Forex Rebate
Also known as: Cashback, Forex Cashback, Rebate
A forex rebate is a per-lot payment the trader receives back from each round-turn trade, regardless of whether the trade won or lost. Rebates are funded by the broker as a portion of the spread/commission it would have kept, and are paid out through an introducing broker (IB) or rebate provider like FN Trading Lab.
Rebates effectively reduce trading costs — a $5/lot rebate on a 0.7-pip-spread EURUSD trade returns roughly 70% of the spread cost. For active traders and scalpers, accumulated rebates can transform marginally profitable strategies into clearly profitable ones.