Beware! FXActive.net 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.
FXActive.net is a mess of a broker, but not in an obvious kind of way. The more time we spent with it, the more we realized just how inadequate and poor the entire experience is. Certain sections of the site did not function properly, while also there was a clear overlap of information noticeable all of the time. There is a lot more to be said of this one, so let us not delay. Read on.
There was no way for us to create an account, live or demo, because all links to an account creation tool were broken and were not functioning. We can think of two reasons why that is. The first one being that the website really is half-functioning, and there is no way fixing. The second one is more of a scammer approach. It goes like this: scammer brokers block the registration page to anyone who isn’t chosen by them. Only users picked by the broker have access to a trading area. However, at this point, all we have is to speculate.
We have no choice but to take all the trading and payment information from the website, which is not the most trustworthy source.
The average EUR/USD spread is said to be 2 pips, while the leverage is maxed out at either 1:500 or 1:400. We can’t really put our finger on it, because certain sub-section of the site claim different things. The alleged trading assets are forex currency pairs, commodities, indices, and shares.
The website comes in both English and Spanish, however it seems that the site has a mind of its own. Certain sections are automatically translated into Spanish, meaning that the creators of the website did not do a good job with coding the site. There were even some instances where certain elements of the site were in German.
FXACTIVE.NET REGULATION AND SAFETY OF FUNDS
One of the most important things to note about FXActive.net is that it has been officially warned against by the CNMV, which is Spain’s FX regulator.
Furthermore, nowhere on the website of this alleged FX company does it say that the broker is regulated by an agency. The footer mentions an address in Australia, but this is a long shot, and the local ASIC does not regulate this broker; we made sure of it.
Overall, FXActive.net is very anonymous, and it seems that it targets users without them suspecting it. In other words, the only way to find this broker is if it wants to be found.
The verdict is obvious: FXActive.net is UNREGULATED and a risk not only to your money but also to all personal details that you have provided!
To deposit in an unlicensed broker is the equivalent of throwing your money away for no reason. We always say that the first thing to do when dealing with any broker is to check for a license; this should be your priority! Usually, we would go for either an FCA or CySEC regulated brokers or other respected overseers. These regulators all employ harsh rules and impose very severe penalties on those brokerages that do not abide by the scrupulous rules. Furthermore, some agencies, like the FCA and CySEC, include reimbursement schemes to all users of brokers under their wings. These compensation funds schemes, as they are called, are put into action once broker cannot pay their clients back to bankruptcy. CySEC guarantees up to €20 000 per person, while the FCA guarantees up to £85 000.
FXACTIVE.NET TRADING SOFTWARE
We cannot speak of a trading software, because none of the sources on the website work towards bringing users closer to a trading platform. Actually, we found a download link for the MT4 for the OS X operating system, but the file name was that of a different company.
The issue is further complicated by our inability t0 create an account.
FXACTIVE.NET DEPOSIT/WITHDRAW METHODS AND FEES
As seen on the website, it appears that the broker is using the following payment methods: bank transfer, Qiwi, YandexMoney, and credit/debit cards. The Accounts section claims the minimum deposit to be $500.
According to the FAQ withdrawals can take up to 24 hours to be processed, and there are no withdrawal fees. Personally, we do not trust this info. And furthermore, there is no other withdrawal info to work with. Moreover, even the deposit details are not to be fully trusted, for the broker might be lying to its users.
Only financial loss and frustration will result in the usage of FXActive.net. Do not invest your money here!
How does the scam work?
The straightforward way into an investment scam is through the thousands of online ads that flood our browsers and social media sites. These are those familiar ads that promise impossible returns and luxurious lifestyles as a result of investing.
Succumbing to such ads will lead to either the scammer investment site, or to an intermediary source with close ties to this and other fraudulent websites.
In either case, the user will be asked to provide a phone number and probably an email address. The purpose of these is for the reps of the scam to be able to contact the client and push for initial investments. This is the first wave of the fraud, and is usually done by the rookie team.
The second wave is the pros, sometimes those behind the whole scam. These are charming and cunning individuals, whose communication skills can potentially result in the users to invest a second, or third, or even fourth time.
Basically, the scam continuous until the client realizes that she is being scammed. At that moment, when she wishes to withdraw or has questions for the scammer, it is already too late.
The culprits will easily ignore all requests or stall them. There are times when unlicensed brokers even terminate entire accounts, and on rare occasions entire websites are closed!
What to do if scammed?
The safest way to get your money back is to file for a chargeback using your credit or debit card provider. MasterCard and VISA have a chargeback period of 540 days. However, this only applies if you have deposited through a card.
Wire transfers are more difficult to reimburse, although some banks may have a specific plan for such times, so we advise users to directly contact their banks and ask them for help. What’s crucial is for users to change their bank account user names and passwords as soon as possible.
As for any funds invested through a cryptocurrency wallet, be sure that they are lost! Crypto transfers are untraceable!
And finally: never trust recovery agents or agencies. These are fraudsters who will ask for money in return for nothing. Do not trust these!