Beware! Fitrex.eu 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.
Fitrex is an offshore broker run by companies based in SVG and Estonia, that’s what their Terms and Conditions reveal. They chose to create a Forex broker offshore, evading the weighty requirements Europeans impose. However, the offshore registration makes them a risky entity and a scam suspect. The company running this broker was granted a warning for another trading name of theirs. Find out all the details you need to know in the full Fitrex.eu review.
Fitrex.eu REGULATION AND SAFETY OF FUNDS
Fitrex is a trading name of Irkasio Systems OU, a company based in St. Vincent and the Grenadines. It’s allegedly the principal of an Estonian company bearing precisely the same name. We researched their local financial authority register but found nothing about this entity, so Fitrex is merely a risky offshore broker, which traders should avoid. SVG is notoriously known for the lack of competent regulation. The local financial authority doesn’t even care to control or license the brokers registered on the island, which is a big problem for the traders. The absence of regulation makes the offshore entities risky for traders because no customer protection is guaranteed whatsoever. Worse though, the lack of rules and supervision attracts loads of dodgy companies creating scam schemes aiming to steal money from people. Your funds are not safe if you deposit with Fitrex because it’s an unlicensed and unregulated broker, which is a trading name of a company operating other fishy brokers, as well.
We know Irkasio Systems OU for two other trading names- Audemart and BancFX, and you can see the latter’s review by following the link provided. The Swiss financial authority FINMA blacklisted Audemart for they pretended to be Switzerland headquartered company. The warning issued confirms Irkasio runs fraudulent brokers, so avoid Fitrex because it might as well be a scam.
Look at the best EU brokers and British brokers instead. Europe is a safe trading environment where financial authorities strictly control the financial markets. There are various rules imposed on the Forex brokers, but most importantly, the European deposit insurance funds protect clients’ money. If you trade with CySEC broker, you can claim up to 20 000 EUR in compensation, while in Britain the guarantees are of even up to 85 000 GBP per client. Each EU member is bound by the law to operate similar insurance funds, seen as the last resort for traders if a broker goes bankrupt and fail to meet its financial obligations.
Fitrex.eu TRADING SOFTWARE
Fitrex provides with a web-based platform only, which is everything else but trustworthy. It’s lagging in functionality and features, and it’s generally difficult to use if you are a fan of the drawing tools. Worse though, web-based platforms offshore brokers create by themselves are considered prone to fraud and price manipulation, facilitating the scam schemes. The unreliable trading software is a solid reason to stay away from this broker.
You’d better see our selection of MetaTrader4 brokers and MetaTrader5 brokers. We recommend these companies because MT is the most popular Forex trading software for retail traders globally. It’s stable and reliable, including sophisticated trading tools such as Expert Advisors (EA), Algorithmic trading, Complex indicators and even a marketplace where the traders can buy or use for free a variety of third-party-developed solutions.
The EUR/USD spread is favourable one- 0.6 pips, and that’s the only positive feature we encountered. But the competitive Buy/Sell difference is not enough, so we still recommend to stay away. The spread is the cost of trading, so lower rates benefit traders and improve profit potential. Most of the European regulated brokers offer spreads of 1 pip and below, so it’s easy to find a better opportunity.
The leverage Fitrex provides by default is 1:10, which is generally considered a safe level. Unfortunately, it’s impossible to change, which is a downside whatsoever. The leverage is a financial tool allowing the traders to increase the size of the positions they open, but at the same time, it boosts the risks. Precisely the hazards involved prompted the financial authorities to launch a product intervention on the market. EU, UK and Australia (still to come in effect) forced a leverage cap of 1:30 as a customer protection measure, while Canadian brokers and US brokers are not allowed to offer more than 1:50. Companies offering higher levels are not recommended due to the lack of satisfactory regulation, the tremendous risks aside.
Fitrex.eu DEPOSIT/WITHDRAW METHODS AND FEES
The minimum initial deposit with Fitrex is $250, two times more than the regulated brokers asks from clients on average- $100. The single funding method available is Credit/Debit card.
There are no minimum withdrawal requirements Fitrex impose. Also, there are no withdrawal fees specified in size and scope, but Fitrex reserves the right to charge the accounts whenever payments incur. We find this unacceptable for they enable themselves to invent fees on the run. The withdrawal request processing time also remains unknown.
After 12 months of inactivity, the account becomes dormant and will be charged with $20 annually, which is relatively a fair clause compared to other offshore brokers.
Fitrex doesn’t offer bonuses but reserves the right to launch such campaigns in the future. However, they fail to specify anything about it whatsoever. Traders should be careful because the so-called bonuses are not free money but a leverage tool further increasing the risk, which might literally zero down traders’ account very shortly indeed.
Overall, Fitrex is an obscure offshore broker, so stay safe and avoid this broker.
HOW DOES THE SCAM WORK
One can see hundreds and thousands of promising ads on the Internet and social media. Unfortunately, many of these are fraudulent schemes to rip the people off their hard-earned money.
If you click and provide scammers with your e-mail and contact number they’d ring you immediately and would promise you anything to lure you and make you deposit money as quickly as possible. Most of the scammers are experienced manipulators, and before you know it, they would ask for your bank card numbers to make the deposit instead of you and save you the hassle. The urgency is a scam signal! The scammers are always in a hurry to persuade you to start investing with them.
But the first deposit is only the beginning. Gradually the scammers would ask for more money no matter the results. If you lost on the market, they’d persuade you to put more money and recover the losses. If you traded well, they’d convince you to put more money and increase the profits. The troubles start when you ask for a withdrawal. The scammers would do anything to discourage you and would even ask you to pay them if you want to withdraw.
WHAT TO DO WHEN SCAMMED
Unfortunately, no one is immune to scam. What you need to do first, in case you got scammed, is to protect yourself from further risks. Contact your bank and explain to them your situation, they will give you necessary instructions to follow and will help you, if possible, recover your money.
Report what happened to you, file a complaint, contact the financial regulator, contact other government institutions related to trading and investing, call the police if you feel necessary. Seek help actively!
It’s crucial not to rush blindly trying to recover your funds because many scam recovery agencies and individuals are stalking, aiming to double scam the victims. They ask for an advanced payment, but do nothing to help you recover your losses and simply pocket the money you’ve sent!
Share online your experience; it’s important to protect others, as well. Be responsible!