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.
TRVFX is a forex CFD brokerage with much uncertainty regarding its address and the company behind it. The brokerage extends traders a leverage of 1:100 and offers a spread of 3 pips on EUR/USD. A lot of crucial information is missing on the broker’s website and we could not see the required minimum deposit.
TRVFX regulation & safety of funds
TRVFX claims to be overseen by the Australian authorities, but after checking with the online registry, we could see that such statements do not hold water. Furthermore, it’s uncertain location puts holes in it’s legitimacy and raises security concerns. All this opens up potential clients to a number of risks.
Prestigious regulatory bodies, such as the UK’s FCA and CySec, require compliance with a number of strict rules that give significant assurance for the safety of the clients funds.
The segregation of accounts is among the rules which are especially important in the trading world, because it drastically lowers the risk of possible commingling.
Another is the participation in a compensatory scheme by which the client’s losses will be covered in the unlikely case the broker goes bankrupt or attempts to scam traders.
TRVFX deposit/withdrawal methods and fees
Potential clients of the brokerage may deposit or withdraw only via Bank transfer. Such limited payment methods further raise concerns for the broker’s credibility. There is also a minimum withdrawal amount of $100.
How does the scam work?
Information is a pretty solid criteria for judging a brokers legitimacy. Scammers would not share much of their information, because precisely there inconsistencies and irregularities may appear which expose the whole set-up. A valuable piece of information is precisely how a scam would go about. Here is a description of the typical three steps:
In most cases through clicking a tempting ad with promises for fast money, you will be redirected to a website where registration will require you to give your address, email and phone number. Your personal information will be immediately shared with brokers in call centers who are just waiting for juicy leads. After a few minutes hearing how the millions are sure to flow your way, you decide to deposit some $200-250. And just like that – the scammers take a 25 per cent commission from this initial deposit.
After stinging you for a few hundred bucks, senior scammers will take you up and begin pushing you to further invest. You may even be swayed and further give it a shot. At this point, regardless whether you are in the red or not, you probably begin to consider closing the account and getting back your money.
However, now comes the “recovery” part of the scam. After stating that you wish to withdraw your money, they will know its time to redirect you to the “recovery people” who will further stall you in any way possible. The angle here is simple – remove the last guard you may have – filing a chargeback with your bank. If six months or more pass after the initial deposit – that option is closed for good.
What to do if scammed?
Unfortunately, much of the forex trading world is overshadowed by the huge numbers of scammers. All a trader may do is be well-informed and, in case he is the subject of a fraud – stay calm and not panic! The chance for panic is greatly reduced if you are prepared for such a situation. Here are the available options for scammed traders:
You may contact your bank or credit card provider and file a chargeback, but only within six months of the initial deposit, as was noted above.
If, however, you have provided the broker with your credit card details, immediately cancel your credit card.
If you have given information regarding your online banking pass – you should switch it asap!
Beware of potential calls from self-described “recovery agencies”! They prey on scammed and vulnerable traders who are desperate and ready at anything to somehow retrieve their funds. They will say that in exchange for an up-front payment, you will get your money back, but no such thing will occur!