Best Debit Card Brokers 2024
Debit cards are popular with UK investors looking to make deposits and withdrawals to online trading accounts. Debit cards are cheap, secure and often provide insurance when completing transactions. In this article, we look at the definition of debit cards, payment limits and transfer fees. We also explain how to make deposits and withdrawals at trading brokers and list the platforms that accept debit cards.
Debit Card Brokers
-
Established in Australia in 2010, Pepperstone is a top-rated forex and CFD broker with over 400,000 clients worldwide. It offers access to 1,300+ instruments on leading platforms MT4, MT5, cTrader and TradingView, maintaining low, transparent fees. Pepperstone is also regulated by trusted authorities like the FCA, ASIC, and CySEC, ensuring a secure environment for traders at all levels.
-
Founded in 2002 in Poland, XTB now serves more than 1 million clients. The forex and CFD broker combines a heavily regulated trading environment with an extensive selection of 6400+ assets and a commitment to trader satisfaction, featuring an intuitive in-house platform with superb tools to support aspiring traders.
-
Established in 1989, CMC Markets is a respected broker listed on the London Stock Exchange and authorized by several tier-one regulators, including the FCA, ASIC and CIRO. More than 1 million traders from around the world have signed up with the multi-award winning brokerage.
-
FXCC is an established broker that’s been offering low-cost online trading since 2010. Registered in Nevis and regulated by the CySEC, it stands out for its ECN trading conditions, no minimum deposit and smooth account opening that takes less than 5 minutes.
-
Eightcap is an award-winning, FCA-regulated broker offering industry-low trading fees. They are also the highest-rated brand by TradingView’s 50 million-strong users, who can trade directly on the platform. UK traders can sign up for a live account with an accessible £100 minimum deposit.
-
eToro is a top-rated multi-asset platform which offers trading services in thousands of CFDs, stocks and cryptoassets. Launched in 2007, the brand has millions of active traders globally and is authorized by tier one regulators, including the FCA and CySEC. The brand is particularly popular for its comprehensive social trading platform. Cryptoasset investing is highly volatile and unregulated in the UK and some EU countries. No consumer protection. Tax on profits may apply. 51% of retail CFD accounts lose money.
-
Founded in 1999, FOREX.com is now part of StoneX, a financial services organization serving over one million customers worldwide. Regulated in the US, UK, EU, Australia and beyond, the broker offers thousands of markets, not just forex, and provides excellent pricing on cutting-edge platforms.
-
Interactive Investor are a hugely respected, FCA-regulated investing firm. The trading platform is easy-to-use while the sign-up and deposit process is straightforward for new investors. ii also has a long track record and a string of industry awards under its belt.
-
OANDA is an award-winning global broker, established in 1996. The hugely respected brand offers competitive trading accounts and serves clients from 196 countries. It remains a popular option with both beginners and experienced traders thanks to its user-friendly and sophisticated web platform, no minimum deposit and premium currency products and services. The company is also overseen by reputable regulators, including the FCA, ASIC and CIRO.
-
Trade Nation is a top FX and CFD broker regulated in multiple jurisdictions including the UK and Australia. The firm offers low-cost fixed and variable spreads on 1000+ assets with robust trading platforms and training materials. The Signal Centre can also be used for trade ideas.
-
Established in 2001, easyMarkets has made for a name for itself as a trusted, fixed spread broker. Improvements to its tools over the years, from adding the MetaTrader suite and TradingView to enhancing its exclusive risk management tools like dealCancellation, mark it out from the competition.
-
BlackBull is a New Zealand-based CFD broker providing diverse trading opportunities on over 26,000 instruments. After undergoing a rebrand in 2023, it now sports a modern look and feel complete with professional-grade trading tools and ultra-fast execution speeds averaging 20ms.
-
Founded in 2009, Vantage offers trading on 1000+ short-term CFD products to over 900,000 clients. You can trade Forex CFDs from 0.0 pips on the RAW account through TradingView, MT4 or MT5. Vantage is ASIC-regulated and client funds are segregated. Copy traders will also appreciate the range of social trading tools.
-
Established in 2008 and headquartered in Israel, Plus500 is a prominent brokerage that boasts over 25 million registered traders in over 50 countries. Specializing in CFD trading, the company offers an intuitive, proprietary platform and mobile app. It maintains competitive spreads and does not charge commissions or deposit or withdrawal fees. Plus500 also continues to shine as one of the most trusted brokers with licenses from reputable regulators, including the FCA, ASIC and CySEC.
