Beware! IBF Markets 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.
At first we really thought that IBF Markets was a legit broker even if it is incorporated in Saint Vincent and the Grenadines. We have witnessed in the past brokers with such a registration that really had potential and were trying to break through, even though we stumble on these so rarely that we don’t remember the last time. Sadly, IBF Markets slowly disappointed us, and what was first thought of as a glimpse of hope fell to painful familiarity as we discovered that IBF Markets is a simple offshore broker with a good presentation.
Without having too much luck with the live account opening procedure, we moved on to creating a demo one, from which to take all the trading information. However, once we finalized the demo account creation process, we were led to a sub-page congratulating us on the creation of the demo account without granting us access to it. We did not receive a confirmation email, and therefore, were unable to access the user area in demo account form. In other words, our registration attempts completely failed, and broker is all to blame!
Perhaps because it is a shady and offshore company that IBF Markets grants access to its user area only to handpicked users that it has solicited. It wouldn’t be the first time a suspicious broker acts in such a way.
According to the website, the user can trade with forex currency pairs, commodities, and indices. The average EUR/USD spread is 1.2 pips. While opening the demo account, we were given the option to chose a maximum leverage value of 1:500. Unfortunately, we cannot confirm that any of these is actually close to the source. The company is obviously up to no good, and as part of its scheme, the manipulation of trading information is probably somewhere on its priority list.
The website is available in English.
IBF MARKETS REGULATION AND SAFETY OF FUNDS
Two things that the website points out that seem to be of importance to the firm: The brokerage is registered in both Saint Vincent and the Grenadines, and in the UK.
Let’s get obvious out of the way. The UK registration is most probably misleading news because the nation’s FCA does not license the broker. There is no way for IBF Markets to offer trading services in the UK without a license from the FCA. So if IBF Markets is registered in the country and offering services, it is doing so completely outside the confines of the law.
The Saint Vincent and the Grenadines incorporation is possible, although it matters little. The country does not have an FX regulator, and thus all registered brokers are without a local license. Even if IBF Markets is fully incorporated in the small Caribbean nation it certainly is not licensed there.
As a matter of fact, IBF Markets is not licensed anywhere. it is a risk to all investors.
Perhaps the most crucial move a user can make in the process of deciding what broker best suits her needs is to ascertain that the broker is regulated, properly, by a legitmate license issuer (there is a rise in fake regulators). Make sure your broker of choice is a UK, EU, US, or Aussie-licensed entity; there are other perfectly fine jurisdictions where a firm can be authorized, it’s just that these ones are the most developed in terms of providing the best possible trader security. Moreover, some specific regulators also allow for their regulated brokers to participate in compensation schemes which add a very sturdy extra layer of defense. The FCA guarantees up to £85 000, while CySEC guarantees up to €20 000 per person.
IBF MARKETS TRADING SOFTWARE
The firm advertises an MT4 web trader trading software but fails spectacularly in delivering it. However, there is a fully functioning MT4 desktop software available to users of IBF Markets. However, this is not enough to make us recommend the broker; it is unlicensed after all!
IBF MARKETS DEPOSIT/WITHDRAW METHODS AND FEES
All the payment details are taken from the website. Be aware that nothing of what we are about to talk about is 100% accurate.
The minimum deposit is $250, and the alleged payment methods are credit cards, debit cards, wire transfer, Skrill, and BTC wallet.
There are mentions of fees and commissions throughout the legal docs but there are no values. Therefore, users can expect to get feed at any time.
There are no withdrawal details anywhere to be read.
It’s easy to see why IBF Markets is not worth the risk. Do not invest here!
How Does The Scam Work
We can easily reverse-engineer the scammer process by looking at the whole thing as a series of contained events.
The first of these is falling for one of the thousands of online ads that lead to any number of fraudulent investment websites. The most obvious aspect of such ads is their ability to attract the eye gaze of users since they include glamorous content that we have all dreamed of owning.
Giving in to one of these ads will lead the user to one of two sources: either a so-called intermediary website or the scammer brokerage itself. The former works to introduce the latter, so the principle remains generally the same. The second step ensues once the user provides the crucial contact details that will be used by the firm to solicit funds. Because they are crucial to the scheming process, the broker will put a lot of input into this effort.
The third event is establishing grounds for communication, and a pivotal point for recruiting the user as a depositor. The first deposit is the hardest to sell, and that is why most scammer brokerages have dedicated internal departments whose only job is to entail a preliminary investment.
The fourth even is up to the retainers, or the expert scammers – account managers-, whose job is to keep the user invested as long as possible and to drain as much money out of her. Here is where many, unbeknownst to the user, psychological tricks are used by the scamming experts to really deplte funds from accounts.
The final step is containing the damages, or to put it in the lingo of the perps- to keep the stolen mon ey with minimal collateral damage. Here is where the scammers get cheap. Many will simply ignore the requests of withdrawals- or simply stall them-, or can shut down accounts and even entire websites for the purpose of keeping what they have stolen.
What To Do When Scammed
Fiel for a chargeback! It’s the surest way to get your money back, although not many scammer brokers allow for credit/debit card deposits. They are aware that users can file for a chargeback, and therefore condemn it by either not including cards payment gateways or by penalizing the client when she files for one. Note that, VISA and MasterCard have extended their cash-back period to 540 days.
A popular payment method is bank transfer, and here is where things get tricky. Users should contact the bank to help them out if they get scammed, but there is no real guarantee that the banking institution will be able to help them out. Moreover, change your bank account user name and password ASAP should you get defrauded.
Crypto payments are untraceable and are therefore non-refundable. For these reasons, crypto wallets are the favorite means for investing for scammers.
The last point to make concerns recovery agents whose promises will tempt many a victim. Agents or agencies promising some magical way to recover your stolen funds are separate fraudulent entities.