Beware! This is an offshore broker! Your investment may be at risk.

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Utrade is an unregulated broker that offers trading in forex and various CFDs with fixed spreads and leverage up to 1:400. The latter, however, is available only to clients who deposit at least $20 000. The broker claims to provide its services via the popular MetaTrader 4 platform, as well as SIrix, but when we registered a demo account with it, we were only offered some unknown web-based trading solution.

Utrade regulation & safety of funds

Allegedly owned by Callpoint ltd s.r.l., a company registered in the Bucharest, Romania, Utrade is not licensed by any financial authority. As we keep reiterating in our reviews, unregulated (offshore) brokers have very low credibility and more often than not are involved in fraudulent practices, so we advise traders to avoid them. If this is not enough to drive you away from this broker, UK’s financial watchdog has recently issued an official warning against Utrade, which is a serious red flag.

Financial regulation is crucial for the safety of any investment and is the most important factor when choosing a forex broker. Keep in mind, however, that only well-respected financial agencies like the Financial Conduct Authority (FCA), the Financial Conduct Authority (FCA) Cyprus Securities and Exchange Commission (CySEC), and the Australian Securities and Investments Commission (ASIC) can provide sufficient level of credibility for brokerages and security to traders.

Utrade deposit/withdrawal methods and fees

Utrade uses Bank Transfer, International Swift, E-Wallet, and Debit/Credit Cards. We could not find any information on additional fees on deposits and withdrawals, nor any specific requirements, on the broker’s website. This, of course, does not mean that such are not applicable.

How does the scam work?

Everyday investors are being deceived through misrepresentation, falsifications, and manipulative and aggressive sales practices. Although there are various scam tactics and new ones are invented every now and then, most of them share certain similarities.

First of all, fraudster gather some contact information for potential victims from various phishing sites, adds, etc. Then, they start cold-calling victims, promising big profits with no risk at all. If their sales pitches work out well, the person decides to invest some $200 – $250, a large portion of which (say, 50%) goes directly to the Sales person who convinced him or her to deposit.

This, however, is usually just the beginning. At first trades will probably go well and after a while the victim is transferred from Sales to Retention team, where senior fraudsters will try to talk you into depositing more in order to hit it big and earn some real money.

At some point victims come to their senses and want to get out, to close their accounts and cash out what has been left, but this is usually not an easy task. Scammers will then try to persuade you in every way they can to wait it out. The reason for this behavior of the so cold Recovery department is pretty simple – traders have up to six months to file a chargeback with their bank.

Now, we cannot say that Utrade is scam, but it is possible. we spotted a TeamViewr installation link on its website, which leads us to believe that this broker might use it to access not only their “clients” accounts, but also their banking information. This is a very popular scam scheme.

Fraudsters persuade victims to install TeamViewer so they can guide them through trading. Often, they will make a couple of quick winning trades and then insist that you deposit more in order to see the bank account details and empty out your account.

What to do if scammed?

In case you have been scammed by a forex broker, you should immediately contact your bank or credit card provider and file for a charge back. Unfortunately, this is only possible within a 6-month period as we mentioned earlier.

If you have given any banking details, such as credit card No, to the scam broker, or they have convinced you to install a TeamViewer, you should immediately cancel the card. In case you have given them the pass for your online banking, change the password ASAP.

One last thing: do not trust any self-proclaimed “recovery agencies”, because it is very likely that you will lose even more. These agencies will just take your upfront payment promising to help you out with the scammer and then disappear.

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2 Comments

  1. I deal with uTrade online, they called me from uk numbers, I paid for them, they told can give me profits after 1 month, until now there is no thing, I want to know they are scam?

  2. I foolishly invested a large amount of money with WMOptions approximately January 2017, who have now changed their name to PrimeCFDS.

    My account manger Ethan Stark assured me that I would easily be able to make a withdrawal. Not long after informing my account manger I would be making a withdrawal soon, he refused to answer my calls. After contacting their support number, i was told the reason was that i now have a new account manger Mark Spencer. Mark informed me that my account set up with a bonus, prevents me from making a withdrawal until a massive trading volume is achieved.

    Mark offered 3 different options to consider where they would reduce the credit, and the wager against it, if I put in some money that would reduce the so called Bonus, or credit as they now call it. If i took one of these options they would allow me to withdraw a sum each month as required. He was very pushy about this, and now that i have decided to stay with the current setup he has gone sulky and says i am now on my own, despite being told that they would be on call to help when required. i am forever gratefull to my inlaw who introduced me to [email protected] who helped me recover my lost funds

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