-
City Index is an established and award-winning forex, CFD and spread betting broker with top-tier global regulation, including in the UK (FCA) and Australia (ASIC). With 30+ years in the industry, 13,500+ instruments and 24/5 customer support, City Index is a solid pick for aspiring traders.
-
Fusion Markets is an online broker established in 2017 and regulated by the ASIC, VFSC and FSA. It is best known for its low-cost forex and CFD trading, although its multiple account types and copy trading solutions cater to a range of traders. New clients can sign up and start trading in 3 easy steps.
-
Established in 2017, Pocket Option is a binary options broker offering high/low contracts on forex, stocks, indices, commodities and cryptocurrencies. With over 100,000 active users and a global reach, the platform continues to prove popular with budding traders.
-
GO Markets is an established forex and CFD broker with multiple industry awards and accolades. The ECN/STP broker is popular with budding traders, offering competitive accounts in multiple base currencies and a range of flexible payment methods. With top-tier regulation from CySEC and ASIC, GO Markets is a trusted broker.
-
IQCent is an offshore binary options and CFD broker based in the Marshall Islands. The brand continues to offer a range of unique account types with bonuses and perks, including payout boosts, TradeBacks and free rollovers. With 100+ assets, around-the-clock trading and 98% payouts, the firm is popular with aspiring short-term traders.
-
Markets.com is a respected broker, offering multi-asset trading opportunities through CFDs or spread betting (UK only). Established in 2008, the brand has an impressive 4.3 million registered customers and is overseen by trusted regulators, including the FCA, ASIC and CySEC. 79.1% of retail accounts lose money.
-
FXCM is a respected forex and CFD broker, established since 1999. The British-headquartered broker has won multiple awards and operates in various jurisdictions, including the UK and Australia. With zero commissions, over 400 assets, and a range of analysis tools, FXCM remains a popular choice for traders. The broker is also regulated by top-tier authorities including the FCA, ASIC, CySEC, FSCA, BaFin.
-
Spreadex is an FCA-regulated broker that offers spread betting opportunities on an impressive 10,000+ CFD instruments including 60 forex pairs. Traders can also take short-term positions on sporting events. The brand has been around for over 20 years and has won multiple awards.
-
NinjaTrader is a US-headquartered and regulated brokerage that specializes in futures trading. There are three pricing plans to suit different needs and budgets, as well as ultra-low margins on popular contracts. The brand's award-winning charting software and trading platform also offers a high-degree of customization and superb technical analysis features.
-
Established in 2007, Axi is a multi-regulated forex and CFD broker that has made strides to improve its trading experience over the years, from expanding its suite of stocks and upgrading the Axi Academy to launching its own copy trading app.
-
EagleFX is a forex and CFD broker, established in 2019. The broker uses STP execution on the MT4 platform, offering tight spreads and low commissions. With leverage up to 1:500 and no restrictions on hedging or scalping, EagleFX is an attractive option for short-term traders.
-
Founded in 2015, VT Markets maintains its position as a top Australian multi-asset CFD broker. With 1000+ tradeable instruments and support for the MetaTrader 4 and MetaTrader 5 platforms, this broker delivers a wide range of trading opportunities to over 200,000 clients worldwide. VT Markets is regulated by the ASIC, FSCA, and FSC.
-
PrimeXBT is a multi-asset platform offering highly leveraged trading in forex, indices, commodities and cryptocurrencies. The company launched in 2018 and now has over 1 million users from more than 150 countries. With no minimum deposit, copy trading features and low commissions, the broker remains a popular option among crypto trading novices.
-
Interactive Brokers (IBKR) is a premier brokerage, providing access to 150 markets in 33 countries, along with a suite of comprehensive investment services. With over 40 years of experience, this Nasdaq-listed firm adheres to stringent regulations by the SEC, FCA, CIRO, and SFC, amongst others, and is one of the most trusted brokers for trading around the globe.
-
Founded in 1974, IG is part of IG Group Holdings Plc, a publicly traded (LSE: IGG) brokerage. The brand offers spread betting, CFD and forex trading across an almost unrivalled selection of 17,000+ markets, with a range of user-friendly platforms and investing apps. For 50 years, IG has maintained its position as an industry leader, excelling in all key areas for traders.
