading the terms and conditions will be key. A no deposit bonus will generally require a very high turnover before any funds can be withdrawn, and this requirement will normally need to be met within a short space of time.

Given the terms and conditions are demanding, it becomes clear that a live account, with a ‘no deposit bonus’, will actually behave in much the same way as a demo account. The reason being, these bonus funds are unlikely to be withdrawn and are not “real money” until certain, strict, criteria have been met.

This type of bonus is also rare. It does not work that well for brokers, or traders. Recent months have seen a shift away from no deposit bonuses, into ‘risk free’ trades. This allows traders to use the live, real money platform, but place a handful of trades at no financial risk. Brokers now tend to offer either risk free trades, or deposit match bonus.

The Best Times to Claim Bonuses

The best time to claim a benefit is often not at the point of making the first deposit. With some brokers, the best course of action is to open an account with the minimum deposit – turning down any bonuses. Then after a period of trading, call the broker and negotiate a bonus directly with them, based on a larger deposit. This is particularly effective if there is a larger sum to be invested. The bigger the second deposit, the better any bonus terms will be.

If that seems too much trouble, then new traders should certainly research any potential bonus – and ensure it will work for them. Make sure any bonus conditions can be met comfortably – without having to change any trading habits. Pay specific attention to turnover requirements, and any time restrictions by which time the limits need to have been met.

Term and Conditions

There are certain issues that traders should be aware of when comparing bonuses. All of these issues will normally be within the terms somewhere, so it is vital to check those. Here we will list some of the details to look out for when checking the small print of the bonus deal you have found:

  • Withdrawal restrictions – Almost every bonus will have these. For example, are there turnover requirements to be met, and do they need to be met within a certain time? The bigger the deposit the more restrictive these will be. A $100 bonus that needs to be turned over 20 times, means $2000 worth of trading.
  • Is your deposit locked in? – There are forms of bonus which actually lock the initial deposit, as well as the deposit itself, so that nothing can be withdrawn until turnover requirements are met. These bonuses are thankfully rare – but put the trader at a huge advantage. Any broker using these sort of terms is best avoided entirely.
  • How is the bonus paid? – Are bonus funds separate from your deposit? If so, this is usually better.
  • How are winnings paid with Risk free trades? – Are profits paid as cash into the account, or added as bonus funds (with their own terms and conditions to be met)

Finding The Best Offer

As we have covered, finding the ‘best’ binary options bonus is a case of delving into the terms and conditions. Only then can you judge if the bonus suits your trading style. A large bonus with restrictive terms could be worthless if those terms are not met without causing you to over trade. A small bonus, with few, if any, restrictions, could be a welcome boost to your trading funds. Biggest is not always best when it comes to bonuses.

Lastly, a high quality, reputable broker will make it easy for you to opt out of a bonus. Some will even allow you to cancel a bonus deal part way through. A broker pushing their bonuses on you could be seen as a red flag. if the bonus does not suit you, turn it down.

Why You May NOT Want That Deposit Bonus

Deposit bonuses are a common feature of binary options brokers today, who use them as an attraction to get new traders to open and fund accounts. Who wouldn’t want some free money but the question is, is it really free? There are several reasons why bonuses are not as free as they seem and why you may not want to accept one.

Trade Minimums – Every bonus comes with a trade minimum. This a dollar amount you must reach before the bonus monies can be withdrawn from your account. The minimum is based on your original deposit and the bonus so if you deposit $2000 and get a 50% bonus the minimum will be based on $3000. On average the trading minimum will be between 20 and 30 times the total account value. We have seen some as low as 15 times and some as high as 40 or 50 times the total account value. This means that an account with a total value of $3000 will have to make trades totalling $45,000 before the bonus is yours. I like to trade 1% of my account at a time to ensure that no one trade can damage my account. In a $3,000 account that means making trades of $30 at a time, $45K divided by $30 is 1500 trades. Of course, you can make bigger trades in order to clear the minimum faster but that can also lead to catastrophic losses.

Time Limits – Some, but not all, deposit bonuses have a time limit. This is usually something like 30, 60 or 90 days. This means that you have to reach the trade minimum before the time limit is up before you can make a withdrawal. We do not want to imply that any of you are not able to turn $3,000 into $45,000 but consider your chances of doing that within 30 days. You might not like being forced into trading more than your budget or system allows. The time limit may be another reason to shoot for the stars, trading more often or with larger amounts than you normally would and adding risk to your portfolio.

