News Traders review – 5 things you should know about News-traders.com

News Traders review – 5 things you should know about News-traders.com

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

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News Traders is an offshore Forex brokerage registered in St. Vincent and the Grenadines. It provides the MT4 trading platform and the required minimum deposit is just the industry average of $250, however, further trading conditions remain undisclosed.

News Traders regulation and safety

On the brokers website we read that the broker brand is owned and operated by a SVG-based company with the name News Traders LTD. Saint Vincent and the Grenadines is a well-known offshore zone and a preferred location for shady brokerage.

We remind readers that the government of SVG has multiple times publicly stated that it does not oversee Forex trading and thus we may safely conclude that not only is the brokerage not regulated. Furthermore, trading with an offshore, unregulated brokerage hides a lot of risk. There may be commingling which means that the brokerage may commingle together the finances of the firm and the finances of the clients. Furthermore, in the terms and conditions of the broker we find conflicting information of the country of origin since it reads that Scottish laws are in effect for the agreement which is another sign of trouble since such inconsistencies are the mark of a scammer. On top of all this we learn that the brokerage is acting as a market maker which may lead to conflict of interest if it wishes to give trading advise or manage the accounts of clients since market makers are on a profit only when clients lose money. Overall, the lack of regulation inclines us to suspect that potential clients of the brokerage may be open to substantial risk.

Overall, the lack of regulation and the regulatory warning inclines us to suspect that potential clients of the brokerage may be open to substantial risk.

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 FCA 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. With the FCA the compensation is up to 85 000 pounds, where as with CySEC it is up to 20 000 euro per person.

News Traders trading software

Putting all this aside – the brokerage does provide the MetaTrader 4 trading platform, a big advantage for traders since it is the foremost trading terminal at the moment equipped with features such as almost a 100 market indicators, as well as customizable trading robots. However, we were unable to get a look at it through a demo account. We always view the lack of a test-drive unfavorably since it is the most transparent way to get a hold of the trading conditions of the brokerage. Besides, there is no information regarding the spread or the leverage on the website as well, we only discern the required minimum deposit which is not enough to go on.

News Traders deposit/withdrawal methods and fees

Potential clients of the brokerage may deposit or withdraw via only the standard Visa, MasterCard and bank wire, as well as Skrill.

Going through the terms and conditions of the brokerage we did discover some troublesome provisions. Here is a screenshot:

We discover that News Traders charges a monthly dormant account fee of $100 all accounts that have been inactive for more than a month and a half which is quite an excessive measure in our view and troubling as well. We remind readers that no legitimate brokerage would charge such a huge amount. Furthermore, there is an auto trading software fee according to which all accounts that have not been able to achieve at least 20 traders with the company’s trading software will be charged $100. We mention again that it is deeply disconcerting for a brokerage to both offer such a software and be a market maker since it leads to a definite conflict of interest.

There weren’t any other noteworthy provisions, but we do remind readers that many scammers choose not to disclose such information to would-be clients. Without proper information on the website we cannot be certain whether clients won’t be charged with any unexpected withdrawal or deposit fees once they invest. This is why we advise traders 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?

Even though the Forex trading world is extremely large and encompasses millions of people around the globe, the most common scamming is pretty simple and straightforward and as such – it’s not particularly daring to avoid. Here is a quick overview of how it is done:

Through clicking an ad with promises for fast money, you will be redirected to a website such as DaxRobot or CryptoContracts where registration will require you to give your address, email and phone number. After sharing your personal information, you will being receiving calls from brokers, compelling you to invest with them and win big. After a few minutes hearing their pitches, you decide to deposit some $200-250. And just like that – the scammers take a fat commission from this initial deposit.

After they are done with you, senior scammers begin working you into putting even more money. They say it’s the only way to profit from trading even more. After making the mistake of investing even further, you’ll begin wanting to get out of this and withdraw what you have left.

Unfortunately, the con-artists have no such thing in mind. They will now begin persuading you to wait it out and not withdraw right now. The angle here is pretty blunt – traders have a limited time period for filing a chargeback with their bank and get their money back. The “recovery department” will simply want to mislead you into missing thе crucial period and, along the way, losing any chance you might have of getting the money back.

It is important here to take notice that both Visa and MasterCard are taking measures to combat unregulated forex brokerages by classifying all forex transactions as high risk. And with the case Traderia – they are correct in doing so. Furthermore, supporting their intention with clear actions – MasterCard has increased the previous time period of six months for filing a chargeback to a year and a half.

What to do when scammed?

As was mentioned above, scamming is quite the common in the trading world and, sadly, even you might suffer from it. In such an unfortunate case there still may be some available options for you.

You may contact your bank or credit card provider and file a chargeback. 

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 to recover their losses. They will require an “up-front” payment to help you, but after paying them, no such help will be coming your way!

Rich Snippet Data
Review Date
Reviewed Broker
News Traders
Broker Rating
1.31star1stargraygraygray

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5 Comments

  1. Is there any way I can get my money back they took £250 and just left me can’t get hold of the initial man but have been on chat line and they say a manager will get in touch but no one does
    Can any one help I am 76 and can’t afford to loose money

  2. Shandin Thompson

    Scammed by News-Traders.com – fraudulent online trading brokerage

    Hi Guys – myself and about 10 other i know have just been scammed by a fraudulent online trading brokerage. Im going to name and shame because i feel its my duty as a loyal citizen.

    Company name: News-traders
    Website address: http://www.news-traders.com
    Contact person – Ronen Senger – [email protected] – +44 7878 617681
    Contact person – Craig [email protected]
    Contact person – Greg [email protected]

    They say they operate in Germany – but who knows!
    They only contact you on whatsapp or skype.
    Ronen is apparently German, and Craig is a South African!

    DONT LET THEM SCAM YOU!!! NO MATTER WHAT THEY SAY!!!

    if you want a real testimony please contact me personally!

    Its actually very sad we have people like this in our society, they should be embarrest !

    1. Hi Shandin

      We were scammed by these people as well

      The owner’s name is G. ASSIS and you can find him on Google and Facebook.
      He is in a gay relationship with another person there called B. Verhoeven, they call themselves OLIVER WHITE AND JAY SMITH but their real names are G. ASSIS and B. VERHOVEN – you need to get a lawyer in Israel to get your money back for you. If you google the Times of Israel articles on Binary Options fraud, you will find out who to use – Good Luck

  3. Yes i agree. NEWS TRADERS are a scam forex company. You can deposite money and thats done so quickly. If you want to withdrawl then that will nevet happen. They use every trick in the book to hold onto your money. You can ask beg and plead and you get ignored. They dont care. Watch out for a guy named Ronen zenger. False name of course. I hope you rot in Hell. I will find you one day and give you a proper lesson.SCAM SCAM SCAM. Please shut them down and lock them up.

    1. Hi Sacha

      We were scammed by these thieves as well, we are trying to have them pay the ultimate price. We have some intelligence on them, the owner is called G. ASSIS and is living in Tel Aviv, the other guy is called B. VERHOVEN, they are a gay couple and they have a son called O. ASSIS, he is “SAM ROCKWELL” and they have another family member who is called CRAIG. You can get an Israeli lawyer to screw them and get your money back, if you google The Times of Israel, Binary Options scam, they will show you which lawyer to use. G. ASSIS is the owner google him and destroy him. He ruined my family.

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