Beware! Redfinstocks 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.
Redfinstocks is a Forex broker which claims to work on a global scale, also reassures that it is trusted and registered brokerage company. However, the statements they make are not correct at all, and in the next review we are going to show you why.
Redfinstocks REGULATION AND SAFETY OF FUNDS
Redfinstocks is a broker linked to two separate companies- Plan Bit Global Ltd., based in Hong Kong and the British Plan Bit Tech Ltd. Both of them are probably owned by the same individual, but we do not have enough information at our disposal to prove that allegation. Anyway, none of the companies mentioned is authorized to provide Forex and CFD services to the public. We couldn’t find a valid license neither in SFC (Securities and Futures Commission) in Hong Kong nor in FCA UK.
Redfinstocks is an unauthorized, unregulated broker which has not in its possession the licenses required to operate as a Forex broker. Avoid Redfinstocks, your funds are not in safety if you deposit with them.
In fact, it is visible with the naked eye that Redfinstocks is fishy. First of all, they do not publish any specific materials linked with their registration and regulation, this information is hidden from its clients on purpose, or most probably is missing. Also, when you find in the bottom lines of the website the connection with Britain and Hong Kong, it becomes undoubtedly clear that they are dishonest. The leverage cap in the UK is set at 1:30, while in Hong Kong it is even lower- 1:20, it is impossible for a regulated Forex broker to offer leverage as high as 1:100. Do not trust Redfinstocks and keep your money in your wallet.
Redfinstocks TRADING SOFTWARE
Redfinstocks offers only MT4 accounts and do not maintain their own trading platform . Once you download Metatrader through their website, a demo account is free to open with, we have to admit, very favorable spread of 0.2 pips in EUR/USD. However, а demo account might entirely differ from a real one, be cautious!
The sign-up process was easy for us but then it became impossible to manage your account. You can’t do anything, even cannot have a look at their funding methods procedure, unless you send them a copy of your ID card, Passport or a Driving License. Another red flag! A repetitive tactics of the scammers, they will usually not give you comprehensive information or an opportunity to test their services if you do not take certain steps, such as sending personal documents or funding your account with real money. Stay away from Redfinstocks.
Redfinstocks offers three types of accounts- Basic, Gold and Platinum, but further details regarding the differences between these accounts are not given.
Redfinstocks leverage rate is another interesting story to unveil. While they claim to offer a leverage rate of up to 1:100, we found out in their Terms and Conditions that it might be as high as 1:400, depending on the type of the account and at the discretion of the company.
Redfinstocks DEPOSIT/WITHDRAW METHODS AND FEES
The minimum deposit with Redfinstocks is not disclosed and we couldn’t get hold of this exclusive information even upon registration. Definitely a flaw!
There are two funding methods available according their T&Cs- a wire transfer or a bank card transfer through their payment system. Nonetheless, we cannot confirm that statement, because upon registration you get stuck on their Verification Page and cannot find any information that you are looking for. Redfinstocks doesn’t charge any additional commissions for funding a trading account, only standard fees charged by the bank might be applicable.
Withdrawal is said to take from 5 to 8 days for credit/debit card withdrawal, or of up to 3 business days for a wire transfer. The minimum withdrawal amount is 50 USD.
Redfinstocks does not specify any fees, including a dormant account expenses. An established, well-known and trusted broker will always pay attention to such an important aspect of the business, namely the inactive accounts and their management. Certainly a disturbing sign!
Even though Redfinstocks didn’t advertise any bonuses on its main page, they actually offer such incentives. Time for a reminder, in the UK and the EU bonus schemes are banned by the respective financial regulators, because they mislead the novice traders and most often are the main reason for losses that could have been avoided. That proves once again that Redfinstocks is not authorized, consequently supervised by FCA, to offer Forex services to the public.
Redfinstocks bonus Terms and Conditions lacks clarity. For example it is unknown who is eligible to receive bonus, if these are granted automatically, or if the benefit is rewarded in a separate account. Instead, they focus on the requirements regarding the trading volume, the client must trade the amount divided by four in order to withdraw bonus funds. It means that if the amount received is 200 USD you have to trade 50 lots if you want to make a withdrawal. The bonus expire after 60 days and if the trading volume is not reached, the amount granted is withdrawn from the account. But! If this should cause a margin call, the Company will wait for the client either to deposit more funds or close all of the positions opened. Stay away from this broker and all the similar brokers who offer generous bonuses.
HOW DOES THE SCAM WORK
The scam is a criminal activity. Forex Scammers are aiming at your money and their main purpose is to make you deposit money with them. Their targets are usually individuals who would easily believe in a get-rich-quick scheme. Scammers will promise you everything, they will manage your account, will send you free trading signals, will offer the best software, will give away bonuses and promise hundreds or thousands per cents weekly gains and profits.
Redfinstocks itself is not an officially proven scam, no official warning was issued against this broker, but their approach is very similar to many other confirmed scams. First and most important to know is that the scammers are unregulated entities, they will not bear responsibility for their actions. If you suddenly cannot open their website or cannot sign in with your credential in Metatrader, it most probably mean that the broker disappeared and your funds might be irrevocably lost. Be cautious when you choose your broker and always trust entities that are well-known and there is lots of information about them online. Redfinstocks is an anonymous entity and you should stay away!
It is very important to note that Redfinstocks is almost similar in name to Redfin Corp. The latter is an american real estate company that operates in the entire US, is well-known to the public, also NASDAQ traded . Even if it’s not a proven clone company, we suspect they want to benefit from their own name, misleading the customers of having something in common with Redfin Corp. They do not!
WHAT TO DO WHEN SCAMMED
In the unfortunate event of scam there are certain steps you should follow. The first thing to do is to protect yourself from further risks. Contact your bank and explain your situation to them, they will give you important instructions to follow and will help you, if possible, recover your money. You might also need to deinstall any software, related to the scam in order to avoid further problems.
Report what happened to you, file a complaint, contact the financial regulator, contact other institutions that have something in common with trading and investing. Seek help actively!
Share online your experience, it is important to protect others as well. Be responsible!
Avoid Redfinstocks, it’s an offshore broker!