Last updated on October 26th, 2022 at 08:48 pm
In summary, this article talks about the cheapest way to withdraw via IC Markets (basically free) and my withdrawal experience with IC Markets using this cheapest method (PayPal). If you want to skip the details, scroll right to the bottom for the 2 cheapest ways to withdraw via IC Markets.
Note: I have received messages from some clients that they don’t have an option to withdraw from Paypal in their IC Markets accounts – This is because you haven’t deposited funds into your account via Paypal before. Just deposit the minimum deposit of USD200 (or equivalent in your preferred currency) using paypal, and the option will become available. Then you can withdraw free using Paypal!
I recently tried withdrawing from IC Markets using Paypal for the first time, since the other option of international bank wire was more costly AUD $20
The idea was, Paypal does not charge any fees when withdrawing to your bank account over $200. Below $200, there is a $1 fee.
This is true, but my PayPal balance is in USD and PayPal automatically converts this to my local currency (SGD), with no option to withdraw the PayPal balance in USD and Paypal’s exchange rates are more expensive. I would like my bank do the conversion instead. Rates: Paypal – 1USD to 1.342 SGD , my bank 1USD to 1.371 SGD, spot rate is 1.380
So at the end of the day, withdrawing from PayPal would cost about the same as doing a international wire from IC Markets to my local bank. Let’s break it down how this is so:
Let’s say I was withdrawing 1,500 USD.
International wire AUD20 + my bank charges SGD20, then convert $1,500USD to SGD at 1.371 (my bank’s rate) . The calculation is as follows: First converting USD to SGD: 1,500USD * 1.371 = 2056SGD. Then deducting bank wire fees: 2056SGD – (20AUD + 20SGD) = 2016SGD (Final amount)
PayPal would be 1,500USD * 1.342 = 2013 SGD
Therefore, both are about the same
However, PayPal is still useful. There are two hacks I want to talk about
One: Withdrawing via PayPal is still cheaper if you send them local currency. Because PayPal doesn’t charge any fees on local currency withdrawals above $200 (below $200 they charge $1). I just need to get IC Markets to convert USD to SGD for me (Rate is 1.361, better than PayPal), then withdraw the converted funds to PayPal.

Note the exchange rate is even better! (1.37) if you convert amounts greater than 1,500 USD (not shown here)
Example: I have IC Markets convert 1,500USD to 2041.5 SGD. I then withdraw 2041.5 SGD to PayPal. I withdraw the final sum of SGD 2041.5 from PayPal to my local bank account incurring no extra charges
Hack 2: Withdrawal is completely free if you have local currency (SGD) in IC Markets and withdraw it to PayPal
Example 2: Let’s say I have 1,500SGD in IC Markets and I withdraw it to PayPal. The withdrawal is free. I then withdraw the 1,500 SGD from PayPal to my bank account, incurring no charges because withdrawals from PayPal is free above $200.
Compare this with an international bank wire of $20 (sender’s bank) + $20 (receiving bank) fees
So to sum up: the cheapest way to withdraw from IC Markets are the following 2 methods
- Convert your USD to local currency within IC Markets (especially if you have a large sum), you get better rates, then withdraw via PayPal
- If you already have local currency in IC Markets, withdraw via PayPal
So what did I do with the USD 1,500 stuck in my PayPal and I am forced to convert it to SGD at a poor exchange rate given by PayPal?
I deposited the money back to IC Markets, (no fees) then I got IC Markets to convert the USD to SGD at a rate better than PayPal and similar to my local bank by doing an internal funds transfer between two live accounts (one in USD and one in SGD), then withdrew the sum to PayPal in local currency (SGD), incurring no charges.
There you go! Hope you learnt the cheapest way to withdraw via IC Markets!
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I maintain a SGD account with IC Markets.
Does Paypal charge any fees (e.g. 3.5% cross-border fee) when you sent SGD via Paypal to IC Markets?
