During my review of Tradenet, the question of how the withdrawal works came up. It also seems to spark a lot of issues with people that want to start with Tradenet and are unsure how they can get hold of their profits. In this article, I will go into the nitty-gritty details of Tradenet withdrawals.
To withdraw money from your TEFS (the investment firm Tradenet works with) account, you have to provide them with your payment details first. Once you gave them your preferred payment method, you can put in a payout request between the 1st and 10th of each month. You can only withdraw money above your original buying power. Since this confuses a lot of people, I go over a few examples in this article.
How does the withdrawal work?
You are allowed to withdraw money once a month. If you made a profit in the previous month, you could make a payout request up until the 10th of the month. TEFS will wire out the funds on the 16th of every month if it’s not a weekend and you should receive funds by the 20th.
When you withdraw money, you invoice TEFS for the amount you want to withdraw. You get paid as a freelance trader. They deduct from the equity over the original buying power in your account, plus the profit share percentage you owe them for that withdrawal, plus a wire fee which is $15.
How much money can you withdraw?
You can withdraw everything that is above the buying power you received. So for example, if you get $80,000 in buying power and you have made a $10,000 profit for the last month, you can withdraw $10,000 minus the profit share and minus the wire fee.
If you left the $10,000 in your account, your buying power would increase to $90,000. When you have losses that drops you below your buying power, you will not be able to pay out any profits.
Build a cushion for your max-loss
If you lose money during the payout period, your withdrawal amount may get adjusted with the amount you lost. So it is good practice with Tradenet to leave some money in the account as a cushion and not withdraw the entire amount. Taking partial profits will also increase your maximum loss for your account, which will prevent your account from being closed down.
Use your profits for more buying power
Tradenet offers various Trading packages with each having more buying power than the other. If you feel confident enough to trade with higher leverage, you can use the profits you have in your account to directly buy a higher trading package. Here are the packages you could upgrade to with the corresponding leverage:
Conclusion
Withdrawing money with Tradenet is easy, and you can pay yourself every month. Since you have a tight max-loss with the leverage you get, it is wise to build a cushion with profits over your original buying power.
If you want to check out Tradenet’s packages, they offer up to 20% off with this link here.