Capital Forex Market Review – 5 things you should know about Cfxmarket.com

Capital Forex Market Review – 5 things you should know about Cfxmarket.com

Beware! Capital Forex Market is an offshore broker! Your investment may be at risk.

Don’t put all your eggs in one basket. Open trading accounts with at least two brokers.

 

Capital Forex Market is a Forex brokerage supposedly based in the UК. The brokerage provides the MT4 trading platform but the required minimum deposit is double the industry average at $500. The leverage extended to traders is quite generous at 1:500, however, further trading conditions remain unclear.

Capital Forex Market regulation & safety of funds

Coin Financial is supposedly owned and operated by a company registered in the UK with the name Capital Forex Market (Pte) Ltd. We remind readers that the British authorities in the face of the Financial Conduct Authority practice strict regulatory oversight over online Forex trading. However, there is no mention of a license on the website of the brokerage and after checking with the online registry of the FCA we may safely conclude that Capital Forex Market is providing such financial services without proper authorization. We are positive in saying 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 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.

Capital Forex Market 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, upon downloading the platform we discover that it is an unbranded version which means that the spread we see may not be the actual offer of Capital Forex Market. Furthermore, the spread is not disclosed on the website which leaves in the dark regarding the trading conditions of the broker. Usually in Forex trading brokerages offer a spread on EUR/USD between a pip and a pip and a half, the amount we consider favorable for traders.

Capital Forex Market deposit/withdrawal methods and fees

There is no information on the website regarding the available payment methods for traders. Usually in Forex trading brokerages support Visa, MasterCard, bank wire, as well as e-wallets such as Bitcoin or Perfect Money.

We could not find any information regarding possible withdrawal fees in the terms and conditions of the brokerage and we do not know whether Capital Forex Market won’t 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 and Visa is expected to follow suit in December.

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!

Rich Snippet Data
Review Date
Reviewed Broker
Capital Forex Market
Broker Rating
1.31star1stargraygraygray

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