Zero-Commission Brokers: 6 Ways They Actually Make Money From You (2026)

You paid $0. You also paid $6.

You open your XTB account. The headline says "0% commission on stocks and ETFs." You buy $1,000 worth of Apple shares. The confirmation screen shows: commission $0.00.

What it doesn't show: the platform converted your euros to dollars at a 0.5% markup above the interbank rate. That's $5 that left your account before the stock settled. It also executed your order at the ask price, not the mid-price — the spread on a liquid stock like Apple adds another $1–2 on a 5–7 share order at typical retail pricing.

You paid roughly $6 to buy $1,000 of Apple. Your account shows $0 in the commission column.

This isn't a scam. It's a business model. Understanding the six levers of that model takes about 10 minutes — and will save you real money every year.

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1. Spread markup — the invisible fee on every trade

When you buy a stock, there are two prices: the bid (what buyers will pay) and the ask (what sellers want). The gap between them is the spread. Brokers that show "0 commissions" often route your order through their own book or a market maker, pocketing a fraction of the spread in the process.

For the most liquid US stocks — Apple, Microsoft, SPY — the spread is thin: $0.01–0.05 per share. On a 5-share order that's $0.05–0.25. Small. Where spread markup becomes material:

• Less liquid ETFs and international stocks. A mid-cap European ETF can spread 0.2–0.5% per round trip.
• CFD instruments. XTB's EUR/USD CFD spread is typically 0.5 pips during European hours. On a $10,000 notional position that's $5 per round trip — paid at entry and again at exit.
• Crypto. Most retail crypto desks mark up the spread 0.5–1.5%. On a $1,000 Bitcoin buy, that's $5–15 before you open the position.

How to spot it: Look for "typical spread" or "spread" in the broker's pricing table, not the "commission" line. A $0 commission plus a 1.5-pip spread is not a zero-cost trade.

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2. Payment for order flow — selling your orders to a middleman

Payment for order flow (PFOF) is the practice of routing your orders to a specific market maker in exchange for a payment to the broker. The market maker earns the spread on your trade; the broker earns a rebate for directing the flow. You get execution — but potentially at a slightly worse price than the best available in the market.

PFOF was banned in the EU under MiFID II (effective 2026) and banned in the UK in 2025. It remains legal in the United States and in most CIS and offshore jurisdictions.

If your broker operates under an offshore or non-EU/non-UK licence (such as those from Belize, Seychelles, or the Bahamas), PFOF may be part of its business model. The disclosure is typically buried in the execution policy document, not the marketing materials.

How to spot it: Search your broker's "Order Execution Policy" PDF for the phrases "payment for order flow" or "inducement." If found, the broker is selling your order routing.

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3. Overnight swap / financing fee — the cost of staying in the market

When you hold a leveraged position overnight — a CFD, forex pair, or margin position — the broker charges a financing fee. This is the cost of borrowing the capital that makes leverage possible.

Typical rates run 2.5–8% annualised, charged daily. On a $10,000 CFD position at 5× leverage, your underlying exposure is $50,000. At 5% annual financing, that's $2,500 per year — or roughly $6.85 per day.

Brokers that advertise zero commissions on CFDs and forex typically generate most of their revenue from overnight financing. An active trader holding positions past the daily close is paying meaningful fees even when the commission column reads $0.00.

How to spot it: Look for "swap rate," "overnight rate," or "rollover fee" in the broker's instrument specification sheet. Compare to a benchmark rate (3-month SOFR or EURIBOR) — the spread above benchmark is the broker's margin.

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4. Currency conversion fee — the silent tax on cross-border investing

If your account is denominated in EUR, PLN, KZT, or UAH and you buy a USD-denominated stock or ETF, the broker converts your currency to USD at the moment of purchase. The conversion includes a markup above the real interbank rate.

Broker	FX markup	Verified
Interactive Brokers	~0.2% (min. $2 per conversion)	May 2026
XTB	0.5%	May 2026
EXANTE	0.1%	May 2026
Tickmill	0.15%	May 2026

On a €1,000 ETF purchase, the difference between IB (0.2%) and XTB (0.5%) is €3. Over 12 monthly purchases, that's €36 per year in FX markup alone — from a broker that calls itself free.

