FBS rebates from legitimate rebate providers are not a scam, although scams do exist. The most common scam involves a rebate provider who marks up the spread or commission to offer a higher rebate than competitors. Many brokers permit referral parties, or rebate providers, to increase costs for the traders they refer. However, this undermines the purpose of the rebate service and can damage the provider’s reputation and business, so a reputable provider would never engage in this practice. Additionally, some rebate providers may fail to pay on time or not pay at all, which is why choosing a trustworthy provider is crucial.

When working with a reliable rebate provider, there’s no hidden catch. It’s more advantageous for a trader’s finances to use a rebate provider rather than dealing directly with the forex broker.