-
Grand Capital is a MetaTrader broker with welcome bonuses, trading competitions and an intuitive copy trading service. Several account types and 400+ assets provide trading opportunities for various types of investors and strategies. New users can also open an account and start trading in a matter of minutes.
-
IronFX is a multi-regulated forex and CFD broker founded in 2010. This award-winning firm offers 500+ markets to over 1.5 million clients across 180 countries. Traders can access various account types with competitive pricing on the MT4 platform, as well as 24/5 customer support in 30 languages.
-
Ingot Brokers is a multi-regulated brokerage established in 2006. The broker offers CFD trading opportunities on 1000+ instruments including forex, stocks, indices, commodities and cryptocurrencies. The broker supports the MetaTrader 4 and MetaTrader 5 platforms and offers both raw spreads and commission-free account options.
-
FinPros is an offshore broker that provides CFD trading on 400+ instruments with high leverage up to 1:500. This is a reliable bet for traders seeking offshore options, with strong security measures, negative balance protection and segregated client funds. The extra features including trading tools and commission-free stocks make this a good choice for beginners, and experienced traders will appreciate tight spreads.
-
Uphold is a digital asset platform offering a range of services, from crypto trading and staking to payment cards that provides rewards and easy multi-currency payments. The company was established in 2015 and has enabled $4+ billion in transactions. Uphold is now active in 180+ countries and deals in 200+ crypto and fiat currencies.
-
Scope Markets offers trading and investing in multiple spot and CFD instruments. The group of brokers is regulated in several locations, including Belize, Kenya and South Africa. Users get competitive trading conditions, a range of payment methods, strong support and can get started in a few straightforward steps.
-
4xCube is an online forex and CFD broker registered and licensed in the Cook Islands. Clients can trade on popular financial markets and choose between three accounts based on their capital and trading strategy.
-
Dukascopy is an online broker operated by a Swiss-regulated banking group. It offers a good selection of 500+ markets, with forex, stocks, gold, ETFs, indices, bonds and cryptocurrencies available. It also offers flexible trading opportunities through the choice of CFDs or binary options. Traders will use MetaTrader 4 or a proprietary platform that is well-suited to automated trading.
-
AZAforex is a multi-asset broker founded in 2016. The brand offers a sophisticated proprietary platform, ECN trading and 40+ deposit methods. The brokerage has 120,000+ registered customers with copy trading and a VPS.
-
RockGlobal is a New Zealand based and regulated CFD broker. They offer competitive spreads from 0.1 pips and a large range of trading assets, trading platforms and educational services, with up to 1:500 leverage. Operating in a Tier 1 regulated environment, RockGlobal offers peace of mind and excellent customer support.
-
xChief is a foreign exchange and CFD broker, established in 2014. The company is based offshore and registered with the VFSC and FMA. Users can choose between a wide selection of accounts and base currencies, making ForexChief accessible to global traders. The brand also stands out for its no deposit bonus and fee rebates for high-volume traders.
-
Kwakol Markets is a Nigerian headquartered broker with strong regulatory oversight in Australia and Canada. A great selection of trading assets are available, including synthetic products that simulate realistic market activity. Clients can trade on the MT4, MT5 and cTrader platforms, as well as a copy trading solution whereby a fee is only paid on profitable trades.
-
GoFX is an unregulated CFD and forex broker that covers instruments from currency, stock, index, commodity and crypto markets. Traders can sign up to a variety of account types with deposits as low as $1 and will trade using the popular MetaTrader 4 platform. Exceptionally high leverage up to 1:3000 is offered on the standard account, while traders with the low-spread account can access leverage up to 1:1000.
-
Focus Option is an offshore broker that specializes in binary options as well as CFDs. Binary options trading on forex, cryptos and three commodities is done through the broker's simple web-based platform with average payouts between 70% and 95%. The broker also offers a mobile app for trading CFDs, with 300+ tradeable instruments.
-
OspreyFX is an ECN broker headquartered in St. Vincent and the Grenadines. Established in 2019, the firm offers 120+ forex and CFD assets with high leverage up to 1:500, tight spreads from 0.1 pips and round-the-clock customer support. OspreyFX also stands out for its funded trading accounts where traders can keep up to 70% of profits.
