Beware! Jyncfx 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.
First impression are always deceiving with brokers like Jyncfx. It greets you as a king, but the more you spend time with it , the more you get a sense that something is really not right with this broker. Read the review to find out all you need to know about this one.
We registered in no more than half a minute, and not to mention that the process was familiar to us, so much so that we immediately knew the direction this review will be taking. After the familiar sign up procedure, even a more recognisable user area appeared, one that is seriously limited and quite boring.
We were able to open a web-trader, where we got a EUR/USD cost of trade of 3 pips, which is one more step to meeting our suspicions. The leverage is capped at 1:100. The terminal gives us forex pairs, crypto, commodities, indices, and stocks.
The language of the website is English, French, Polish, and Russian.
JYNCFX REGULATION AND SAFETY OF FUNDS
The official information is that the holding company of Jyncfx is called Global Business Community Inc, a Seychelles parent firm.
We checked the official list of regulated entities by the Financial Services Authority (SFSA) of Seychelles, and found no result of both broker and holder firm. Thus the company cannot be regulated there. It can easily register there, but to get a regulation is a different beast.
Furthermore, it never says that the broker is actually regulated anywhere, so Jyncfx is definitely UNLICENSED, and 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.
Please note that the broker may offer it s user access to third party websites, of which there is not detail as to their function, and will not be held responsible for any damages these third party service provider cause to the user.
Furthermore, what we found out is that the Terms and Conditions are a copy of XM’s own legal document. Jyncfx just tweaked it so that it can serve its own purposes, but the structure remains the same. We advice you to compare them,to see just how similar they are, most notably both are 94 pages long and utilises the same letter font. This is a huge tell that Jyncfx is completely out of boundary.
Even more, the funds of a user may be kept in dodgy bank account, who, in the event of an insolvency, might not be able to return a user’s funds in total. The broker will not be held liable for this.
Furthermore, Jyncfx can give your deposited funds to a third party, like a different broker, a clearing house, and even an exchange.
JYNCFX TRADING SOFTWARE
The MT4 that was provided to us, under the broker’s holding company name, was not accessible, because the credentials given were not working. Needless to say, we were left with the Activ8 web based platform, as the only platform.
This trading platform is very common with illegitimate brokers. The main allure here is its looks and interface. Yet, as for features there is nothing aside from copy trading and pending orders. We do not recommend this even if the broker was not illegal.
JYNCFX DEPOSIT/WITHDRAW METHODS AND FEES
According to the user area the minimum deposit is $25 and the payment gateway is PayBox. You can deposit in EUR, GBP, and USD.
The T/C reveals that withdrawal requests take a day to process. There are also transfer fee connected to payments.
There is a $50 handling fee in case the user deposit via a third party:
The dormant account fee is is just $5 per month, and is activated after 90 days of inactivity.
Here is evidence that there are fees and charges applicable, without giving any more details:
To make matter even worse, the next provisions mention additional charges to the ones we just mentioned. However, the clause following this one reveal what these additional charges are.
These additional charges are varied. Note that the broker does not reveal the sum that it will charge. The fees include ones on client relationship taxes like phone fees, courier fee and the like; reminder fees connected to a user’s non performance; fees connected to public authorities enquiries; transaction fees; auditor fees; fee for prohibited trading or abuse.
Furthermore, the broker has the right to covert a users base currencies into what even currency it sees fit without prior notice, for the following reasons:
The broker has the right to change or delete any of the clauses in the Terms and Conditions without notice
There is also a charge-back fee of $150. This is unacceptable, as charge-backs are one of the few way to get your money back from fraudulent brokers.
Furthermore, should the user make a charge-back the broker will hit back with a number of shocking consequences- it will attempt to recover fraudulent money (what ever that implies) via third party collection agencies; it will damage you credit score for the next 7 years; it will file a report in the police department; it will keep all profits made from a user’s trading activities; etc…
The Terms and Conditions document, which acts as the main legal document, is incredibly long and detailed, so be aware that we might have missed some provisions. With that said, this company is obviously a big fraudulent scheme, and should you deposit you will not be able to get your capital back. Not to mention that these T/C are technically stolen and adjusted to fit Jyncfx’s scammer intentions.
That is why we urge you to not deposit at all, or at least deposit the minimum (if for what ever reason you wish to proceed with funding an account).
How does the scam work?
Users will be in the middle of a scam without even knowing it, that’s how efficient these scams are. Yet, clients will also be surprised that the most utilized scammer structure is laughably easy to grasp, making it predictable. We have dedicated the following section to the reveal of how the scam works.
The internet is filled with ads, it’s the fuel of the industry, and a big chunk of said advertisements are misleading and some are downright deceitful. The ads concerned with unregulated forex brokers are often very promising, and most of the times utilize completely false claims of immediate profit. Those tempted enough will be redirected to a robo-scam website that further guarantees profits. The only thing that separates the user from the unrealistic promises is a fast registration process that requires a phone number and an email address. After inputting this info unsuspecting users will start getting phone calls from illicit broker representatives, whose one and only job is to initialize the scheme by pushing a trader to make that first deposit of around $250. After that’s done, the senior representatives will be calling. These expert scammers are extremely good talkers, and will start working on you to start putting even more money in. They say that the more money invested, the higher the profit will be. At this point most traders start seeing the big picture, and will want to withdrawal their money and get out fast.
However, the scammers have anticipated this development, and are ready to counter any withdrawal request. Typically they find excuses for delaying the request in the legal documents that hold specific clauses for these purposes. The reasons are many. One thing to remember is that all illicit brokerage firms will deny the withdrawal request for as long as they can, because of the imposed time limit traders have for filling a chargeback. Once the crucial due date is not met, any chargeback requests will be denied.
What to do if scammed?
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.
Scammers will steal directly from a bank account, if the traders has provided crucial details, like banking password or security code. If it get down to this, be sure to either block the account or change the password.
Sometime victimized users will stumble upon the so called recovery agents that promises to magically reclaim all lost investments, for a fee that is. Needless to say, they will not get back any of the lost funds, and will basically scam you a second time.