Likewise, when withdrawing SGD from IC Markets to Paypal, and then withdrawing SGD from Paypal to your SGD account, did Paypal charge you too?
I have been trying to get confirmation from Paypal but those guys are not helpful at all and bit around the bush without answering my simple questions.
Hope to hear from you. Thanks in advance.
Hi Leonard,
Does Paypal charge any fees (e.g. 3.5% cross-border fee) when you sent SGD via Paypal to IC Markets?
– No. But you cannot pay via credit card. You have to first transfer money into your paypal account. (How?: Login to Paypal, Click ‘top up’ on the left side of the screen (below your paypal balance).
Scroll all the way down to Quick Tips and click ‘Learn how here’.
Follow the instructions. You will need to send money to:
Beneficiary name
PayPal Pte. Ltd
Bank
Bank of America, N.A., Singapore
Bank code
7065
Branch code
212
Account number
56708048
Remember to include your PayPal Consumer Reference Number (You can find this when you first click ‘Top up’)
The money will take 4-6 days to arrive. Now using this balance in your paypal account, you can send money directly to your IC Markets account using Paypal with Zero fees.
Likewise, when withdrawing, there is zero fees when sending money from IC Markets to paypal. When the money is in Paypal, just withdraw the money to your bank account, you will not be charged anything.
Thanks. Very helpful guide.
GREETINGS
I WANTED TO KNOW IF PAYPAL WILL FREEZE MY FUNDS AS I HEARD THAT MANY PEOPLE EXPERIENCE THIS.MY DEPOSIT WAS $200 AND THE WITHDRAWAL MORE THAN 10 TIMES OF THAT .SO WILL PAYPAL ALLOW ME TO WITHDRAW MY MONEY TO MY BANK NONETHELESS?
Paypal will not freeze your funds don’t worry.
Hi there,
Do we need to be using paypal business to do so?
or just personal account would be able withdraw fund ICmarkets (SGD) to Paypal(SGD) to Bank (SGD) without incurring any fee
Just a personal account will do.
I recently submitted a withdrawal to ic markets which was approved but PayPal declined my money saying security concerns .. I don’t understand what’s happenning I deposited 200$ to ICT markets but now PayPal won’t take my withdrawal
Hi Ivan,
I am sorry to hear that. Could you elaborate more on what was the security concerns message paypal sent you?
sir i wanted to know if i withdraw from ic markets using paypal then ic market will not charge any fees but will paypal charge any fees from my side ?? if i withdraw 100$ then will get full amount in my paypal balance or some fees will be charged ? please reply
Hi udit,
Paypal will not charge any fees also.
if you withdraw $100, you will get full amount of $100 in paypal
Hi I wanna know the time it takes a withdrawal from my IC market account to my PayPal, is it instant as it mentioned in in their IC page or takes few days?, thanks.
Hi Abdi, the transfer is instant, when they process the transfer at 11am Melbourne time daily.
So daily, at 11am, they will process the withdrawal to your paypal account, and this transfer is instant.
It may take up to 2 hours sometimes for your withdrawal request to be processed as they have a high volume of requests to process.
Usually for me, by 12pm Melbourne time, I receive my funds in my PayPal account, (1 hour)
I am in ukraine and i need to withdraw my money but whenever i try,the banks do not work with forex trading.So i wanna know which bank works with forex so i can withdraw,or if there’s another option i can go for.
Hi Fahim,
Does your broker allow you to withdraw via paypal or bank wire?
1) If you can withdraw via paypal, then ask your broker to send your funds to your Paypal account. Then withdraw your funds to your Bank account from Paypal. Your bank should accept paypal withdrawals.
2) If your broker allows bank wire transfer, then you can withdraw directly to your bank account. Your bank should allow this.
My guess is that you are withdrawing via a credit card, through a credit card refund, and your bank is not allowing this.
Hi Linton,
Thank you very much for sharing your experiences. I was looking for something like this. I assume this can be applied to my scenario as well if I understood your story correctly.
