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Forex Brokers in U.S.

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Forex Brokers in the USA have the tightest regulations out of all other brokers around the world. However, American residents do not have many alternative options.

Most brokers around the world do not accept clients from the United States of America. Some brokers even blocked their website from visitors with IP addresses in that geographical region.

Here is why: U.S. federal laws prevent offshore brokers to solicit potential U.S. clients. Americans must find an NFA regulated broker located in the USA.

List of Brokers in the USA

The following forex brokers are located within the USA and are regulated by the NFA. To view offshore brokers that are outside of the U.S., see our main international brokers list.

Broker Description Rating Website (secure link)
ATC Brokers
  • Reliable Service
  • 200:1 leverage
  • MT4 interface
4.7 / 5
"Tight spreads with fast execution"
"Exceptional customer service"
"MT4 Platform works great"
Official Website
Our review
Nadex
  • Awesome broker
  • $50 minimum deposit
  • Small commissions
  • Spreads from 1.1 pips
4.2 / 5
"Fast and free withdrawals and deposits"
"Safe and secure"
"Small learning curve"
Official Website
Our review
Interactive Brokers
  • Use TWS platform, not MT4
  • 50:1 leverage
  • $10,000 USD to open an account
  • Monthly account fees
3.4 / 5
"Trading against you so you cannot win"
"Many trading markets"
"Bad platform"
"Hidden costs"
Official Website
Our review
eToro
  • American broker
  • $50 minimum deposit
  • Very small commissions
  • Spreads from 1.1 pips
2.0 / 5
"Bad customer service after depositing money"
"Withdrawal to PayPal"
"Bad spread"
"Clean user interface"
Official Website
Our review
FOREX.com
  • Award winning broker (2014)
  • $50 minimum deposit
  • Small or no commissions
  • Spreads from 1.5 pips
3.2 / 5
"Fair broker"
"Worst customer service"
"Financially secure company"
Official Website
Our review
OANDA
  • Most popular and trusted broker
  • No minimum deposit
  • No commissions
  • Spread as low as 1.1 pips
2.1 / 5
"Good platform"
"Sued for fraud"
"Long customer service hold times"
Official Website
Our review
TradeKing
  • Based in USA
  • 50:1 leverage
  • MB subdivision
1.7 / 5
"Misleading commissions"
"Slow orders"
"FIFO restrictions"
Official Website
Our review
thinkorswim by TD Ameritrade
  • Based in USA
  • 50:1 leverage
  • This broker is not recommended by most reviewers
1.1 / 5
"Wrong currency data"
"Trade against you immidiately"
"Slow servers"
Not Recommended
Our review

Background about Forex in the U.S.

President Obama signing the Dodd-Frank ActIn 2011, the United States government restricted all U.S. residents to national brokers that are regulated by the NFA (National Future Association), which is run by the CFTC (Commodity Futures Trading Commission). The restrictions were implemented through the Dodd-Frank Act.

Limitations by the NFA

  • Leverage: limited to 50:1 for major currencies and 20:1 for minor currencies (minor currencies carry a higher risk).
  • Short (and Long) Forex Options: the trader must maintain a security deposit.
  • Traders cannot hold simultaneous positions in one forex asset (FIFO – First In First Out).
  • Brokers must hold their money in a qualifying institution in the USA.

Verification

The NFA offer a system to check whether a brokerage is approved and has the proper regulatory compliance. If you select a U.S. broker that is not listed above, you need to verify it with BASIC (Background Affiliation Status Information Center).

The BASIC verification report provides the following:

  • Current Status: is the company approved and registered?
  • FCM Financial Information: financial reports and debt status.
  • Firm Activity Status: acceptable firm practices.
  • Regulatory Actions: case history and outcomes.
  • NFA Arbitration Decisions: cases that involved the NFA Arbitration Panel.
  • CFTC Reparations Cases: futures-related disputes.
  • Business Address
  • Doing Business As: list of subsidiaries.
  • Listed Principals: list of owners and head administrators.
  • History: approval and registration timeline.
Updated: May 25, 2017 — 1:28 am

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