Neteller is a well-known electronic wallet used in over 200 countries worldwide. The company provides traders with a simple and secure way to move money between accounts. You can instantly fund your trading accounts, and withdrawals are usually executed in up to one hour.
Whether you are trading with a binary options or a forex broker, a Neteller wallet will simplify all money transactions involved. You can also request a Net+ MasterCard for direct purchases.
In the forex and binary options industry, Neteller is immensely popular. Due to the nature of the business, Neteller creates a win-win situation for everyone. Businesses, such as binary brokers, are charged low transaction costs. Customers also pay very low fees or, in some cases, no fees at all.
Furthermore, you are free to transfer money different from your Neteller account currency (for example, USD to EUR). The exchange rate is also quite fair, making it cheaper for Neteller customers to deposit or withdrawal funds in any currency.
Who is Neteller?
Neteller is a company operated by Paysafe Financial Services Ltd. The company was founded in 1999 in Canada and specializes in offering online business payment solutions. Neteller boasts of serving millions of customers and processing billions of dollars’ worth of transactions each year.
The company is regulated by the UK's Financial Conduct Authority (FCA).
All customer funds are held in a segregated account to ensure credibility and transparency. The company Paysafe Financial Services has registered offices across the globe, including Canada, the USA, the UK and Isle of Man.
Why do binary brokers work with Neteller?
Neteller, as an e-wallet, simplifies payments to binary options brokers from customers across the world. You can deposit directly from your Neteller account, or you can use Net+ prepaid MasterCard (both virtual and plastic debit card).
Binary options brokers prefer to work with Neteller for a number of reasons. For one, the transaction costs are very low. This means the broker pays a low fee for using Neteller's merchant services. The fee is typically negligible, which is why, in most cases, when a trader makes a deposit via Neteller, he or she doesn't pay any fee.
Another factor behind Neteller's popularity is the fact that businesses and clients are protected against fraud. Therefore, even if a customer intentionally wants to make a chargeback, the claim needs to be fully supported.
The fact a customer’s IP address and other location details are also recorded ensures the trader’s account is always secure.
Because of issues with PayPal, which disallows payments to binary brokers, Neteller has managed to gain that market share. In addition to market share, Neteller also has extensive experience in the field of online gambling and retail trading. This experience has, over time, enabled Neteller to evolve its processes as a company.
Advantages of using Neteller
- FCA Regulated
- Instant payments
- Secure transactions
- Net+ MasterCard
- Low fees
- No need for a bank account
Traders obviously have major benefits using Neteller. For one, you don't have to expose your bank account or credit card details directly to any broker. Once you fund your Neteller e-wallet, you can skip using a bank account or credit cards. You can instantly deposit money into your broker’s account and later withdrawal profits into your e-wallet.
Applying for a Net+ MasterCard will allow you to cash out money via an ATM. You can also make purchases online or at any shop where MasterCard is accepted.
By using Neteller, traders basically add a new level of protection. All deposits first go into your Neteller account, then you make a deposit to one or more binary brokers. In this way, you are not revealing personal credit card information to any broker. The brokers will see only your e-mail.
This intermediary helps keep your funds safe and protects you against any fraud that occurs, intentionally or otherwise. All transactions are 100% indemnified. Neteller uses a high level of fraud and security controls, including PCI DSS Compliant, 3-D Secure, and BIN/IP checking.
Neteller moves your money around the globe in a secure environment, and you pay for this service with a small fee on each transaction. You can deposit funds to your e-wallet and, of course, withdrawal or send money to another person’s wallet. There are also fees when you use a Net+ MasterCard.
Funding your binary broker’s account is free, but you might be charged a small fee on your withdrawals, depending on your broker terms.
Deposit funds (into your e-wallet)
- MasterCard fee: 2.25-4.95%
- VISA fee: 1.9-4.95%
- UnionPay fee: 3%
- Skrill fee: 3%
- iDeal fee: 1%
- Bitcoin: 1%
- Bank transfer: Free
Withdrawal funds (out of your e-wallet)
- Bank draft: 7.50-25.00 EUR
- Bank transfer: 7.50 EUR
- Transfer to e-wallet: 1.9% (Cap: $20)
- Free to pay online or in shops
- Foreign exchange fee: 3.99%
- Cash withdrawal fee: 1.75%
- Shipping and handling fee: 8.00 GBP
- To replace a lost card: 8.00 GBP
Neteller vs. Skrill
Both Neteller and Skrill e-wallets are owned by Paysafe Group Plc and operated from headquarters in the UK. So which of these two e-wallets is better? Truth be told, there is no clear answer.
If you check the transaction fees, Skrill has an advantage with slightly lower fees, but Neteller offers you more options for moving money in and out.
In some areas, traders are not allowed to open Neteller accounts. In such cases, they can opt for Skrill, or vice-versa. For example, Neteller does not operate in China, but Skrill is currently available there.
Both e-wallets offer you a prepaid MasterCard directly connected to your account, and you can cash out instantly any time. Please keep in mind the plastic MasterCard is available only for customers in the European Union, United Kingdom, Norway and Switzerland.
As far as terms of the service are concerned, both Skrill and Neteller are basically the same.
Due to the lack of PayPal in the binary options business, Neteller and Skrill lead the race for market share. With most of the features being fairly similar, it is ultimately up to the trader to decide which e-wallet option he or she should use.
Comments by traders
Neteller, as a deposit and withdrawal option, is one of the most preferred ways for customers to open a live account with a binary or a forex broker. The low fees, due to the nature of the business, have made Neteller a very attractive proposition.
One of the reasons both customers and businesses trust Neteller is because of the company’s security and reputation.
Both Neteller and Skrill services are limited in some countries, and you are advised to first check on their terms. For the binary broker that you trade with, also make sure your broker accepts Neteller as a deposit and withdrawal method.
Also, pay attention to the fees that may be charged by the broker, although in most cases, deposits and withdrawals via Neteller are free.
Neteller is an e-wallet that binary traders should consider as it offers a safe way to transact online. By acting as an intermediary, Neteller deposits and withdrawals can be safe and easy without the trader having to expose his or her personal credit card or bank details.