Beware! LCGMarket 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.
LCGMarket is running a scam – as you will see in a bit, the broker has been exposed by the British authorities as fraudulent. And we certainly concur – even the registration process with LCGMarket is quite shady and can only be completed with a “Sponsor ID” – this means the broker reaches out to its victims via cold calls or ads, promising lucrative investment opportunities.
Of course, we do not have that kind of ID – so as you can see from the screenshot above, we could not open an account with LCGMarket. Still, we have more than enough information to deem the broker not worth your time or money. So let’s take a closer look at LCGMarket:
LCGMarket regulation and safety of funds
LCGMarket is not only unregulated – it is also a clone of another firm, LCG. Make no mistake – the latter is a fully licensed and dully supervised UK broker. But the one we are taking a look at in the review, LCGMarket is nothing but a clone firm, set up to mimic the real thing. Here is a warning from the FCA – the regulatory body in the UK, regarding LCGMarket:
It pretty much states what we did and once again confirms that LCGMarket is not authorized to provide the kind of service it seeks to. Regulation is really important in the world of Forex – and since LCGMarket is not regulated, its traders cannot make use of the protections put in place by the FCA – things like guarantee funds that restore up to 85 000 pounds in losses in the case of a broker defaulting for example. So, if you wish to trade at a profit, your best bet would be doing so with a licensed broker – here are several if you are interested.
LCGMarket trading software
LCGMarket does not mention what kind of trading software it provides – there is not a single word about it on its website. If you needed more reasons why the company is a scam, they are here – no legitimate broker would simply gloss over something as important. Whatever platform LCGMarket offers, it would have to be compared to industry standard Metatrader 5 – the latter has earned that distinction with its comprehensive interface and powerful automated trading features.
Of course, without access to the platform, we could not discern what the trading conditions with LCGMarket actually are either – if the broker has favorable spreads and leverage. Since it is a scam, we are willing to assume it does not.
LCGMarket deposit and withdrawal methods and fees
Once again, the broker is quite suspiciously silent on this very important topic – how much the minimum deposit is, what payment method can be used to leave it and if there are any fees are crucial detail – that is because some payment methods – for example credit cards, allow for refunds. Others, like Bitcoin, are final.
LCGMarket does not provide any information on its withdrawal conditions – but considering the scam warning against it, we do not expect them to be favorable to the trader at all – indeed, it is far more likely that withdrawals from LCGMarket will prove to be practically impossible.
How does the scam work?
LCGMarket is running a scam – that much should be obvious by now. What’s more, the broker is running it using a tried and true model, which starts when the victim of the scam follows some kind of ad to a website much like LCGMarket’s own or a very similar one – once they get there, the victim is promised incredible returns on their deposits – and should they fall for it and leave their personal information with the scammers – say, a phone number, they will be harassed constantly with calls demanding deposits from them. Should the victim fall for it and deposit more and more money will be requested. And when they realize they are being scammed, the criminals will drop them and disappear.
What to do when scammed?
The scam outlined above is very malicious, but you can take some steps to stop further losses from it – for example, you need to change all forms of ID and credit cards the scammers had access to and remove any software they had you install – for example, they often use Team Viewer to snoop around your PC without permission. This will restore your compromised privacy.
Then, you should contact your bank and explain what happened – they can help you file a chargeback when applicable. But, even if you cannot file one, do not fall for further scams! If contacted by a recovery agency which demands upfront payment, do not give them a cent, as they are simply another part of the scam.
Finally, speak up about your experiences – anyone can be the victim of an online scam, and it is important to spread awareness of it – so do not hesitate to leave a comment or share this review!
