What are the hidden costs of trading with Pepperstone?
Verdict
- Pepperstone has few truly hidden fees, which is one reason it is our top pick in Australia, but several costs sit outside the headline spread: Razor commission, share CFD commission, overnight swap, and slippage on stops.
- Pepperstone lists no inactivity or account-keeping fee and its Australian deposit and withdrawal tables are fee-free.
- The Standard account's cost is built into the spread: Pepperstone describes it as a 1-point mark-up on FX.
- International bank-wire withdrawals carry a USD 20 fee on Pepperstone's international and EU pages, so confirm the charge before you wire money abroad.
'Hidden' usually means a cost you didn't price in, not one Pepperstone conceals. Most are published somewhere on its site; the problem is that they sit on different pages. Here they are in one place, for an Australian account.
The costs that catch traders out
None of these is secret, but each is easy to miss when you only look at the EUR/USD headline. We still recommend Pepperstone because the core costs are published as averages and its account fees are close to zero.
| Cost | What Pepperstone publishes | Who it affects |
|---|---|---|
| Razor commission | USD 3.50/side MT5 and TradingView; USD 3.00/side cTrader FX; USD 7 on opening for MT4; AUD 3.50/side on AUD accounts | Razor traders |
| Standard mark-up | 1-point FX mark-up inside the spread | Standard traders |
| Share CFD commission | 0.07% per side ASX; 0.10% UK/DE; 0.20% HK; USD 0.02/share US | Share CFD traders |
| Overnight swap | Charged on positions held past the daily rollover; rate varies by instrument | Anyone holding overnight |
| Perpetual CFDs | 0.015% per side (0.03% on GOLD and MSTR perps), plus a weekly-set funding rate | Perp traders |
| International wire out | USD 20 (international and EU pages) | Withdrawals to overseas banks |
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Spreads that widen beyond the average
Averages hide a range. Bitcoin is the clearest example: Razor's BTC/USD spread has a 10-point minimum but a 15.15 average. Index forwards cost more to enter than cash indices: AUS200-F has a 3-point minimum against 1 point on the cash AUS200, and JPN225-F 16 against 7. If you trade at the open, around data releases or in thin hours, budget for spreads above the published average.
Slippage on stops
Pepperstone doesn't offer guaranteed stop-losses; its Australian PDS contains none. A stop becomes a market order when triggered, so in a gap it can fill well beyond your level. That gap is a real cost even though no fee appears on the statement. Retail clients are protected from going below zero, but not from the loss down to zero.
Costs Pepperstone doesn't charge
- No deposit fees on PayID, BPAY, cards, Apple Pay, Google Pay, PayPal, Neteller, Skrill, crypto or domestic bank transfer.
- No withdrawal fees on the Australian withdrawal table.
- No inactivity or account-keeping fee; accounts under 10 currency units left unused for 3+ months may be archived.
- No commission on index or crypto CFDs.
A month's cost, worked through
A Razor client on MT5 trades 40 round-turn lots of EUR/USD and holds a few positions overnight. Spread at the 0.1-pip average: USD 40. Commission at USD 7 a round turn: USD 280. Total before swap: USD 320. Moving the same trading to cTrader cuts commission to USD 240. Swap comes on top and depends on the pair, the direction and the nights held.
Sources
Does Pepperstone charge an inactivity fee?
No. Small, unused accounts may be archived, but no inactivity fee is charged.
Is the Standard account really commission-free?
There is no separate commission on FX; Pepperstone builds its fee into the spread as a 1-point mark-up. Share CFDs still carry commission.
Are withdrawals free in Australia?
Pepperstone's Australian withdrawal table lists all methods as free. Its international and EU pages list USD 20 for international bank wires, so ask before wiring overseas.
Leveraged CFDs are complex and high risk: losses can build fast. This comparison uses broker-published terms and is not investment advice. Check current terms and the Target Market Determination before you trade.