-
Errante is a Cyprus-based and regulated forex and CFD broker with leveraged trading on multiple assets, tiered accounts including a zero-spread option, and copy trading support. The broker offers leveraged trading up to 1:30 under its CySEC-regulated branch and 1:500 from an offshore branch, and supports the MetaTrader 4 and MetaTrader 5 platforms. Errante's asset list is relatively limited but it does offer fast execution and low latency, and it is a trustworthy brand.
-
LonghornFX is a forex and CFD broker offering over 150 instruments with leverage up to 1:500. The firm is registered in Saint Vincent and the Grenadines and was launched in 2020. Clients can access a strong selection of cryptos, alongside forex, indices, commodities and stocks. With ECN/STP processing, this offshore broker promises tight spreads and fast execution.
-
Baxia Markets is an offshore CFD broker that offers trading on forex, commodities and indices with tight spreads on a straight-through processing model with ultra-low latency. Trade on MetaTrader 4 or MetaTrader 5 with leverage up to 1:500 and no restrictions to scalping or hedging strategies. Users also benefit from third-party copy trading services.
-
Revolut has emerged as the most downloaded financial app in 11 countries with over 45 million users and more than $23 billion held in customer balances. It facilitates commission-free trading on over 2000 stocks and commodities, alongside 185 cryptos with a minimum investment of just $1. The mobile trading experience remains market-leading for casual investors seeking low, transparent fees.
-
TMGM is an ASIC-regulated forex and CFD broker with a vast range of tradeable assets covering forex, stock, index, crypto and commodity markets. The account types on offer provide a flexible choice between no commission or zero spreads, with competitive pricing all-round.
-
Anzo Capital is an offshore broker that offers leveraged CFDs on 100+ instruments including forex, stocks, indices and metals. The MetaTrader 4 and MetaTrader 5 platforms are supported, and traders can choose between an STP account with spreads starting from 1.4 pips and zero commission, or an ECN account with a $4 round-turn commission and spreads from zero. A decent range of payment methods are accepted, including crypto deposits.
-
Switch Markets is a multi-asset CFD brokerage, regulated by ASIC and SVGFSA. The new brand offers trading on the MT4 and MT5 platforms and leverage up to 1:500. The broker boasts over 2000+ instruments, with some additional tools including copy trading services and free VPS hosting.
-
Kucoin is a crypto exchange that offers trading on 1000+ tokens as well as leveraged trading opportunities via futures and perpetual swaps. This exchange has a slick trading platform that supports robots, allowing traders to implement automated strategies. Other attractive features include a demo account, flexible funding methods and DeFi features like staking and mining.
-
Pacific Union Prime is an FSCA and offshore-regulated multi-asset broker offering competitive fees and direct market access on forex, commodities, stocks, bonds and indices. The broker supports the popular MetaTrader 4 and MetaTrader 5 platforms and a proprietary mobile app. Fees vary by account type with no commission and spreads from 1.9 pips on the Standard account and $7 commission per lot and spreads from 0.4 pips on the Prime account.
-
Nexo is a centralized crypto exchange founded in 2018 in Bulgaria and today operates across some 200 jurisdictions from its base in Switzerland. It provides services including spot trading, futures trading, peer-to-peer loans, cold wallet storage and fiat-on ramps to buy crypto tokens. The crypto firm is registered with some respected financial authorities, such as the ASIC, and offers some fairly unique additional services including a credit card.
-
AdroFx is an offshore ECN/STP broker that has offered CFD trading since 2018. The firm supports 100+ tradable assets on the popular MetaTrader 4 platform as well as a web trader, Allpips. Eight live accounts are available with no restrictions on trading strategies.
-
Established in 2012, Hong Kong-based Bitfinex is a formidable player in the crypto industry. It boasts a powerful proprietary platform, 180 cryptocurrencies and more than 430 market pairs available for spot or perpetual swaps derivatives trading. With new payment methods, lower entry barriers and fresh products like crypto futures, Bitfinex is attracting a wider range of active crypto traders.
-
ActivTrades is a UK-headquartered CFD and forex broker established in 2001. The award-winning brokerage has secured licenses from trusted bodies, notably the UK’s FCA, and facilitates trading on over 1000 instruments spanning 7 asset classes, with over 93.60% of orders are executed at the requested price.
