CityFXCapital review – 5 things you should know about cityfxcapital.com

CityFXCapital review – 5 things you should know about cityfxcapital.com

Rating: 1

Beware! CityFXCapital is an offshore broker! Your investment may be at risk.

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CityFXCapital seems to be a simple broker, one that relies heavily on its claims, rather than its delivery on these promises. Overall, the company is what we feared it to be: a shady brokerage that looks to its own need instead of those by its users. Read the review for more details.

To register an account, we had to complete a very easy process, that led us in no time to a user area. And then we actually experienced the client dashboard for ourselves, and we completely disappointed. Not only was it underwhelming at best, but it also lacked any sort of visual aesthetic. From that moment on, we knew we were dealing with an unregulated broker.

The actual turning point was when we discovered that instead of a trading platform CityFXCapital instead offers a couple of investment plans, that we have detailed in the relevant section of the review. In reality, there is no trading platform, and without it, there are no applicable financial assets, no spreads nor leverages!

The website of the company is available in English only.

CITYFXCAPITAL REGULATION AND SAFETY OF FUNDS

We learn from the footer that the broker is owned by the holding firm Turtle Capital LTD, a Marshal Islands-registered entity. That’s completely fine with us, however the only issue here is that the country does not have an FX markets license issuer. Therefore, if CityFXCapital really is located there, it is operating without a license, meaning illegally.

The footer of the website also discloses a classic scammer broker clause, stating that the website is not directed at any users in a jurisdiction where its distribution or use would be contrary to local law. This is an easy way of saying that ” we are not regulated, but you should be to access our services” which is a common shady broker saying.

On top of all this, there are no legal documents to be found anywhere! These are crucial to the formation and conservation of a legal relationship between broker and user. Without this collection of clauses, CityFXCapital has the power to do as it pleases, because nothing stands in its way!

From what we have gathered, it’s obvious that CityFXCapital is UNREGULATED, and a risk to all investments!

We always say that investing in unregulated brokers is a sure way to lose money. The first and foremost thing to do when picking a broker to invest in is to look for a license. Preferably look for FCA or CySEC regulated brokers, or other European watchdogs, or US ones. All legit regulators have long lists of rules and prerequisites that all brokers must abide by. Not doing so, will lead to penalties or foreclosure! Furthermore, many regulators have in-store financial compensation schemes for all users under licensed brokerages. For example, CySEC guarantees up to €20 000 per person, while the FCA guarantees up to £85 000.

CITYFXCAPITAL TRADING SOFTWARE

Instead of giving its users a good old trading software, CityFXCapital has introduced 5 separate investment packages that get more ridiculous with each subsequent one.

Users are expected to invest a given amount in return for an hourly, daily, or monthly profit on top of the deposit. The question here is- where does all the profit come from?

The system works like this. Take the Silver plan. In return for a minimum investment of $5000, users get a daily “compound” (bad choice of a word?), which we presume means profit.

Everything is, of course, a lie and a scam.

CITYFXCAPITAL DEPOSIT/WITHDRAW METHODS AND FEES

The only depositing method is by sending payments through JP Morgan Chase Bank, with a fixed deposit fee of $25 + 1%. There is no minimum deposit requirement, however, the lowest investment package requires at least $500.So we consider this to be the minimum deposit.

The withdrawal area of the user portal reveals that taking out money happens by means of mobile banking, bitcoin wallet, and PerfectMoney. The minimum withdrawal amount is $100 for mobile banking, $5000 for BTC, and $32 000 for PerfectMoney withdrawal! Mobile banking is charged with a commission of 2.5%, the BTC method charges 5%, while PerfectMoney charges $200 + 3%. The processing time is within a day.

We strongly believe that CityFXCapital is not worth your time and money. This broker is surely to scam you somehow, and that is why we are against it!

How does the scam work?

Online ads are the gateway to most investment scams. Ads that seem extravagant with quite impossible promises are most certainly the entry point into a scam. Gibing into one of these ads is the first step to being scammed.

The second step is to deposit. Once users click on the ad, they will be redirected to a scammer broker site or an intermediary website. What follows is a registration, where users will be asked to provide a phone number or a phone number.

Next, the scammer will directly contact those that have fallen for it. The first calls are made by the first level of fraudsters, the rookies. Their one and only goal is to compel users to deposit for the first time. Once a deposit is made, the user is hooked onto the scam.

The second wave of scammers, the core of the fraud, sometimes called “account managers”, will try to keep you invested in the shame for as long as possible. They might even pay some profits, just to keep you invested. The user will deposit an additional 2-3 times, which is actually the perfect scenario for these criminals. At some point, the user will realize he or she is in the middle of a scam

There are no more steps to the scam. The user has deposited as much as he or she did, and the fraudster have disappeared. The money is gone, and users cannot withdraw.

What to do if scammed?

If money was lost through a credit or debit card, the good news is that most credit card companies have an easy way of recovering money. Furthermore, MasterCard and VISA have a chargeback period of 540 days.

Wire transfer frauds, that is broker/investment scams, are harder to recuperate, but not impossible. The crucial thing to do is to change your bank account username and password! Aside from that, we advise users to contact their banks, because most banking institutions might have a plan on how to deal with money lost to investment scams!

Never invest in unregulated brokers through any sort of cryptocurrency wallet, no matter how good the returns sound! Crypto deposits are untraceable!

The last scam that users might stumble upon is in fact most of the time one that has nothing to do with the investment scam, although a potential relationship between the two is not excluded. We are talking about the so-called recovery agents or agencies. These will claim to be able to recover lost funds in return for a fee. After users pay this charge, they can kiss their money goodbye!

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