BForFinance review – 5 things you should know about BForFinance.com

BForFinance review – 5 things you should know about BForFinance.com

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

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BForFinance is a brokerage supposedly based in the UК. The brokerage provides a web-based trading platform available for clients but the trading conditions are not disclosed and remain unclear.

BForFinance regulation & safety of funds

We find no information on the website of the brokerage regarding the name of the company behind it. Nor do we ding such information in the terms and conditions of the brokerage which deeply troubles us since anonymity is as red a flag as any in Forex trading. We do come upon an UK address: Brokerages in the UK fall under the regulatory oversight of the Financial Conduct Authority and are subject to strict rules and requirements, however, seeing as there is no company name – we can safely conclude BForFinance is not regulated by the FCA and is most likely operating illegally. We have to stress the fact that websites that do not present sufficient corporate information should be considered by traders as “no-go zones”. Putting that aside – we also weren’t able to register for a demo account which is another big disadvantage since a test-drive is crucial in Forex trading both as way of getting acquainted with the trading conditions of the broker, and for creating trust between the firm and client. Here is a screenshot of the page we get redirected to when attempting to register: All in all, traders are warned no to risk it with BForFinance. We urge traders to avoid risk by trading only with brokerages that have been licensed by a top-notch regulatory body.

Traders needn’t have to worry themselves with such risk if they choose to trade with a brokerage regulated and authorized by a prestigious regulatory agency. Such agencies are the Financial Conduct Authority in the UK or CySEC in Cyprus which have been leading names in Forex trading for some time now. Their regulatory framework is composed of a number of strict rules which prevent clients from falling victims to fraud. Such rules include the segregation of accounts which assures that commingling with the client’s money is not possible. Furthermore, a license by such a regulatory body entails participation in a financial mechanism by which clients may be compensated if they suffer losses due to fraud or bankruptcy. The FCA compensates traders up to 85 000 pounds where as CySEC guarantees up to 20 000 euro per person.

BForFinance deposit/withdrawal methods and fees

We could not discern the available payment methods that the brokerage supports from the website. Usually brokers provide clients at least with the standard Visa and MasterCard, as well as bank wire.

In the terms and conditions we did find provisions worth noting. Here is a screenshot:

We read that if an account has not executed any trades it will be charged 5% upon withdrawal which certainly isn’t excessive since many legitimate brokerages also have such fees designed to encourage trading activity.However, once we get a look at the bonus provision the motive behind BForFinance becomes clear: BForFinance does what most unregulated shady brokerages do: it offers a bonus promotion and than ties the promotion with a dire trading requirement in order to be eligible to withdraw your winning. With BForFinance it is 1 trading lot per $5 of the bonus which is absurd and excessive. No legitimate brokerage should have such a withdrawal provision and this only further speaks about the brokerage’s ill-minded intentions towards potential clients. There is no other mention of withdrawal fees on the website, nor in the terms and conditions of the brokerage either, but that is still no guarantee, because unregulated brokerages – especially those who present misleading information – often charge unexpected fees once the client has already invested funds. Precisely due to such instances we remind readers of all the ways a trader may test the brokerage’s intentions. Firstly, traders are advised to always put up only the required minimum deposit, instead of risking a bigger amount with no certainty. Afterwards, they may also try to withdraw a small amount in order to check for any unexpected fees or delays. Such fees and delays are usually the signs of a scammer.

How does the scam work?

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 such a situation does not take you by surprise. Here are the available options for scammed traders:

In most cases through clicking a tempting ad with promises for fast money, you will be redirected to a website such as The News Spy or Bitcoin Evolution 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 leading you by the nose 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. You may do that only during a limited time-window, once it passes – your money is gone for good.

What to do when 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 such a situation does not take you by surprise. Here are the available options for scammed traders:

You may contact your bank or credit card provider and file a chargeback, , as was noted above. The high instances of fraud have provoked both Visa and MasterCard to take effective measures against scammers in the business. Keeping true to their intentions, MasterCard has already increased the previous time period of six months for filing a chargeback to a year and a half.

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!

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Rich Snippet Data
Review Date
Reviewed Broker
BForFinance
Broker Rating
1.11star1stargraygraygray

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