Beware! Zuercher Capital 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.
Zuercher Capital claims to be a forex and CFD broker, offering several account types on a web based trading platform and a choice of more than 30 forex pairs, including a number of exotic currencies like Russian Rubble, Norwegian Krone, Swedish Krona, Chinese Yuan, Danish krone, South African Rand and Czech Krona.
However, we have some very serious concerns about the legitimacy of the broker, so if you are considering opening an account with them be sure to read this review first.
Zuercher Capital regulation & safety of funds
To start with, the Zuercher Capital website is completely anonymous – there is no company name and no contact address.
On top of that there are several reports in the British media, according which Zuercher Capital has been exposed to be a part of a criminal gang, impersonating real companies in scams known as “clone fraud” to steal money from retail investors. The reports, which are form June 2018, also reveal that Zuercher Capital web domain is registered in Barbados and a phone number used to set up the website has previously been linked to a poker and banking scam. In addition it turns out that Zuercher Capital uses a fake online trading platform.
Needles to say Zuercher Capital is a unregulated broker with very limited credibility. And while regulation is the single most important factor for the safety of any investment, our strong advice as always is to invest only with brokers, regulated by respected financial authorities, such as the Financial Conduct Authority in the UK, the Cyprus Securities and Exchange Commission (CySEC), or the Australian Securities and Investments Commission (ASIC).
Zuercher Capital deposit/withdrawal methods and fees
Zuercher Capital accept payments with major credit cards like VISA and MasterCard, as well as bank wire, but they do not say what is their minimum deposit requirement.
Take a note that Zuercher Capital does not accept payments with a popular e-wallet like Skrill, which recently adopted a new anti- scam policy, according which forex and CFD brokers, who want to use its services must prove they hold a legit license.
Besides, be aware that the so called trading bonuses, like the ones offered by Zuercher Capital, are often used as a pretext by scammers to refuse a withdraw request. That is because trading bonuses come with a some minimum trade volume requirement, which often proves quite challenging to be fulfilled.
On top of that Zuercher Capital says a withdraw request takes 14 working days to be processed, which is simply absurd. With most brokers the withdraw process does not take more than a few days.
How does the scam work?
You may not have heard but sometimes fraudsters use the so called robo – scam websites like Crypto Revolt and Bitcoin Evolution, which are especially designed to hook retail investors to deposit their money with a unregulated, offshore brokers. Those robo – scam websites are usually build around a nicely cut video add, telling you a rather convincing story of how you can get instantly reach by just joining an innovative trading app or a platform, where you will be granted easy and risk free returns.
And if you get hooked and do register, leaving your e-mail and phone, you will be instantly transferred to the web site of a unregulated, offshore, scam broker, where you will have to make an initial deposit of about 250 USD. And do not be surprised that your first trades will turn out to be so successful – your account will simply be manipulated so that you can be more easily tricked to invest a more generous amount.
And that is the moment you will receive a phone call as well. It will be form your “senior account manager”, who will professionally explain you, that if you want to make some real cash, you will simply have to invest more – like at least 10 000 USD.
And you will invest those money as well and you will not know that you have been scammed until the moment you decide to withdraw some of your funds. Than it will suddenly turn out this is not possible because of some minimum trade volume requirement, linked to your trading bonus. Of course, it could be something else, but the bottom line will always be the same – you will not be allowed to withdraw anything.
What to do if scammed?
In the unfortunate event you have been scammed there is just one way to retrieve some of your funds and that is through a charge back request with your credit card company. So file for a charge back immediately. The good news here is that in an effort to combat retail scams, MasterCard and VISA now allow their customers to file for a charge back within 540 days.
Also beware that some scammers might try to trick you to tell them your credit card number or online banking password. If that has happened, be sure to immediately block your credit card and change the password for your online banking service.
Finally, if fraudsters have stolen money form you, do not waste any more of your funds by contacting the so called recovery agencies. They will simply take an upfront payment without retrieving a single penny back.