Withdrawals – Bonuses make withdrawing money from your account difficult. Some brokers, the shadier ones, will not let you withdraw any money until you meet the minimum trade limit. Brokers that do will not let you withdraw any part of the bonus or profits based on the bonus. In either case clauses in the terms will usually lead to you forfeiting the entire bonus and all profits with any withdrawal request prior to meeting the withdrawal requirements. If you trade your $3,000 account up to $10,000 or $15,000 you might want to take some out.

This broker (OptionYard) says that bonuses can not be redeemed for cash value, very shady.

Free Sign Up Bonus – A free $50 or $20 sign up bonus is not too uncommon these days. This is a “free” bonus you get when you sign up to an account and supposedly does not require a deposit. Except that it might. The only way to get the bonus could be to deposit money and then meet the bonus requirements. You may also get an additional deposit bonus on top of the sign up bonus, which means the bonus requirements could be quite high. Make sure to check what the case is with your preferred broker.

There is a reason why brokers continue to use bonuses as an incentive – they know that the average binary options trader is more likely to lose all of their money than to clear the bonus requirements. That is why the minimum requirements are so high and the time limits so short. In order to meet the minimum you will likely have to engage in risky trading behavior. Any time you are contemplating accepting a bonus be sure to read the terms of use and fully understand what it will take to clear the minimum. Like everything else in life not all brokers are the same and each will have different policies concerning the bonus and when and even if the bonus is really yours.

Bonuses are often applied to accounts automatically by the broker once they are funded so be wary of this an see if you can decline a bonus, should you want to, before you commit. In order to opt out you, the trader, are responsible for contacting their account representatives. Some brokers will also offer other bonuses from time to time so be sure to read the terms and conditions before accepting them.

The Risk In “Risk Free” Bonuses

There are hidden risks to risk free trading the average binary options trader is unaware of. Fortunately we can reveal what to look out for.

There are some obvious advantages to using the risk free trade, you won’t lose, but the fact remains there are some downsides to the equation that may make you think twice about using it. Following you will find a description of a few types of offers you may find and why they aren’t as risk “free” as advertised.

Free $50 Offer Or The No Deposit Bonus

Some brokers will give you a free $50 in order to get started trading. This sounds great and is potential way for a trader to take advantage of a broker for demo trading purposes. Of course, the $50 needs to be enough to make a trade or two.

To sweeten the deal some brokers will also let you know that it is possible to withdraw the $50 once you meet the trading minimum and volume requirements. This is not unusual in and of itself, bonuses come with terms. But beware of related “tie ins”. Minimum deposits are one requirement to unlock a withdrawal and this is true for the “No Deposit Bonus”. Sure you can get one. Sure you can withdraw it, but only after making a deposit. That deposit may also need to be way more than the original bonus.

Free Demo Or Risk Free Trading

Some brokers offer free demos to potential clients with only an email address in return. Not something to be worried about, it’s OK for them to want to get your email in return for the free service.

What’s not OK is to advertise the free the demo and then require a deposit to get it, that’s bait and switch. The demo is free, if you deposit with us. Worse yet is that most brokers who use this tactic aren’t really giving you a demo account, they are tacking a “demo bonus” on top of your deposit and all the trimmings that go with it; volume minimums and cumbersome withdrawal requirements. We do not list brokers that operate like this, but it is worth being aware of.

Cash Rebate Programs

Cash rebate programs sound really nice don’t they? This usually requires a certain minimum deposit, a certain minimum maintenance balance and a trade volume. But here is what you need to know – Some rebate programs give you money back only on your losses.

If you are a net loser on the month you get back some of your loss, if you are a net winner you get back nothing. The kicker is that if you are a net loser, you will have to make another deposit to maintain your balance requirement (where there is one). Some rebates don’t require a minimum balance, you have to lose all your money to get it.

Also remember that rebates are often paid as bonus funds – with their own set of terms. So they are often not that attractive after all.

The Risk Free Trade

The absolute worst of the risk free offers is the out and out risk free trade. Some brokers will offer you risk free on your first, second and third trade. These will always come with a minimum deposit and usually an automatic bonus.

If there is no automatic bonus then the money that you would have lost turns into bonus money. Your balance is still the same, you made a risk free trade, you didn’t lose any money – or did you? The “real money” has turned into bonus funds – with terms attached about withdrawals. There is certainly some risk still involved.