How to spot it: Look for "currency conversion," "FX markup," or "exchange rate" in the fee schedule. The number is typically expressed as a percentage above the "reference rate" (the interbank mid rate).

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5. Inactivity fee — the charge that arrives when you forgot you had an account

Several brokers charge a monthly fee if you haven't placed trades within a defined period. This fee is invisible during the active phase of investing and painful when discovered months later.

Broker	Inactivity fee	Trigger
XTB	€10/month	12 months without a trade
Tickmill	$10/month	12 months without a trade
EXANTE	$50/month	6 months without a trade
Interactive Brokers	None (retail accounts)	—
Admirals	$10/month	24 months without a trade

The EXANTE case is the most aggressive: $50/month activates after just 6 months of inactivity. A $10,000 account sitting idle for two years loses $900 to inactivity fees (18 billing months × $50, after a 6-month grace period) — a 9% drag before any market movement.

How to spot it: Search the broker's fee schedule for "inactivity," "dormancy," or "maintenance fee." Note both the amount and the trigger period.

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6. Withdrawal fee — paying to leave

Getting money out of a broker costs money. The fee depends on the method.

Method	Typical range	Notes
SWIFT wire	$25–40	Standard for international clients outside SEPA
SEPA transfer	€0–5	EU clients only
Wise / local transfer	$0–3	Where supported by the broker

EXANTE charges a flat $30 per wire withdrawal (verified May 2026). For a client withdrawing $300 via SWIFT, that $30 fee consumes 10% of the withdrawal. At $10,000 the same $30 fee is 0.3%.

The withdrawal fee is the exit tax most investors discover on their first withdrawal — not during account opening.

How to spot it: Look for "withdrawal fee," "wire fee," or "payment charges" in the fee schedule. Also check whether correspondent bank charges are disclosed separately — they can add $10–25 on the receiving end.

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What you actually pay: six mechanisms across four brokers

The table below uses verified fee data (May 2026). Scenario: a CIS-based investor with a €10,000 diversified ETF portfolio, 4 trades per year with EUR→USD conversion, no overnight leverage, and 1 wire withdrawal annually.

Interactive Brokers	XTB	EXANTE	Tickmill
Commission	$0.005/sh, min $1	Free ≤€100k/mo	$0.02/sh, min $1	CFD-only, $3/lot
FX markup	0.2% (min. $2)	0.5%	0.1%	0.15%
PFOF	No	No (EU entity)	No	Check jurisdiction
Overnight swap	None (real stocks)	None (real stocks)	None (real stocks)	Applies (CFDs)
Inactivity	None	€10/mo after 12mo	$50/mo after 6mo	$10/mo after 12mo
Wire withdrawal	Free	Free	$30	Free
Est. annual cost†	~$30–50	~$50–70	~$80–110	CFD spreads vary

†Estimates for this scenario. Your actual cost depends on trade size, currency pair, frequency, and account activity. Fee schedules change — verify on the broker's website before opening an account.

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Calculate your own numbers

The numbers above are for one scenario. A different account size, trade frequency, or withdrawal route will produce a different result. Use our fee calculator to enter your own numbers and see the estimated annual cost per broker — including commission, FX conversion, inactivity, and withdrawal.

For a deeper comparison of IB and XTB's fee structures, see our full IB vs XTB comparison.

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Methodology

Fee data is manually verified from official broker fee schedules (May 2026). Sources are linked on each broker's review page: Interactive Brokers, XTB. Broker fee schedules change — always check the current version on the broker's website before opening an account.

Disclaimer: This article is educational. Broker availability, fees, and country acceptance change without notice. Tax treatment depends on your specific residency and citizenship. Confirm current terms on each broker's site and consult a licensed advisor for personalized guidance. BrokerFit lists brokers in alphabetical order and does not weight placement by affiliate relationship.