US Forex Traders Banned from Making Credit Card Deposits After January 2015
12/04/2014 9:00 am EST
Yohay Elam of ForexCrunch.com, highlights the important regulatory decision reached by the US Commodity Future Trading Commission (CFTC) on Tuesday that will have considerable implications for forex traders moving forward.
The CFTC has adopted a regulation banning the usage of credit cards and credit card funded accounts such as PayPal for depositing money into forex accounts. Debit cards are still accepted. The concern is that traders would borrow funds via their credit card and use it for trading.
This is big news for the US forex industry. Will other regulators follow? Here are some more details:
Here is the report from Leap Rate:
A matter that was first proposed by the National Futures Association (NFA) in the early stages of 2013, The US Commodity Futures Trading Commission (CFTC) has approved the controversial plan by the NFA to ban use of credit cards and related payment methods for funding of retail FX accounts. In an announcement dated December 1, 2014, the NFA unveils the decision by the CFTC, which means that the proposed changed will come into force on January 31, 2015.
And here is the press release by the NFA, regarding the CFTC decision.
By Yohay Elam, Founder, Writer, and Editor, ForexCrunch.com