Binary options bonus and bonus types

Brokers uses alot of their effort to sign up new traders and start trading and one of that tactics are the bonuses. Brokers offer bonuses only in return when a new trader register and deposit money with them. Either way, bonuses are great way for to boost their bankroll. Bonuses were not that used in Forex trading. The main reason brokers started offering bonuses is simply because it is so effective for them.

What you will learn here:

  • What are binary option bonuses?
  • Can you withdraw bonus?
  • Is bonus free?
  • What types of bonuses exist?
  • What are best bonuses?

You don’t have to be a genius to understand that people who were interested to trading will be more likely to make an account and work with a broker that offers them a big bonus. That’s the way the binary option bonuses were introduced traders. At the moment, almost everyone if you ask them directly will offer you a bonus.

The idea behind offering binary options bonuses is rational even if much of new traders have hard time to believe in such offer. These bonuses are seen as investment because later on, they will encourage new traders to register and despit their first money. Some new traders also check who has the best bonus to offer and they choose their broker by this standar but it is not something that is adviseable to do. If you preffer some broker more i would rather contact them directly to offer me some good bonus and go with them since most likely they will be happy to assist you.

CAN YOU WITHDRAW BONUS RIGHT AWAY?

It’s logical that you can not withdrawn your bonus immediately simply because there would be to much frauds. People would start registering new accounts and just withdrwa the money. To avoid this, traders have the right to withdrawn the bonus if they met the requirements. If you want to withdraw your bonus, the traders will have to trade certain volumes of asset. For example, Trader will need to trade 100 $ in order to receive 10$ as bonus. But traders will have the chance to withdrawn the profit they make without problems because the requirements are viable only to bonus offer.

IS BONUS FREE?

The binary options bonuses are real but they are connected to a real money deposit as well. Traders will be required to make a real money deposit first, if they want to receive the promotional offer from their choosen broker. This is one of the most effective marketing tactics to make traders register a real money deposit account and start using their money for trading. But it’s normal that the bonuses are tight with a money deposit account because if they were not, traders would just register, take the bonus and generate some profits with the bonus money.

WHAT BONUS TYPES EXIST?

First deposit bonus

Something that is provided by majority of brokers. The free cash you receive as bonus is given to your initial deposit. This means that if trader makes a deposit at the broker that offers such bonus, he will receive additional money for free. Most popular among them is match bonus. By many, this is one of the best bonuses offered from the brokers.

Example, if a broker offers you a 100% bonus match on the first deposit, you will get the bonus money if you chose to deposit. Brokers can’t always offer free money and bonuses and that’s why there is a cap to these kind of bonuses, in some cases. That’s why brokers use a limitation for bonuses and in most cases the limits are in 1.000$ – 10.000$.

Reload bonus

This type of bonus only applies to traders that have history of trading and they want to make another account in near future. But there is a catch with this bonus as well and the rewards are not as big as they are when you deposit for the first time.

No-deposit bonus

This type of bonus is very rare because the broker offers you a bonus that does not require any deposit of your own money. Amount you get is very small and turnovers to withdraw such bonus are higher.

THE BEST BONUSES

It’s recommended to understand the trading bonuses before you make any decision. You can’t avoid the requirements but you can make sure to make them as low as possible. Many unknown brokers are giving outrageous requirements for you to be able to withdrwa the bonus. So make sure you get a good bonus while you still are able to get it out and profit and use it in real world. Try to find a broker that is not trying to trick you that is why its better to sue popular and regulated broker.

Binary Options Bonus Types

Binary Options Bonus Types – What types are available, and how they work?

See the explanations below of the binary options bonus types to figure out which is best for your trading style.

Welcome bonus

Used widely online, in general the welcome bonus is a kind of promotion for, as its name indicates, new clients when you register and create a trading account. It is linked to the first deposit made by each customer in their trading account. These bonuses are usually a fixed percentage of the initial deposit made with the broker or a fixed amount deposited into the client’s trading account. From all binary options bonus types, this is the most used and most sought after by users.

