How Forex Rebates & IB Cashback Actually Work

Forex rebates sound too good to be true — get money back on every trade? Here is the simple explanation of how the IB model works, where the money comes from, and what you should look out for.

The Introducing Broker (IB) Model Explained

Every major forex broker has an Introducing Broker program. The concept is simple: the broker pays a commission to IBs who refer new clients. This is identical to how affiliate programs work in every other industry — Amazon pays affiliates for referrals, banks pay partners for new account openings, and forex brokers pay IBs for new traders.

When you open an IC Markets account through an IB link (like ours), IC Markets pays the IB a small portion of the spread or commission on each trade. This payment comes from IC Markets' existing revenue — it is not added to your costs. You pay exactly the same spreads and commissions whether you sign up through an IB or directly.

Here is the key insight: an IB who keeps all the referral commission gives you nothing. An IB who shares the commission back with you — through rebates, cashback, or commission discounts — gives you a real financial benefit at zero cost to you. This is what TradersFXPartner does.

How the Money Flows — Step by Step

The result: IC Markets gets a new client (good for them), you get lower trading costs (good for you), and we earn a smaller commission on your trades (good enough for us). Everyone wins. This model has sustained our IB partnership for 10+ years.

Types of Rebates — What to Look For

Not all rebate programs are equal. Here are the main types and what to watch out for:

Real-time commission discounts (what we offer) are the best type. The discount is applied at the moment of your trade — you see the reduced commission in your trade history immediately. There is no delay, no minimum volume requirement, and no risk of the IB not paying. TradersFXPartner's commission discount (up to 21% off) works this way through IC Markets' built-in IB system.

Monthly cashback rebates are paid after the fact, usually once per month. The IB calculates your trading volume and sends you a payment. The risk here is that the IB controls the payment — there is no guarantee they will pay, and you have limited recourse if they do not. Some cashback sites have excellent reputations; others do not.

Deposit bonuses with conditions (common at XM, HotForex) give you bonus credit that requires trading a certain volume before withdrawal. These are not true rebates — they are marketing tools designed to encourage you to trade more. The required volume often means you pay more in spreads and commissions than the bonus is worth.

Our recommendation: always prefer real-time discounts over monthly cashback. The money is guaranteed, immediate, and verifiable in your trade history. Read more about our specific offer on the IC Markets rebates page.

Red Flags to Watch For

The forex rebate space has some bad actors. Here are warning signs that a rebate program may not be trustworthy. Be wary of programs that promise unrealistically high rebates (e.g., "90% of spread returned"). If a rebate offer sounds too good to be true, the IB may not be able to sustain those payouts and will eventually stop paying.

Watch out for rebate providers with no verifiable track record. How long have they been operating? How many clients do they serve? An IB who has been active for 10+ years with 761 clients (like us) has a track record you can verify. A new site with no history carries more risk.

Also be cautious of rebate programs that require you to trade with unregulated or poorly regulated brokers. No rebate is worth risking your capital with a broker that lacks proper regulatory oversight. IC Markets is regulated by ASIC and CySEC — two of the world's most respected financial regulators. Read our full IC Markets review for details on their regulatory status.

How TradersFXPartner's Rebate Compares

We offer two options through our IC Markets IB partnership, and we believe both are among the best available for IC Markets clients:

The $100 cash bonus is straightforward — open an account, fund it, trade 30 lots, and receive $100 in your trading account. This is ideal for traders who want a one-time reward alongside their regular trading.

The commission discount (up to 21% off) is permanent. It reduces your Raw Spread MT4/MT5 commission from $7.00 to $5.50 per lot, and cTrader from $6.50 to $5.50 per lot. This discount is built into IC Markets' system and applies automatically — there is nothing to claim or track.

For any trader who plans to trade more than 67 lots total, the commission discount saves more than the $100 bonus. At 100 lots/month, the discount saves $150/month — making it the clear choice for active traders. High-volume traders like scalpers benefit even more; see our scalping guide for real daily savings calculations. For verified cost data, check our 2026 spread test. Visit our IC Markets bonus page to get started.

Choose Your IC Markets Bonus

Forex Rebates — FAQ