ForTraders is an offshore broker that offers questionable trading conditions. The EUR/USD spread is unknown, and so is the leverage, but more on that later. Read on to see all you need to know about this suspicious broker.
FORTRADERS REGULATION AND SAFETY OF FUNDS
Unfortunately, the broker has not included any information concerning a regulation. The legal documents are void of any mention of of a regulatory entity. They do mention that the brokers works according to the laws of Estonia, which is a country that is not all to well known for forex brokers. For financial activities and capital markets trading Finantsinspektsioonacts (FI) acts as a regulatory entity in Estonia, with all regulated companies being officially included in a online register. This current broker was not found in this database, which leaves us to conclude that ForTraders is NOT REGULATED, and thus a risk to all investments.
Traders should be trading with risk-free brokers, that hold licensed from renowned and austere agencies, like the FCA or CySec , which have made a name for themselves as some of the top regulators. Readers should be aware that both agencies have adapted very strict rules of conduct, and their licensing framework guarantees safety and security for all clientele. A good example of this is the segregation of accounts which assures that client money and broker money are kept in separate accounts. Furthermore, FCA/CySEC brokers participate in a financial reimbursement scheme that cover traders losses in case the broker becomes insolvent. The FCA provides up to 85 000 pounds per person, while CySEC guarantees up to 20 000 euros.
FORTRADERS TRADING PLATFORM
The Activ8 trader graces s with its alleged presence, yet we were unable to load it. For this reason we cannot give you proper spreads and a leverage value, What’s more is that the company has not included any info on spread/leverage values anywhere on its website.?
Nevertheless, from previous expericience with the Activ8 trader, we can say that Activ8 is actually quite decent, even thought it does not compare to the MT4. Activ8 offers an interesting approach to the trading terminal principle by giving each individual asset a small tab, quite a useful tool. Trader can even copy trading strategies and pending orders
FORTRADERS DEPOSIT/WITHDRAWAL METHODS AND FEES
The only deposit method is via crypto coins. Users will see that there are a few other depositing methods in the client portal, but as soon as you click on them you will be redirected to a couple of blockchain wallets. As for a minimum deposit amount, the website claims it to be $250.
Withdrawals are done by sending out simple requests, which is a clear sing that this cpmany is unregulated. As for fees, the legal docuements mention some fees here and there, but never reveal their true value, which, again, is very typical for unlicensed brokers.
We strongly advise traders to only deposit the minimum deposit, or better yet- not deposit at all! As for the withdrawals, scammers are known to either deny such requests, or impose incoming and unexpected charges.
How does the scam work?
The most common type of scamming is in fact a very simple scheme that involves multiple level of commitment from both the victim and the fraudulent broker. In the following section we will dive into the individual elements that make up this scenario.
Users of the net will be lured or intrigued by the countless ads that float around the internet, mostly on popular websites such as social media hubs. These ads promise fast money, and are accompanied either by images of luxury or made up testimonials. Clicking on them redirects users to a so called robo-scam website such as Profit Revolution or Bitcoin Revival, where a simple registration process will require from you a telephone number and email address. We assure traders, that once these details have been shared, they will shortly get a call from the broker or brokers, on whose ad you just “stumbled”; this is when the game begins. The voice on the other end of the line will urge you to deposit in their broker some $250 (approximately), by reassuring you of the possibilities of profit, and the like.
Should you deposit, the initial scammer has just earned a hefty commission from this deposit. Now it’s time for the senior scammer to talk you into depositing more, by claiming that the only way to increase profits is to deposit more and larger sums. These second level frauds are great talkers, charismatic and influential, twisting their lies to sound like the absolute truth.
At some point or another, the trader will inevitably start suspecting something, and will want to withdrawal his/her funds. At this point, the con artists will delay the withdrawal process by persuading you to wait, or by referring to their legal documents that cover specific withdrawal clauses- excuses vary from broker to broker. This delaying process is crucial to them, for trader have a limited time to file for a chargeback with their respective bank. Once the chargeback time frame runs out, traders will have lost their money for ever.
What to do if scammed?
VISA and MasterCard users will be happy to know that have extended their charge back request period to 540 days for when online scams occur. In case a chargeback is unavailable for some reason, the next immediate route is to cancel your credit card ASAP.
Those of you who deposited using VISA and MasterCard will be glad to know that both companies have extended their chargeback time span to 540 days, especially if the reason for it is an online scam.
If any bank details have been shared, like banking pass or security code, traders should be aware that scammer will most certainly attempt to drain your account. In such a case, immediately block the account or change the password.
We also urge users to be very careful with the so called “recovery agents” that promise to recover lost money from unlicensed broker. They charge a fee for their alleged services, and will unquestionably not recover any previous deposit, basically scamming you a second time.