How to Open Forex Account

June 30, 2013 4:31 am

forex_accountForex trading is really exciting and preferred business by millions of people all around the world. It is really great, but the question here is, can any person open a forex trading account and start buying and selling right away?

Well, yes, he can. However, there are a couple of important things that you will have to learn before starting. First of all, you need to find a broker that will suit your needs. This task is relatively easy because there are thousands of different brokers out there. Once you’ve chosen the one you want, the process becomes more of a bureaucratic and it is similar to opening standard bank account.

Here is the information you will need to provide

  • Account currency type
  • Phone number
  • Employment status
  • TAX ID or social security number
  • Set password
  • Date of birth
  • Citizenship

Financial questions such as; net worth, annual income, trading objectives/experience. Probably you will ask why do brokers need all this information. Well, the answer is – to comply with the law. Forex has actually been considered as illegal in the beginning, but as time passed, new regulations were set, so that everything has come to its place.

Where to Open a Forex Account

It is highly unlikely that you will find any trader or broker that will accept your account request without providing most of the above mentioned questions. If you, however, find one, don’t hurry up to sign up, because it might not be legitimate. In most cases such brokers are one huge fraud and you will lose your money once you fund your account. So remember, if you are not feeling sure about the one you have chosen, just change it with other one.

Usually the final step of account signing up is risk disclosures related. Take this part seriously because forex is considered to be one of the hardest businesses for beginners and thus, it tends to make people lose their money, in case they are not careful.

Now once you have given all your information, you will be able to start trading. But before that, the broker usually sends a verification email, that will show them you are the person who has just registered. In some cases you might have to send additional information such as government ID or utility statement that is used for address and name verification. As you can see it is not hard to open forex account!

Where to Trade

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