Standard vs Zero Account: Differences and Cost Including Cashback
Not sure whether a Standard or Zero account works out better once cashback is included?
In short, which is better depends on your trading style, and comparing by effective cost is the reliable way. Effective cost is spread + commission - cashback.
This article sets out how the two differ and how to choose. By the end, you will have a way to judge which account type suits you.
In short: compare account types by effective cost
- A Standard account has no commission, and the trading cost is included in the spread
- Low-spread accounts such as Zero accounts have tighter spreads but charge a commission
- Compare by effective cost: spread + commission - cashback
- The cashback amount may differ by account type, so check each broker's page
How Standard and Zero accounts differ
A Standard account is an account where the trading cost is included in the spread. As a rule, there is no commission per trade.
Low-spread accounts such as Zero accounts set tighter spreads and charge a separate trading commission. Names and commission levels differ by broker and account.
| Item | Standard account | Low-spread (Zero) account |
|---|---|---|
| Spread | Wider | Tighter |
| Trading commission | None | Yes (charged according to lots) |
| How the cost shows | Visible from the spread alone | Seen as spread plus commission combined |
| Suited to | People who want to see cost simply | People who trade often |
Effective cost formula and the effect of cashback
The idea of effective cost
Effective cost = spread cost + commission - cashback
The table below is a hypothetical example using standard assumptions: 1 lot = 100,000 units and 1 pip on USDJPY = ¥1,000. The amounts are for explanation and are not actual broker figures.
| Item | Standard (example) | Low-spread (example) |
|---|---|---|
| Spread | 1.5 pips (¥1,500) | 0.5 pips (¥500) |
| Commission (round trip) | ¥0 | ¥700 |
| Cashback | ¥300 | ¥300 |
| Effective cost | ¥1,200 | ¥900 |
As you can see, even a tighter spread narrows the gap if the commission is large. Conversely, if the cashback rate differs by account type, the result can flip.
Which trading styles suit which account
The more you trade, the more the spread difference adds up. For people who trade less often, the effect of the spread is smaller.
| Trading style | Tendency | What to check |
|---|---|---|
| Scalping and short-term | A low-spread account tends to be favorable | Effective cost including commission |
| Day trading | Can reverse depending on conditions | Spread on the instruments you use |
| Swing and long-term holding | Spread has a smaller effect | Swap and margin conditions |
| High-frequency trading by EA | Total commission tends to grow | Whether EAs are allowed by the terms, and commission |
If you are a beginner who wants to grasp the overall cost picture, a Standard account with no commission is the easier choice to understand.
Cashback conditions to check when choosing an account
- The amount returned per lot may differ by account type
- Low-spread accounts may be excluded from cashback or have a smaller amount
- Compare on the same basis, round trip or one way
- For gold and CFD instruments, the definition of a lot may differ from currency pairs
Enter your trading conditions to compare the effective cost of each account type.
Compare effective cost by brokerFAQ
Q.What is the difference between a Standard account and a Zero account?
A Standard account includes the cost in the spread and charges no commission. Zero accounts and similar have tighter spreads but charge a trading commission.
Q.Which is better, a Standard or a Zero account?
It depends on your trading style and conditions. The reliable way is to compare effective cost, combining spread, commission and cashback, and to run the numbers with your own trading volume.
Q.Does the cashback amount change by account type?
It may. XB amounts by account type are being confirmed, and we will post them on each broker's page at the December 2026 launch.
Q.Are low-spread accounts suitable for beginners?
If you do not trade often, the difference is small. Because the cost including commission is harder to grasp, a Standard account is also an option until you are used to it.
This article is for information purposes only and is not investment advice. Conditions may change, so please check each broker's official page for the latest information. Offshore FX and CFD trading carries a risk of losses exceeding your principal.
