The credit card giants MasterCard and VISA are taking measures against unregulated brokers by classifying all transactions to forex, binary, CFD and crypto brokers, as well as ICOs as high risk, Finance Magnates reported on Friday, quoting sources familiar with the matter.
MasterCard has already implemented the new rules, while VISA is expected to follow suit in December.
For the customer of VISA and MasterCard the new rules mean, that they will successfully be able to file for a charge back within 540 days. Currently charge backs are only available within the first 180 days after the deposit was made.
The new category of high risk investment brokers is designated as “High-Risk Securities Merchants”.
The measure is aimed primarily at unregulated brokers, based in offshore territories that most often turn out to be scammers.
As always our best advice is to trade only with brokers, regulated by well respected financial institutions, such as the Financial Conduct Authority (FCA) in the UK, the Australian Securities and Investments Commission (ASIC) or the Cyprus Securities and Exchange Commission (CySEC).