-
Swissquote is a Switzerland-based bank and broker that offers online trading and investing. The company has a high safety score and is listed on the Swiss stock exchange. The firm offers a huge range of products, from stocks, ETFs, bonds and futures to 400+ forex and CFD assets. Hundreds of thousands of traders have opened an account with the multi-regulated brokerage. Clients can get started in three easy steps while 24/7 customer support is available to assist new users.
-
Fortrade is a multi-asset, multi-regulated broker with branches regulated by the FCA, CySEC and ASIC among others. The brand offers trading opportunities on a wide range of instruments including stocks, bonds, commodities, forex, indices, cryptocurrencies and ETFs, with competitive fees and support for MetaTrader 4 and a proprietary platform.
-
Established in 2005 in Australia, FP Markets is an ASIC- and CySEC-regulated broker boasting an extensive suite of tradable assets. Its Standard and Raw accounts cater to traders at every level, while it packs a punch in the tooling department, from the MetaTrader suite and intuitive TradingView to actionable trading ideas from Trading Central and AutoChartist.
-
Established in 2005, FXOpen is a multi-regulated broker that has attracted over 1 million traders. Designed for active trading, it provides access to a growing selection of more than 700 markets and supports high-frequency trading, scalping, and all forms of algorithmic trading using expert advisors (EAs).
-
Infinox is a UK-based and FCA-regulated broker that offers diverse trading products thanks to its STP and ECN account types and support for MetaTrader 4, MetaTrader 5 and a proprietary platform. Clients can also benefit from a free VPS that can support automated strategies and a social trading platform, catering to both beginner and seasoned traders.
-
Hantec Markets was established in Hong Kong in 1990. Initially, the company concentrated solely on the Chinese and Taiwanese markets. In 2008, the broker rebranded and expanded its presence in the UK, Australia, Japan, and various other countries, before enhancing its footprint in Latin America in 2022. Hantec now stands as a multinational brokerage with 18 offices across Europe and Asia.
-
Just2Trade is a reliable multi-regulated broker registered with FINRA, NFA and CySEC. The company has 155,000 clients from 130 countries and stands out for its huge suite of instruments and additional features, including a social network, robo advisors and a funded trader programme.
-
BinaryCent is an unregulated binary options broker that offers 24/7 trading on forex, cryptos and stocks with payouts up to 95%. Despite its lack of regulation, this broker takes client security seriously and stores client funds in European banks. The broker also offers CFDs with very high leverage up to 1:500.
-
World Forex is an offshore broker registered in St Vincent and the Grenadines, offering commission-free trading with a $1 minimum deposit and 1:1000 leverage. Digital contracts are also available, offering beginners a straightforward way to speculate on popular financial markets.
-
RaceOption is a binary options broker operating from the Marshall Islands. With over 1,500 clients, the broker aims to offer fast funding, low fees and a secure trading environment. Traders can access over 100 binary options and CFDs, plus copy trading and weekly prizes.
-
FXCentrum is an offshore broker that offers highly leveraged, commission-free trading on diverse instruments with tight spreads. Traders can access forex, equity and commodities markets via MetaTrader 5 or the proprietary FXC platform and use the award-winning ZuluTrade platform for copy trading.
-
Vault Markets is an award-winning brokerage headquartered in Namibia. It is an accessible direct-market-access CFD broker with affordable minimum deposits, flexible funding methods and high leverage. This broker offers a very large range of forex pairs as well as commodities and indices through MetaTrader 4 or MetaTrader 5.
-
Exinity provides flexible low-cost trading in FX, commodities, indices and equities alongside unique education and support provided by teams located across the world. Now operating in the Middle East, through regulation from the Financial Services Regulatory Authority in Abu Dhabi and the Financial Services Commission of Mauritius, Exinity provides a range of services to traders and investors looking for new opportunities in the financial markets.
-
FXTM is a forex and CFD broker established in 2011 and operating across four continents. The company is secure and regulated by leading authorities, including the FCA. Offering 1,000+ markets and three account types, they cater to all levels of trader.
-
Capital.com offer CFDs on a range of markets with competitive spreads and zero commissions. The broker also offers the Investmate app, negative balance protection and leveraged trading.
-
Trading 212 is a European and UK-regulated CFD broker that also offers stock investing and ISAs. It’s best known for its commission-free trading model and beginner-friendly app, which has helped it attract 2.5 million users and £3.5 billion in client assets.
