Beware! IFSL Group 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.
The Financial Conduct Authority (FCA) that is the regulatory body for forex brokers in the UK, has issued a warning that IFSL Group is operating without authorisation by FCA. In any given moment the website may be shut down. Also, the fact that it is acting without authorisation means that it is running investment scam.
IFSL Group Regulation and safety of funds
As you can see from the screenshot below, IFSL Group is not licensed and there is sufficient proof by FCA warning that we are dealing with scammers. To be licensed, forex brokers must meet certain conditions.
In the UK, for example, forex brokers must have an initial capital of no less than 730,000 EUR and they must contribute to a local compensation fund, such as the Financial Sevices Compensation Scheme from which clients will be compensated up to 85,000 GBP per client if the broker goes bankrupt. The high initial capital and the fact that brokers must report on a daily basis about their transactions serves, among other things, to prevent scammers from sneaking in. In the jurisdiction of the EU, brokers must register the same amount of initial capital as in the UK and they must contribute to the local Investor Compensation Fund from which traders will be compensated by up to 20,000 EUR per person in case of bankruptcy. These are excellent conditions that guarantee investors’ safety of funds and that they won’t be fleeced off their hard-earned money. Please do thorough research before selecting your forex broker, so that you won’t be put at risk of losing your money.
IFSL Group Trading software
IFSL Group trades in forex, stocks, commodities, metals, indices and cryptocurrencies. The trading software consists of MetaTrader 4 and Sirix web trader platforms. However, due to broken links on the company’s website, we were unable to download these platforms. Broken links is another sign that there are problems with this broker. Also, as we mentioned already, closing down the website after the FCA warning may be imminent.
In the account types image, we found some information that has an impact on the trading activities. We looked at the spread for the different accounts, and it appears to be within normal limits, the lowest being 0.5 pips and the highest – 2.5 pips. The leverage also seems to be rather low which is surprising. In the UK, there is a cap on leverage and it cannot exceed 1:30. This broker, however, offers leverage up to 1:4. Please note, however, that with scammers, what appears on the website and on the trading platform can be very different.
A lot of brokers offer the MetaTrader 4 trading platform as it is one of the best platforms in the world of forex trade. MT4 comes with a code base with customs scripts, VPS, trading signals, an app market and auto trading option. Its charting package makes it being choice number one for around 80% of the brokers. These charts come in a variety of types, time frames, colour and possibilities for creating templates along with technical analysis indicators, such as Bollinger Bands, Fibonacci retracement, moving averages and others, that help traders predict the future direction of exchange rates and make profits.
However, please remember that no matter how good the trading platform is it still cannot compensate for the fact if the broker is not licensed or is a scammer.
IFSL Group Deposit/Withdrawal methods and fees
IFSL Group offers5 different trading accounts. The initial minimum deposit for the Green account is 5,000 EUR. This is another proof that this broker is a scam as licensed brokers do not ask for such a high minimum initial deposit. If you open the links we provided to EU and UK brokers, you will see those legitimate brokers ask for 1-10 USD/EUR/GBP initial deposit.
As per the company’s deposit and withdrawal policy however, the minimum amount to make a deposit is 250 EUR/GBP using a credit card. The minimum deposit amount via a wire transfer is 3,000 EUR/GBP. We want to point out that there is a contradiction in the information provided by the company. First, they say that to feed the Green account clients must invest 5,000 EUR then, in the deposit/withdrawal policy document they say that the minimum amount to make a deposit is 250 EUR/GBP. This is another proof that this broker is a scammer and does not care about the precision of the information on its website.
In the horizontal bar of the company’s website, we see shown as payment methods VISA, MasterCard, bank wire and Skrill.
The withdrawal policy says that the minimum amount of withdrawal via a wire transfer is again 3,000 EUR/GBP. Processing time for withdrawal requests is 5 business days and another 10 business days for the funds to reach the client’s account.
Overall, we must say that the deposit and withdrawal methods set by this broker are not to the client’s benefits – a big amount for the initial deposit or withdrawal and a very long requests’ processing time in addition to the contradictory information on its website.
This broker will charge 10% fee if the client’s account stays inactive (dormant) for 6 months.
Also, the company offers bonuses and incentives (non-deposited funds) which are subject to certain conditions, such as withdrawal of bonuses or profits. However, there is no bonus policy in the company’s legal documents, nor is there any mention on what these conditions are in the Terms and Conditions document. We want to warn our readers and potential traders that bonuses are not free gifts and they come with difficult to fulfil requirements attached to them. Offering bonuses or non-deposited funds is a sign that your broker might be a scammer. Licensed brokers never offer bonuses or free gifts. Please do not put your funds at risks by accepting bonuses from non-licensed brokers.
How does scam work?
A lot of people get scammed every day, not because they are naive or stupid, but because scammers are inventive and they are masters of manipulation. Often, as you scroll up and down on the Internet or social media, you come across ads for a quick and easy profit which sometimes sound too tempting not to fall into their traps. So you deposit some money into the account and what happens next is the incessant calls of the scammers. First, they congratulate you for taking the first steps towards becoming rich and next, they try to convince you to invest even more money into their ‘profitable’ business. What you probably don’t know is that your money has just gone as a commission to some scammers. And so, you wait and build the sandcastles of your dreams for a better and ‘richer’ future. And you wait, and you wait, for the money to come. But where is it? Now is your turn to call the scammers and to ask what’s going on. They try to placate you and ask you to be more patient. But have had enough and all you want is to get your money back. The scammers kind of promise, but now they are asking you to provide this document or fill out that form, etc., etc., all done in an attempt to delay you from filing for a chargeback.
What to do if scammed?
If this happens to you, our advice is to act immediately and if you have paid your deposit via credit/debit card, to file for chargeback which is retroactive cancellation and refund of your previous transaction. Visa and MasterCard give you 540 days time limit to file for chargeback which gives you a fighting chance to recover your money.
However, if you have used bitcoin or bank wire for your payment, the chances of you recovering your money are really slim.
Whatever you do to recover your funds, beware of the so-called recovery agents. Please make sure that you are dealing with a genuine one by checking their credentials and company’s information transparency. Otherwise, you may fall victim to another form of scam.
Cancelling your credit/debit card in case you have given the scammers your CVV code may be another good idea. Also, make sure to remove from your PC any software that my give scammers access to your private data stored on your computer.