Beware! OGFinance 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.
OGFinance is allegedly a brokerage headquartered in London, UK, but there are a few significant problems we are going to discuss in the following paragraphs. They offer excellent spreads and increased leverage levels, but the broker’s services are overly costly. You’d be better off if you stay away from this business, and you can see why in the full OGFinance review.
OGFinance REGULATION AND SAFETY OF FUNDS
OGFinance is said to be a brand name of OGFinance LLC, a company purportedly located in Canary Wharf, an upscale business district in London where some of the largest companies in the world hold offices. However, we couldn’t even verify the existence of such an entity, which immediately raised suspicions. Nevertheless, we researched the British financial authority FCA for a license but couldn’t find anything. We have to note that each broker operating in the UK have to be licensed by the regulator to legally sell financial products and services. OGFinance is not, so the broker is illegal, and your funds won’t be safe if you deposit. You should avoid it.
That said, we can offer the high-rated EU brokers and British brokers, which are regulated, trustworthy and most importantly, covered by deposit insurance funds. For example, if you trade with a CySEC broker, you can claim up to 20 000 EUR in compensation, while the British protections are of even up to 85 000 GBP per person. Make sure to stay away from unregulated companies, and it’s worth considering money protection when choosing a broker to trade with.
OGFinance TRADING SOFTWARE
In this section, we’ll analyse the OGFinance’s trading software and will especially pay attention to spreads and leverage. Spreads form part of the trading costs because it’s the price traders have to pay to open positions, while leverage significantly improves profit potential. However, leverage also carries high risks, so many authorities impose regulations to restrict its usage and reduce trader’s losses. By way of illustration, EU, British and Australian brokers have to limit clients to 1:30 for FX majors, while the Canadian brokers and the US brokers can’t provide more than 1:50. Most high-leverage FX companies are unregulated and very likely a scam, so you need to be cautious.
OGFinance offers two platforms- MetaTrader4 and a web-based one. We accessed both, and just as expected, the MT4 turned out to be a much better choice. On both platforms, the EUR/USD spread is excellent- 0.1 pips, but do not get excited too soon because OGFinance is unregulated and a suspected scam. In fact, the competitive spreads are actually a downside in this case because many people can get enticed to invest in this potentially fraudulent scheme. Beware!
The default leverage level is 1:200, and traders can’t change it by themselves, which is a significant disadvantage. This level is overly risky but also no longer allowed in Britain, which confirms that OGFinance is illegal and has nothing to do with regulations.
You’d better avoid the broker and consider the MetaTrader4 brokers and MetaTrader5 brokers topping both lists. The MT platforms are indeed the best globally and feature advanced tools such as Expert Advisors, complex indicators, and first-class charting tools. MetaTrader also comes with a Marketplace where traders and investors can find more than 10 000 apps and third-party developed solutions.
OGFinance DEPOSIT/WITHDRAW METHODS AND FEES
The minimum deposit with OGFinance is $250, which is an affordable amount, but bear in mind that many reputable brokers offer Micro accounts starting from 5 to 10 dollars, so it’s not worth wasting your time with shady businesses. The funding methods are supposedly Credit/Debit cards, Wire Transfers and OK Pay, but we can’t validate this due to ID verification issues. Well, OGFinance is too shady, and we refused to expose ourselves to identity theft risks by uploading documents to the website.
Speaking of funding, check some Skrill brokers, Neteller brokers, FasaPay brokers, Sofort brokers, and Bitcoin brokers if you have trusted payment systems. The companies topping the lists are adequately regulated, and you won’t face scammers if you choose among the high-rated ones.
The withdrawal policy is fierce. The minimum withdrawal is $250 for Wire Transfers, and $100 for other methods and each transaction will be subject to unfair fees. Wires cost $50 each, while the rest will be charged $25 plus a processing fee of $10. But that’s not the end of the story. To evade an additional 10% fee, traders need to execute more than 200 in turnover, whatever this should mean. In comparison, most brokers have no withdrawal requirements and do not charge traders to process the requests. The OGFinance’s services are too costly, which is a good reason alone to give the broker a miss.
The inactivity policy is equally unfair. After 6 months of inactivity, the account will be put dormant and will be subject to a 10% deduction per month. That’s a scam clause! On the other end, most regulated brokers charge 5 to 10 dollars per month, at most.
OGFinance offers trading incentives but doesn’t share much about the bonus campaigns. However, the broker didn’t miss introducing the minimum trading volume requirements. According to the clause, traders need to execute 25 times the bonus plus deposit amount in turnover to become eligible for withdrawal. So, the bonuses actually lock the accounts and make it impossible for clients to take any money out. Beware!
Overall, OGFinance is illegal, unregulated, and a suspected scam, so you’d better stay safe and steer clear of it.
HOW DOES THE SCAM WORK
Today, the Internet is plagued by scammers and their deceitful deals. It all starts when you click on an appealing fraudulent offer and provide your e-mail and contact numbers. Scammers, as seasoned manipulators, would ring you at once, insisting that you should start investing as soon as possible. During the phone call, you’d be presented with bonuses, promotions, risk-free offers, Bitcoin opportunities, and anything else you could possibly imagine. Scammers would claim to work with reputable firms, banks, governments, and so on, trying to make their business appear legit. Those thieves lie big time and would promise you anything to gain your confidence and get a deposit from you.
However, the first deposit is just the beginning. Day by day, scammers would carry on asking for funds. If you lost, they’d persuade you to put more money and recover the losses. If you are profitable, you’d be asked to put more money and increase the gains. The headaches start as soon as you ask to take your money back. The scammers would do whatever it takes to discourage you and would even urge you to deposit again if you want to withdraw. The scammers’ mantra is “give me your money”, they’d push you to transfer more money over and over again for no obvious reason. Urgency is a treacherous sign, so if someone forces you to invest ASAP, that’s a scam.
WHAT TO DO WHEN SCAMMED
Unfortunately, no one is safe from scams. If you get defrauded, the first thing you need to do is to protect yourself from further risk. Deactivate your card immediately, contact your bank and ask for advice.
Report what happened to you, file a complaint, contact the financial regulator, contact other government institutions related to trading and investing, call the police if you feel necessary. Seek help actively!
Remember, it’s crucial not to rush blindly trying to recover your funds because fraudulent fund recovery agencies are trying to double scam the victims. They ask for upfront payment, take the money but won’t do anything to help you!
Last but not least, share online your experience; it’s important to inform the public about scams. Be responsible!