I have an Australian PayPal which can hold both AUD and USD. Now I have USD balance in my Paypal balance. As you said I should create 2 trading accounts in ICMarkets separately in USD and AUD. First I need to deposit USD in my Paypal to USD trading account and then transfer that money to my AUD trading account. Then I can withdraw AUD directly to my Paypal account from the second trading account without any conversion. Please correct me if I am wrong.
Something else, not related to this post: another issue I would like to clarify is if I have an ICMarkets trading account and I fund that account using 2 payment methods (eg Skrill and Paypal). Would I be able to withdraw all the funds to one account (eg: to Skrill)?
Thank you so much,
Kind regards.
Hi Cha Thi,
“I have an Australian PayPal which can hold both AUD and USD. Now I have USD balance in my Paypal balance. As you said I should create 2 trading accounts in ICMarkets separately in USD and AUD. First I need to deposit USD in my Paypal to USD trading account and then transfer that money to my AUD trading account. Then I can withdraw AUD directly to my Paypal account from the second trading account without any conversion. Please correct me if I am wrong.”
Yes, you are absolutely right in your first point above. If I may add, if you convert USD 1,000.00 to AUD when you do an internal funds transfer in IC Markets, you will be able to convert at the spot rate. i.e. the current market price of AUDUSD. If you convert USD 999 to AUD, you will convert at a rate poorer than the spot rate. So I suggest you to convert your USD 1,000 at one time to get the best rate, then convert the remainder of less than USD 1,000.
For example, if you have USD 4,999.00, convert USD 1,000 to AUD, repeat this 4 times, then convert the remaining USD 999 to AUD to get the best rate. If you convert USD 4,999 to AUD at one go, or even USD 4,000 to AUD at one go, you will get a rate worse than spot.
I share this tip in this article: Cheap currency conversion inside IC Markets client area
Something else, not related to this post: another issue I would like to clarify is if I have an ICMarkets trading account and I fund that account using 2 payment methods (eg Skrill and Paypal). Would I be able to withdraw all the funds to one account (eg: to Skrill)?
If you fund $400 via skrill, and $600 via paypal, you will only be able to withdraw $400 by skrill and $600 via paypal. Meaning to say you are required by anti money laundering regulations of ASIC to withdraw funds the same method you deposited. If you make a profit above $400+$600, you are entitled to withdraw it any method you like. I checked this with IC Markets support.
You may ask, if I fund USD400 via skrill, and USD600 via paypal, then convert it to AUD, how much am I entitled to withdraw via paypal and skrill? My guess is you will be able to withdraw the USD400 equivalent in AUD by skrill and the USD600 equivalent in AUD by paypal.
Hi Linton,
Perfecto. Thank you very much.
Regarding the cheaper currency conversion, it seems like now it does not work. I tried to do it as you explained and I get the same rate for converting USD 9 to AUD and USD 1000 to AUD. Please find the screenshots (https://ibb.co/MB3FBLy and https://ibb.co/9Z5f9N4). Or am I doing something wrong?
Regarding the 2nd issue of using different funding methods, thank you very much for the explanation. I did a simple test and funded USD 5 from both my Paypal and Skrill to the same account and I made a withdraw of USD 10 to my Skrill, it was rejected. But when I made a USD 6 withdraw to the Skrill it was processed. Seems like there is a slight threshold they give, and it will be interesting to find that out. Apart from that, I would like to know whether you know any other workaround to deposit USD in Paypal to Skrill?
Thank you for your time,
Kind regards
Regarding your first issue.. hmm that’s odd. Are you able to try converting 1000 AUD to USD and see what rate you get? (hopefully spot rate).
That’s an interesting find you made regarding your 2nd point. A possible workaround to deposit USD in Paypal to Skrill could be to convert your USD you deposited by Paypal into AUD, then try to withdraw that full amount to Skrill. Again I haven’t tried this out myself, but it is an idea I thought of.