What you need to know about the broker's regulations that regulate non-trading operations

You already know that the main document regulating the relationship between a trader and a brokerage company is a client agreement .

But this document includes only the basic provisions and description of the rights and obligations of the parties, that is, what is not directly related to the implementation of transactions.

All important points are spelled out in more detail in two documents: the regulations for non-trading operations and the regulations for trading operations.

Therefore, before opening the first trade on a real account, it is advisable to study these two important documents, and only then start trading.

Regulations on non-trading transactions

Brokers include account replenishment or withdrawal of funds from a trader’s account in a brokerage company to personal accounts outside of it as non-trading operations.

It would seem that there is nothing to regulate here, but even here there are a lot of mandatory rules, non-compliance with which can lead to account blocking and, as a result, loss of funds.

In most cases, the regulations for non-trading operations include the following:

Methods of transferring funds – lists the options with which you can replenish the trader’s account and withdraw the profits.

As well as the conditions necessary for making a transfer to a bank account, card or payment system.  

Payment policy – ​​this section describes the fees for withdrawing funds or replenishing an account depending on the selected payment option:

It also regulates such an important point as the timing of the transfer of funds, or rather the maximum time during which the transfer can be made. In addition, maximum and minimum application amounts and conversion conditions are immediately established.

Questionable non-trading transactions are the most insidious clause of the regulations; it describes the conditions that can cause an account to be blocked.

That is, in what cases can a non-trading transaction be considered questionable; these may be suspicions of money laundering or the unusual nature of the transaction itself:

If such transactions are recorded in your account, the company has the right to refuse to carry them out or even freeze funds in your personal account.

Rules for using the trading account – the basic rules on the basis of which work is carried out in the client’s personal account .

In addition, this section describes the main points of working with applications for withdrawing funds or replenishing an account, where you can see the status of the application and transaction history.

The procedure for resolving disputes - the client’s actions if the application was not completed or was not completed on time:

How to file and submit a claim, the time frame for its consideration by managers of the brokerage company. Where to go if a broker refuses to consider a claim.

It can be said that the regulation of non-trading transactions mainly regulates financial issues, such as the deposit and withdrawal of funds, as well as the rules for their implementation.

This is a rather important document, since ignorance of the rules written in it can result in loss of money, and you sign it automatically when registering with a broker .