Plus500 Fees Review – Is it a Cheap Or Expensive Broker?

Is Plus500 Cheap?

Plus500 Review

When you're evaluating a broker and determining whether to open an account with them, you need to know just how affordable (or costly) they are — and what you get in return for your money. Only then can you determine if Plus500 (or any other platform) is cheap.

So, what do you need to consider here? First of all, there are the trading fees — the stuff you pay per each trade. These can be conversion fees, financing rates, spreads, and commissions. On the other hand, you’ve got the non-trading fees — in other words, what you pay for activities unrelated to trading, such as inactivity fees or withdrawal fees.

From that standpoint, is Plus500 affordable?

To put it simply — yes.

This platform is a great choice for people that want access to a variety of financial markets without incurring high trading costs — as long as a functional, albeit simple platform is enough for your trading activity.

So, Plus500 won’t cost you a lot, but it doesn’t provide as many “bells and whistles” as you’d find at some of its peers. While their product suite includes more than 2,000 CFDs, you can only trade on their proprietary WebTrader platform.

Still, if you know what you’re doing, it’s well worth it; Plus500 offers zero commissions and enticingly competitive spreads — more than enough to entice more experienced investors who also execute their transactions manually.

Beginners might find the learning curve a bit much due to a lack of research and educational sources, as well as no MT4 support and zero auto-trading features. However, if low commissions are what you’re after — Plus500 is definitely cheap, and the lack of functionalities is offset by very low expenses.

Plus500 CFD Fees

Plus500 is a very transparent broker when it comes to the fee and commission structure. You won’t find any hidden trading fees or commissions — though your payment processors might charge you a fee when you withdraw trade earnings or deposit money into your Plus500 account. However, there’s a commission you pay the broker for currency conversions, if you’re paying for an order in a currency that’s not supported by your account. And as we’ve mentioned above, there’s a $10 inactivity fee you start paying each month after not logging into your account for three months.

If you already have some experience with trading, you may have noticed that this spread-based commission structure used by Plus500 is some of the most attractive options you’ll find. However, there are some alternatives.

For instance, Admiral Markets offers an equally competitive pricing structure that sees the same minimal spread of 0.5 pips — but that broker also provides traders with an alternative, commission-based fee structure. There, the mark-up starts at 0.0 pips but comes with a fixed $6 per round cost. Scalpers and high-frequency traders may prefer this because it lowers their overall expenses — though Plus500 is still the better choice if you’re not scalping.

Plus500 Forex Fees

Plus500 supports forex spot trading and trading in Forex CFDs. While there are no specific trading fees for Forex trades on Plus500, the broker makes most of their profit from spreads. You can find some of the typical forex spreads compared to those offered by Admiral Markets below:

As you can see, while the spreads vary from pair to pair, Plus500 generally offers lower spreads than Admiral Markets — making them more affordable for traders.

Plus500 Non-Trading Fees

Besides the trading fees that Plus500 commonly collects through spreads, there are some other non-trading fees that you should know about.

HDoes Plus500 Charge an Inactivity Fee?

Yes. After three months of inactivity — meaning not logging into your trading account — you will be charged $10 for every following month until you begin actively using the platform again, or cancel your account.

Does Plus500 Have Deposit and Withdrawal Fees?

One of the things that make Plus500 so affordable is that they don’t charge deposit and withdrawal fees. That being said, your payment processor may charge their own fees in the process.

Does Plus500 Charge Other Fees?

Besides all of the above, there’s a currency conversion fee if you’re funding your account with a currency that’s not natively supported by Plus500 when it comes to depositing and withdrawal. Also, there’s an overnight fee for holding long positions that varies depending on the instrument in question.

What are Plus500 Financing Rates?

Unfortunately, Plus500 is not known for its cheap financing rates. On the contrary, the yearly financing rates on this platform can be pretty steep — if you prefer long positions, you’ll encounter significant financing costs.

What is a Plus500 account Minimum?

When you open a Plus500 account, bear in mind that there’s a $100 deposit minimum for your first deposit.

Rebate From Traders Union

Traders who use the Traders Union referral link to open an account on Plus500 will receive a neat bonus in the shape of an active trading rebate. In other words, you’ll get a part of the spread that you paid to Plus500 for opening a trade. These rebates are only available to traders who register a Plus500 trading account via Traders Union.

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