Credit for forex trading

Hello everyone, i am just curious is there anyone who has been taking credit from bank and use it as base for forex trading? I am wondering if you are sucessful trader with at least 10% profit making per month, what is stopping people from getting credit if credit fees are lower than 10%?

Are you asking why someone who’s trading successfully doesn’t borrow money to trade?

If you’re trading a fund that [I]has to[/I] make money it’s a recipe for disaster. Let’s say you’ve had a month with few trading opportunities - but you need to make a large bank repayment tomorrow because your trading account is borrowed money - there’s a trade which doesn’t quite tick all your boxes, and you wouldn’t trade it normally, but you need a win so you take it anyway. And you lose. Now the pressure’s really on. So you take another sub-optimal trade… and lose that too. What now?

Never trade money that you can’t afford to lose. You’re only inviting a whole world of anxiety and pain into your trading psyche.

Yep i expected answer like that, but lets take it from other side. What about someone who has for few years proven consisten winning and has already account with capital enough to cover credit expenses (per month) if it would be needed. What is in that case stoping someone not to expand their account on “account” of credit.
I am ofcourse newbie trader, but i am curius about this aspect.

If you havea high % rate raise funds from investors rather than take a loan from the bank, must be insane to do so.

Debt is debt and it needs to be repaid no matter what…
According to Proverbs 22:7, “The rich rule over the poor, and the borrower is slave of the lender”

Borrowed money to trade or invest is not recommended because there is no guarantee that you will get profit every month. However, it is possible that there are few people who borrowed money from the bank or other institution to trade or invest who become successful.

These is already a risky business. If you want to put more risk by borrowing money, you will add more pressure to yourself to trade even if you don’t have to. There is a higher probability that you will lose a lot more if you use borrow money than using your own money.

To be in a safe side, trade or invest money that you already save up and use it (but not all of it). If you run out of money, stop trading, save up then trade again. An adult knows how to be patient and wait… a 2 year old is “I want it and I want it now!” so which one are you?

No i don’t think so that credit is a good thing unless you are a very good trader and have much experience in the financial markets.First you have to be consistent in making profits for a long time,than you calculate your monthly percentage return.Make sure that average return per month>>your monthly target.
Otherwise a big NIGHTMARE!“it would be” :slight_smile:

HI u r thinking about it but I’ve done. last month I did use $100 from CC and made it $130 this month I deposited $100 more so now I am trading with $200 + $30. Lets see what happen next if I loose money I am going to escape from bank for sure :59:

Thats just a bad idea. Its a lose lose situation. Think about it when you trade forex you are essentially competing against banks. So go take a loan from a bank and pay intrest. Hmmmm if you make money bank gets paid. If you lose money the bank gets there money back and still gets paid. Either way the bank wins and you lose. If you can make 10% a month save a couple hundred bucks and trade it. You will have a nice sized account in no time.

Lolxx 100$ is not a heavy amount and you won’t be jailed! :smiley:

Investor capital has zero cost but the banks loan comes at a cost. If you have a proven track record, investors is the way to go.

Taking a credit for speculate is a VERY BAD IDEA, i’ve been there and you don’t wanna lose what you don’t have. Once it happens you have to bear the pain of paying one big debt. SO DON’T EVEN THINK ABOUT IT, that is how Lehman Brother came apart.