What is a Debit Card?
A debit card is a type of payment card that typically deducts money straight from a customer’s bank account. It can be used to pay for goods and services in-store or online, including at trading brokers. Most banks provide a debit card when you apply and sign up for a current account. Each card features a unique 16-digit card number and expiration date. Modern cards even come with radio-frequency identification (RFID) technology to support contactless payments. Today, debit cards can also be connected to Google Pay and Apple Pay. Importantly, most debit cards in the UK are issued by Visa or Mastercard.
A debit card essentially functions as a cross between ATM cards and credit cards. They can be used to withdraw cash from a bank account at an automated teller machine, while also being used to facilitate purchases in shops and online. This wide range of uses contributes to debit cards being one of the most popular payment methods in the UK. In September 2019 alone, 1.6 billion transactions were conducted on debit cards by UK account holders, with a total value of £51.1 billion.
Debit Card Comparisons
Debit card, cash card, bank transfer or credit card… there are many options out there and it can be hard to know which one you should use for trading in the UK. So, what are the differences?
Debit Card Vs Credit Card
The primary difference between a debit card and a credit card is that the former allows you to complete transactions by spending funds that you have previously deposited in a bank account. In contrast, a credit card allows you to borrow money from the card issuer (usually up to a limit) to either make purchases, deposit funds at a broker, or withdraw cash. This then needs to be paid back with interest.
Each option has benefits and downsides. Importantly though, debit cards are safer than credit cards. They spend money you already own rather than building up a potentially large debt. They also tend to be fee-free and there is no risk of damaging your credit rating. Conversely, credit cards offer more protection against fraud as they are not linked to a bank account. They also provide users with more flexibility, allowing customers to spend money they may not have right now with the knowledge they can pay it off when their wage or salary comes in.
In terms of use, debit cards are more popular than credit cards. In March 2020, over £52 billion worth of purchases were made on debit cards, compared to £12.89 billion worth of credit card transactions. Of course, which one you wish to use comes down to personal preference. Debit cards and credit cards are both accepted by a wide range of brokers across the UK, and they generally have comparable speeds and fees.
Debit Card Vs Cash Card
Debit cards and cash cards are similar, with the latter having slightly more limiting functions. A cash card allows the holder to use an ATM and withdraw funds from their bank account. A debit card offers the same facility, along with the ability to make payments directly for goods and services, such as depositing at a UK based broker. Therefore, if you are looking to conduct transactions at online brokerages, you should opt for a debit card instead of a cash card.
Debit Card Vs Bank Transfer
Paying with a debit card or a bank transfer is another consideration. Both take money directly from the holder’s bank account and can be used for deposits and withdrawals at brokers across the United Kingdom. The main difference comes down to the level of protection offered. When you pay via debit card, you can easily cancel the card if it is lost, stolen or the information is breached. However, it is more difficult to change your bank details. Moreover, debit cards offer some fraud protection, though limited versus credit cards.
Prepaid Debit Cards
A prepaid debit card contains cash that has been loaded in advance. This type of debit card can be issued without a bank account, and the holder can use it to purchase items in-store as well as complete online transactions at brokers. It operates in a similar way to a gift card – once the funds have been spent, it either must be reloaded or it cannot be used again.
Some UK brokers have also started to release their own prepaid debit cards, particularly in the cryptocurrency sector. These debit cards allow the trader to use cryptocurrency stored in their digital wallet to pay for items in-store and online. Among the brokerages offering a prepaid debit card is Coinbase, which launched a Visa debit card in October 2020. The card allows users to pay for goods using Ripple (XRP), Stellar Lumens (XLM) and other popular crypto coins while earning rewards of up to 4%.
Fees
The fees associated with a debit card are generally low compared to other solutions. Merchant fees within the UK are usually a small percentage of the total transaction amount or trade. They can be anywhere from 0.25% to 3% depending on the card issuer. Some debit card firms also cap the total transfer fee at around £2.
Importantly, the maximum transaction or payment limit usually depends on the bank the card is issued by. Generally, the amount of funds you can hold in the account represents the limit. Equally, a broker may impose a withdrawal limit constraining how much you can take out of your trading account per day. Moreover, fees may be incurred when depositing using a different currency. If you deposit to a broker that is based outside the UK and does not offer a GBP account, for example, payments may be subject to interchange fees.