Binary options deposit bonus – redeemable bonus

Each additional deposit by the trader may be eligible for other types of deposit bonuses. Deposit bonuses differ according to each broker. They are often associated with the amount deposited, or the number of repeat deposits or the type of account held by the client. There are two types of deposit bonuses used by brokers to reward traders. The first is the redeemable bonus, which in simple terms can be described as a cash gift. When you deposit an amount of funds into your trading account this generates an additional amount deposited into your account by the broker, after you meet the requirements which are usually a specific value of trading volume. Then, the bonus money is truly yours to do with as you please, including withdrawing it from your trading account. When it comes to redeemable bonuses it is important to pay attention to the restrictions that the brokers place before allowing traders to withdraw the generated bonus value. Often, this is calculated by multiplying the value of the bonus by several investments intended by the broker.

Binary options deposit bonus – leverage bonus

The second type of deposit bonus being offered by brokers is the leverage bonus, which in simple terms is an interest-free loan, since it is composed of funds transferred to your account by the broker, but you can never withdraw this value. Instead, this amount may be used as leverage to allow a trader to place larger or more orders and thus increase the chances of higher profits. The leverage bonus does not belong to the trader, but it can be used like a redeemable bonus under certain special conditions. Sometimes brokers offer more than 100% leverage bonus to traders who deposit large amounts and show they are serious and committed to trading binary options.

Gadget offers such as Smartphones and Tablets

Many binary options brokers offer various types of devices, such as laptops, smartphones, tablets, iPhones or iPads. These offers are usually linked to deposits or trading volumes. Alternatively, some brokers give the device when a trader opens a specific account type. Generally speaking, the offers and promotions of gadgets presuppose the trader meeting certain requirements before he can claim the offer. Sometimes they are a good opportunity to acquire such highly sought after gadgets.

Refer-a-friend bonus

Certain binary options brokers are looking for ways to capitalize on the power of networking and offer traders incentives, in the form of cash bonuses, as a reward for referring friends to the broker. Typically, for every successfully completed registration, when the friend opens a trading account and makes a deposit, the client that made the referral receives a $50 bonus. The good part of this type of bonus is that it is unlimited. If you have a large circle of friends and acquaintances that you could convince to sign up and open accounts, you can receive substantial rewards. However, in doing so, you must be sure that your broker is honest because you are convincing your friends to trust your broker, and thus assuming a level of responsibility for the broker.

Risk free trades

One of the most useful types of promotion, although it is not very common, is granting every new trader who opens a trading account for the first time a certain number of risk free trades. In practice, this means you are safe, regardless of the outcome of these specific trades. If you end up with a profit you can withdraw the money, whereas if you have losses, you don’t lose money from your account, because the broker assumes the losses incurred in these trades.

Free demonstration accounts!

Offering free demo accounts is quite common in Forex trading, but not so much in binary options trading. That’s why some binary options brokers offer this as another type of promotional offer. With a demo trading account you receive a certain amount of play money that can be used to trade. Demo accounts are directed to new and inexperienced traders as a way of allowing them to practice and learn in a safe fictional trading environment. New traders can learn how things work and feel confident enough to open a real account, deposit money and risk it in live trading. The value of the use of demo accounts as a learning process, however, is questionable, since trading in a demo account is void of any real pressure and other emotional factors involved in trading in a regular account, where real money is at stake. A broker who offers a real account with money from the broker so the new trader can trade is rarer. Currently our blog has an agreement with a broker who offers $100 in real money to be managed without requiring a deposit.

Binary options insurance

Another method used by brokers in their attempt to help traders get more for their money is offering binary options insurance to traders. In general terms, binary options insurance is applied to each client’s first trade with losses. All refunds of part or all of the account value depend on the terms and conditions applied by each broker. The value reimbursed can be real money in the client’s account, or replenishment of funds in the account funds, which works like a leverage bonus.

Binary Options Bonus Types – Conclusion

There are thus, many binary options bonus types. However, before you choose your bonus, choose the broker because it is preferable to receive an average bonus with a good broker who offers security, because he is regulated, than to receive an excellent bonus with a broker who then brings you problems.

On this page we offer some binary options bonus types from some selected brokers. Visit and check out our Current Bonuses and Promotions for this month.

If you have any questions or suggestions about the binary options bonus types don’t hesitate to comment. You can also contact me by chat or from the contact page.

Best Binary Options Brokers 2020:
  • Binarium
    Binarium

    Top Binary Options Broker 2020!
    Best Choice For Beginners and Middle-Leveled Traders!
    Free Demo Account!
    Free Trading Education!
    Big Sign-Up Bonus!

  • Binomo
    Binomo

    Trustful Broker. Recommended Only For Experienced Traders!

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