Beware! This is an offshore broker! Your investment may be at risk.
RECOMMENDED FOREX BROKERS
Don’t put all your eggs in one basket. Open trading accounts with at least two brokers.
House Capital is a forex and CFD broker, offering over 50 currency pairs, as well as a variety of CFDs on indices, commodities, stocks and bonds on the MetaTrader4 platform. The broker offers three account types with a maximum leverage of up to 1:500. As tested with a Demo account the key EURUSD spread reached 2,8 pips – about two times higher than what traders usually expect to see with a standard account. The minimum deposit requirement for the starting Slate Account is 100 USD, which is acceptable. For the two premium accounts, however, you will have to invest considerably more – 10 000 USD and above.
House Capital Review regulation & safety of funds
The company behind House Capital – GO Partners Limited has a contact address in the UK. Here we should note that all companies, providing financial services in the UK should be registered with the local Financial Conduct Authority. So we diligently checked the FCA registers, but unfortunately we were not able to find House Capital or GO Partners Limited there.
So we should conclude that House Capital is an unregulated broker and this significantly diminishes its reputation. As proper regulation is the single most important factor for the safety of any investment, have in mind that all FCA regulated brokers are obliged to abide by strict financial and ethical rules, including to maintain a minimum operational capital ratio, to keep all traders funds in a segregated, protected form creditors account, and even to participate in a client compensation scheme, according which, in the unlikely event that the broker goes insolvent, any trader can receive back up to 50 000 GBP of his or her capital.
House Capital Review deposit/withdrawal methods and fees
You can fund your account at House Capital with major credit or debit cards like VISA and MasterCard, as well as with bank wire. However, we miss the option top pay with popular e-wallets likeNeteller, Skrill and PayPal. There is no option to pay with Bitcoins as well.
Beware, that if you accept a bonus from House Capital, you will be able to withdraw funds form your account only when you have traded 1 lot per every 10 USD of the bonus. That means if you have accepted 3000 USD bonus, you will be able to withdraw only after trading 300 lots. This in our view is excessive as 1 standard lot corresponds to 100 000 base currency units.
How does the scam work?
Probably it will all start with a video. A very convincing video indeed, telling you the story of ordinary people, who got rich overnight after investing with a high-tech financial company, which exploits the weaknesses of the market – a secret, known to 1% of the 1% of the richest people in the world only… or something like this. If you you are interested and want to learn more you will just have to fill a simple registration form, leaving your e-mail and probably mobile as well.
Next you will receive a call form an expertly sounding “financial adviser”, who will convince you to invest a mere 200 USD and start making money on the forex or the crypto market right away. Your first couple of trades will go smoothly and in a matter of hours the money in your account will more than double. Mind that this will happen not necessarily because you have made great trading decisions, but simply because your account and trading platform will be manipulated.
And next you will receive yet another call, this time form a “senior account manager”, who will congratulate you on your trading performance and will advise you that if you want to start making real money you simply will have to invest more – let say 10 000 USD. Surely, that is how you will get much better trading conditions as well.
And everything in the beginning will look great until you try to withdraw some of your profit. It will turn out that there is some obscure clause in the Terms and Conditions, you have agreed with, according which you can not withdraw any funds until you meet a certain minimum trading volume requirement. It could be linked with the welcoming bonus, you have received after you opened your trading account in the first place, or it could be linked with something else, but the base line is that you will not be able to withdraw any money.
In addition at some point the scammers will make you send them copies of your ID and a proof of address (your latest electricity bill). They will cite some anti-money laundering regulations, but the truth is, if you send them those personal details voluntarily, the scammers will have a much stronger case, when you file for a charge back with your credit card provider.
Also, beware that some scammers might even try to trick you to install Team Viewer on the pretext to help you with the installation of some software or even with the funding of your account. If you allow this, scammers will surely get to your credit card number and the password for your online banking and will try to steal money form you directly.
What to do if scammed?
Immediately file for a charge back with your credit card provider. This, unfortunately can be done within a 6 month period only, and scammers, knowing that well will possibly try to retain you for the period.
If you have given away your credit card number and the password for your online banking, block your credit card immediately and change the password for your online banking service.
Finally, if you have lost money to scammers do not contact the so called “recovery agencies”. If you do that you will simply loose even more money, as they will simply ask you for an upfront payment and that is how the story will end.