Speed
Debit card payments are some of the quickest around. At a store, holders simply have to tap their card on the machine and payment is made instantly. At brokers, the system is comparably quick. Most of the time, debit card transfers are instant, meaning you can deposit funds and start trading right away. With that said, sometimes debit card transfers can take up to five working days. If your funds have not been credited to the broker after 7-10 business days, you should contact their customer support team.
Debit card withdrawals, while not being as quick, are typically processed within 24 hours. This is much quicker than say a bank transfer which can take upwards of two working days to process at some brokerages. The processing time also varies significantly between brokers. For instance, Pepperstone states that any debit card requests received before 21:00 GMT will be processed on the same day. On the other hand, AvaTrade clients must allow up to five working days, though this timeline is reduced if you use their card.
Security
Security and user protection are high when making deposits and withdrawals with a debit card. Firstly, it is not possible to pay without having access to the card – transactions require the card number, expiration date and CVC code, meaning even a picture of one side will not suffice. Moreover, the name of the debit cardholder must be the same as the holder of the trading account, ensuring other people cannot use your card to fund their accounts.
Security can also be taken to another level on the broker’s end. You can look to trade with a debit card broker that supports two-factor authentication (2FA). This can be completed via email, text message, biometrics, or fingerprint recognition. In addition, it is possible to apply for a refund if you have deposited funds accidentally.
How to Make Debit Card Deposits & Withdrawals
If you want to deposit into your trading account using a debit card, follow these simple steps:
- On your broker’s website or app, head to the payments section
- You should see a list of funding options, select debit card
- You may have to specify whether you are using a Visa, Mastercard or another brand
- Enter the amount of money you wish to deposit. At UK brokers it is best to deposit in GBP – other currencies may incur an additional charge
- Enter the required debit card details (16-digit card number, expiration date, 3-digit CVC code)
- Click confirm to complete the transaction
Remember, debit cards only allow you to use money that you own. Do not attempt to deposit more money than you have in your bank account – this could result in overdraft charges.
Withdrawals at debit card brokers can take slightly longer to process:
- Head to the payments section on your broker’s website or app and select withdraw
- If appropriate, specify which trading account you will be withdrawing from
- Select debit card from the options and choose Visa, Mastercard or another issuer
- Enter the amount you wish to withdraw. Brokers may impose limits on how much capital you can take out per day
- Enter the required debit card details
- Confirm the payment
Pros of Trading With Debit Card Brokers
Trading at debit card brokers has several benefits:
- Debit cards are offered with most bank accounts
- Instant deposits at many brokers in the UK
- Provides the holder with fraud protection
- Accepted by almost all UK brokers
- Ability to request refunds
- Does not build debt
- Low fees
Cons of Trading With Debit Card Brokers
There are some downsides to trading at brokers that accept debit card deposits:
- Regular debit cards do not earn rewards
- Less protection than credit cards
- Cannot use borrowed money
- No anonymity
Final Word on Debit Card Brokers
Debit cards are a fast, cheap and secure payment method. As a result, they remain one of the most popular deposit and withdrawal options at online trading brokers. At many UK brokerages, deposits using a debit card are also near-instant. See our list of supporting brokers to fund your account and start trading today.
FAQ
What Is A Debit Card?
A debit card is a payment card provided to holders of bank accounts. It allows the customer to spend money that is held in their account without having to withdraw cash. They are also accepted by many of the top trading brokers in the United Kingdom.
What Is A Prepaid Debit Card?
A prepaid debit card comes loaded with funds. It behaves similar to a gift card – once the funds are spent it either must be reloaded or it cannot be used. Some online brokers have also started to offer prepaid cards to customers, including Coinbase.
What Is The Difference Between A Debit Card And A Credit Card?
Debit cards allow you to spend funds that you have deposited in a bank account or preloaded funds. In contrast, credit cards allow you to borrow money from the card issuer which you must then pay back after a set period, for example, one month.
Are Debit Cards Safe?
Debit cards are a relatively secure payment method. You cannot get yourself into debt as you only pay with funds you already have. Moreover, protection is offered against fraud when paying with a debit card.
Are Debit Cards Cheap?
Debit cards are a low-cost deposit and withdrawal option. Transaction fees are typically between 0.25% and 3%. Also, they are usually offered for free with a bank account. Note, that trading brokers may also apply their own transfer fees.