Is it possible to restore some of your loss in binary options broker? With their all or nothing term, it appears to be impossible. But with a refund feature, you don't have to worry about having a complete loss when your option expires out-of-the-money, as some of your money invested in that particular option will be returned. Which brokers have this kind of functionality?

First of all, let's not get misled by this article's title. The brokers that are about to be mentioned here do give back your cash, but only as a partial refund when your option expires out-of-the-money. In other words, you will have the opportunity to not lose all of your invested money in a lost position. Why has this become a major issue? The thing is, the majority of binary options brokers adopt all or nothing principle, which give no chance for you to save some of your investments when your position came up out-of-the-money. That's why having a feature that allows you to recover some of your money back can be regarded as uncommon.

You can call it a marketing strategy or be suspicious of whatever the real motive behind this feature, but considering the rarity of it, it does make sense to admit that refund may actually be (even in the slightest) beneficial for your trade, at least to manage your risk. Besides, refund amount is usually adjusted to profit rate, in which the more you increase rate, the less your benefit will be. That condition shows how refund won't influence brokers' income, so you can put aside your worry that says refund may just be another broker's trick that somehow makes me lose more money than what I gain back.

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Since refund rate is adapted to the number of your potential profit, it may dampen your chance of earning high returns. But remember that on the other side, it can be a significant tool to prevent you from losing all of your investment in one trade. If you're a risk averse trader, there's no doubt you would certainly grasp the idea of it, especially when you trade in a risky and speculative environment like binary options.

So, where to look when you go searching for a binary options broker with refund functionality? The following list may give you a head start on your quest:

1. TradeRush

Minimum deposit: $200
Investment starts from: $10
Profit rate can go up to: 81%

TradeRush is quite well-known as one of the best choice for binary options broker. Founded in 2011, this broker offers return as high as 81%, and refund from 0% to 10% that depends on the option type. TradeRush is unable to copy the effort as they are powered by SpotOption, a trading engine with its own format that possibly limits TradeRush's capability to provide refund, yet owns a lot of extra features.

Most of the additional service are generally available to provide you with more choices of exit strategy. Double Up and Rollover are 2 of SpotOption's perks which is able to give you more ways to end your option, and happen to be offered in TradeRush's platform. If you are a candlestick fan, you won't need to worry a thing as this broker is also capable of equiping its SpotOption-based platform with that chart type, as well as a few of strategy advisors derived from either RSI, Moving Averages, or Bollinger Bands analysis. In regard with option types, TradeRush has been offering a wide range of them for quite some time already. There are Pairs trading, Long Term, 60 Sec, One Touch, and Ladder to accompany the generic call/put.

2. Option Fair

Minimum deposit: $/€/£250
Investment starts from: $/€/£25
Profit rate can go up to: 85%

Applied in accordance with certain trading instruments, refund rate in Option Fair ranges from 0% to 15%. Dubbed as one of leading binary options brokers at its time, this broker is operating with TechFinancials technology, lining itself with the likes of 24Option and BossCapital. You can directly check what instruments are accompanied by refund rate in Option Fair's platform. The information is available in the out-of-money section, just below the Return outcome for in-the-money scenario.

Compared with TradeRush, Option Fair's trade types are not as diverse. They have 2 variants of call/put (high/low and above/below), short term trading, touch options with its high yield version, and boundary trading that goes with high yield type too. On the bright side, Option Fair appears to develop many fascinating extra freatures, like trading academy, economic calendar, tournament program, as well as forex spot trading. Option Fair also classifies its account in 5 classes, starting from Standard, Silver, Gold, Platinum, to VIP.

 

3. No1Options

Minimum deposit: £250
Investment starts from: £10
Profit rate can go up to: 80%

Among the existing binary options brokers, No1Options may still be in the unpopular territory. Surprisingly, they have managed to provide clients with refund although the rates only range from 0% to 10%. No1Option don't directly implement this feature on their platform. They choose to transfer the returned-on-loss money straight to clients' account. That procedure may have something to do with No1Options' platform, which is supported by SpotOption 2.0.

Besides refund payment whose information can be found in FAQ section, other notable extras from No1Options include diverse option types (common call/put, One Touch, Fast Trading, Pairs, Long Term), trading tools like fibonacci and privot calculator, as well as market data information such as economic calendar and market review.

 

4. iForex Binary Options

Minimum deposit: $100
Investment starts from: $10
Profit rate can go up to: 92%

Offered as an additional brand alongside its forex spot counterpart, binary options in iForex have been decorated with refund functionality that is guaranteed in a fixed 10% rate. iForex developed its own built-in platform, but there is no refund adjustment feature on it, probably due to the established nature of the broker's refund policy. The only trace of refund in the platform is a black sign of 10% payout in the Return column of certain forex pairs. In addition, iForex Binary Options has a client-oriented At-the-money policy, that asserts their commitment to return all of client's investment for a trade that expires at-the-money.

Despite being quite engaging with the way they offer guaranteed refund and at-the-money condition, iForex Binary Options don't have anything much in store. For instance, option types vary in only two different kinds: Basic call/put and Turbo Trading. There is no free demo account for newbies, and their platform lack extra features that make it attractive.

 

Bottom Line

Restoring some of your money from a lost option is no more a dream. Instead of resigning your fate to a complete loss when one option expires out-of-the-money, you can choose to recover some of your investment with refund functionality. There may still be a few brokers offering this feature, but it is possible for more of them to come up with refund in the coming years. For the moment, starting from one of the brokers above may give you an early start on your pursuit of refund's advantage.

Yet, it's important to note that refund is not the only thing to look at when you search for a binary options broker. You may put more credits to this aspect, but never allow it to control your judgment over other (or more) significant components like trading platform, regulation, asset choices, option types, customer service quality, and other points that determine a broker's credibility.