Forex withdrawals normally take up to 2 days. But it may also be longer. There are 4 reasons why withdrawal takes too long.
How long does it take to withdraw funds from a forex account? Bonafide brokers usually process any withdrawals immediately. However, the money may need anywhere from 1 minute up to 48 business hours to arrive in your bank account.
Any longer than that, your forex withdrawals may be pending or stuck somewhere along the way. How does it happen? Well, there are several reasons why withdrawal takes too long. Here are some of them.
1. Withdrawal Requests Outside Working Hours
Despite the fact that some brokers may advertise it, forex withdrawals are not automatic. Staff from the accounting or finance department have to approve your requests, then forward them to any payment method you choose. Obviously, your requests can only be processed during working hours.
No worries, though, because forex brokers have longer business hours than most businesses. At least, they ought to provide sufficient support for traders during forex market hours (which means 24 hours a day, from 5 p.m. EST on Sunday until 4 p.m. EST on Friday, except for bank holidays).
2. Unsuitable Payment Method for Your Jurisdiction
The time needed for funds to be transferred includes processing by your broker, your bank, and any other payment gateway you use. As such, your funds may wander somewhere along the way after your broker sends them out.
Forex brokers usually provide multiple choices for payment, including but not limited to bank wire/bank transfer, debit/credit card, crypto wallet, as well as PayPal and other digital payment gateways. Some offshore brokers may also allow payments through third parties.
If you reside in the same country as your broker's bank, then bank transfer is the best payment option—safe and swift. However, sending money across countries and continents is more difficult, time-consuming, and expensive. Two days at the fastest, up to two weeks at the latest.
Your country may also impose limits on cross-border transfers or prohibit fund transfers via certain payment gateways. In this case, you may have to answer some questions from authorities before receiving your bountiful profits.
3. Missing Details
Lots of forex brokers implement this policy: deposited funds must be returned to the originating source, while excess funds may be withdrawn via bank transfer or wire.
It seems straightforward but is actually quite tricky. For example, someone deposited $1000 through credit cards, and, sometime later, wanted to withdraw $1250. He then had to withdraw $1000 through his card, and $250 through a bank wire or bank transfer.
The problem here is that he has to fulfill all information separately, both for credit card and bank account details. Otherwise, the broker may suspend withdrawals until he meets all the requirements and uploads all the necessary documents. In this case, he may have to contact customer support or an account manager to clear the pending withdrawal.
In order to prevent such problems, make sure you understand your broker's withdrawal procedure before depositing any amount of funds. Understand that each broker may apply different terms and conditions.
4. Forex Scam
Forex fraud has long been the bane of traders' existence. Commonly disguised as unlicensed forex brokers, they attract clients with abundant bonuses and then steal their funds. One of their remarkable characteristics is easy deposits but elaborate withdrawals.
They may allow small amounts of withdrawals, but then turn their back on you once you try to remove more than a certain amount of funds. Therefore, you should not deposit large amounts of funds with unlicensed entities. Also, rather than withdrawing large sums all at once, try withdrawing small amounts regularly. You can also try other withdrawal strategies to optimize your transactions.