Beware! FreServes.com 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.
Although FreServes.com is a broker that seems to be holding on its own, there are certain things that we have come to learn over our work experience. One of these is that it is fairly easy to create a website and fill it with irrelevant texts, changing certain phrases to apply to your brand. It is also very easy to attach a “Top Broker” label and make it your own. What we are trying to say is that we think FreServes.com, the broker whose review you are about to read, is concealing something that most traders will not be able to uncover, not unless they waste hours searching for the truth, or better yet, read the following review.
The broker wastes no time. After less than 5 seconds, we were already logged in, and ready to deposit. We did not invest anything, of course, but went straight in search of a trading software. The search was short-lived, as the trading floor was right there. We found out that FreServes.com offers a EUR/USD cost of trade of 6.4 pips, an unacceptable value and the first major red flag for company. Our leverage was chosen for us at 1:5, and there was no real way of changing it. The trading assets were forex currency pairs, cryptocurrencies, stocks, and indices.
The website is available in English.
FRESERVES.COM REGULATION AND SAFETY OF FUNDS
The only real source of proper licensing information is the footer. There we find out that FreServes.com is a part of Finance Reserves Ltd parent firm. In total, the main company has three subsidiaries, supposedly.
- Finance Reserves Europe Ltd regulated by CySEC
- Finance Reserves UK Ltd licensed by the FCA
- Finance Reserves Ltd in Australia regulated by ASIC.
We scrutinized every single database to see if we can place FreServes.com under the oversight of either of these three regulators. We never hoped for anything, and by the end, all our expectations were met. Not only was there no FreServes.com or Finance Reserves Ltd results, but we came across CySEC warning users of FreServes.com.
As for what the Terms and Conditions reveal, they only shift the responsibility of being regulated into the hands of the user, stating that all clients must make sure that their country of residency allows them to trade with FreServes.com.
Needless to say, FreServes.com is UNREGULATED, and is, therefore, a risk to all investments!
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.
FRESERVES.COM TRADING SOFTWARE
The trading software here is nothing new. We have seen this specific platform before, and what’s more, is that all our previous encounters with it were with illicit brokerages. So don’t let the looks of this trader’s office fool you.
The notable features of the FreServes.com web-based platform are pending orders, stop/loss and take/profit, multiple time frames, drawing tools, chart customization options, and other minor features. These are the basic platform elements, and there is hardly a trading software out there that does not have them.
FRESERVES.COM DEPOSIT/WITHDRAW METHODS AND FEES
According to the deposit section on the user is the user can fund an account through one of the following means: credit and debit card. Usually, most unregulated brokers have a crypto wallet of some sort or at least some shady e-payment method. The minimum deposit is $1, which is a way for FreServes.com to attract more users, thus more people to steal from!
The broker may take up to 3 days to process a request. After that, a user must wait for 7 days top for the money to appear in her account. The only way to withdrawal is through a credit card, and the withdrawal section does not really allow for the withdraw of funds. It asks a reason for a request and a sum, and that’s it. The request is sent over to the broker, without any confirmation that FreServes.com will pay the client back. The only withdrawal fee that FreServes.com may charge is if the user exceeds an undisclosed amount of monthly withdrawal requests.
To conclude, FreServes.com is a solid no! 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.