Beware! InvestMfi 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.
Here we are with yet another broker that selfishly pursues its own goals, even if it never says this openly. InvestMfi cannot be anything but a shady firm at best, because everything we have seen about it points to that. For example, the logo and some images are blurry as if they have not been properly formatted, the structure of the site is similar to hundreds of unregulated brokers that we have previously reviewed, and there are bits of broken elements all adding up to one untrustworthy experience. Please do not be fast to deposit. We urge users to read the review beforehand!
We have to add that InvestMfi is quite the broken site. Each section takes an eternity to load, and some of these lead to error pages.
To register we had to complete a relatively simple process, after which we were quickly redirected to a user trading area. We were not impressed by the structure of it all, nor was there anything of interest there. A below-average trading area if there ever was one. The next step would have been to open a trading software, but in InvestMfi’s case, we could not. Whenever we tried to access either the alleged web-based software or the desktop trading terminal we were left to an error page. We cannot be certain if InvestMfi offers trading software at all!
Let us not dwell on this yet. For now, readers must only know that all the trading conditions will be taken from the website. The trading assets are supposed to be forex pairs, metals, energies, stocks, indices, and commodities. The leverage value is capped at 1:500, a most common offshore broker leverage, while the average spread for the standard account is said to be 1 pip. However, we do not trust the spread info.
The website is available in English, Italian, and German.
INVESTMFI REGULATION AND SAFETY OF FUNDS
The footer shows an address that we had to look up on the internet to make sure where it actually is. As it turns out, InvestMfi is located in New Zealand. Just a reminder, a simple assertion of operating from New Zealand does not translate as a fact. InvestMfi could be lying. Or it not. Whatever it is, rest assured that a registration is not a regulation!
New Zealand’s Financial Markets Authority (FMA) is the watchdog in charge of overseeing the local FX industry. The registry of the agency holds no info on one InvestMfi, and what’s more, is that the broker never once stated to be regulated there!
Scattered throughout the T/Cs is the following allegation: the broker is licensed to provide FX trading in any jurisdiction that allows it to do so. This is a shortcut used by illegal firms.
In any case, InvestMfi is the exemplary ILLEGITIMATE broker. Nothing to counter this allegation exists. All your deposited funds are at risk with it!
Be certain that investments in unregulated brokers are almost always lost, never to be seen by the user. Always check for a license before continuing to the next step. Ideally, the FCA or CySEC regulated brokers are the most trustworthy. Under these agencies, brokers are scrutinized every month and are required to follow some of the most rigorous rules in the industry. These include, but are not limited to, segregated bank accounts for all users. Both the FCA and CySEC offer to all their brokers, who in turn cover their clientele, compensation funds: CySEC guarantees up to €20 000 per person, while the FCA guarantees up to £85 000.
INVESTMFI TRADING SOFTWARE
Since we had no way to access a trading software, we cannot start a discussion on it here. However, what we can do is explain.
Every attempt at opening a trader’s office led to an error page. While the website promotes a certain trading terminal, there is no way to verify its functionality.
This should not be an issue, because InvestMfi is illegal and thus not worth the risk!
INVESTMFI DEPOSIT/WITHDRAW METHODS AND FEES
The only way to fund an account is through EPayGlobal. The minimum deposit is $1. This we got from the payment gateway in the user dashboard.
Withdrawals, as per the appropriate section, are done only via wire transfer. The processing time is up to 5 days, and in typically scammer broker style all withdrawal fees have not been given a numerical value. However, the biggest goof by InvestMfi in the Bon-Deposited Funds clauses, stating that all profit gained from trading is essentially unavailable for withdrawing.
There is really nothing here for users. This broker is a scam!
How does the scam work?
The most popular scam that we will cover today is used by 95% of all illegal brokerages, and other fraudsters. It revolves around soliciting users into depositing, with some room for improvisation. Most users who fall for these sooner or later realize it.
Such scams work the following way: Users find certain ads online intriguing and click on them. The theme of these ads revolves around the perfect care-free life, living of investments and trades. Very alluring stuff indeed. Those that succumb to the temptation of this illusory lifestyle are redirected to a website, either the broker’s or an intermediary one (called robo-site), where they will be asked to give away their basic contact details. Through these, the scammers will start calling or sending emails to any potential investors. Conversations between users and fraudsters are usually dominated by the scammer whose only job is to initiate the first deposit.
Depositing for the first time will bring around the expert scammer, or the so-called account managers, whose sole purpose is to drain you out of all your money. They will relentlessly call, demand, and notify you of opportunities until users deposit further or realize they are being scammed.
Withdrawing from this position is almost impossible. The broker will throw at you everything it has got, its only purpose being to deny your request. Some of the most popular approaches are stalling, denying a request, closing an account, blocking an account, or shutting down the entire website.
What to do if scammed?
A chargeback is the first step towards recovery. Filing for a chargeback is easiest with your credit or debit card provider. What’s more, is that MasterCard and VISA have extended their chargeback period to 540 days.
Investments lost to the scam initially made through a bank transfer should stimulate users to change their bank password and account users’ names ASAP. The next step is to contact their bank and ask them for further instructions.
Avoid crypto deposits at all costs! These are most of the time untraceable and there is no way to get your money back.
On a final note, do not trust any of the recovery agents. In exchange for a fee, these agents will promise to refund all your lost investments. However, once you pay them they will disappear, which leaves the user an even bigger loss.