24htrading.co.uk review – 5 things you should know about 24htrading

24htrading.co.uk review – 5 things you should know about 24htrading

Rating: 1

Beware! 24htrading.co.uk is an offshore broker! Your investment may be at risk.

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On its website, 24htrading presents itself as a forex and CFDs broker operating in one of the largest financial hubs in the world. However, fact-checking reveals that it is a website riddled with false and misleading information and that there are undoubtedly fraudsters behind it. You should therefore avoid 24htrading and under no circumstances trust them with your money.

24HTRADING.CO.UK REGULATION AND SAFETY OF FUNDS

24htrading website is stated to be “marketed and operated” by GonnaFlex Limited, a company based in the UK.

To operate in the UK, a broker must be licensed by the Financial Conduct Authority (FCA). However, no broker with this name can be found in the regulator’s database:

There is a firm with this name and address on the UK general company register, but its stated nature of business is “other publishing activities, information technology consultancy activities and web portals”, so can not engage in brokerage activities:

It’s important to note that GonnaFlex Limited is also behind another scam site we’ve recently reviewed, BankersMarkets. 24htrading is obviously not a licensed broker but part of a scam network.

Under no circumstances should you trust your money to such shady websites full of false and contradictory information. Instead, you can turn to one of the many companies that really work under the supervision of respected regulatory bodies like Cyprus Securities and Exchange Commission (CySEC) or Financial Conduct Authority (FCA) in the UK.

As their customer you will enjoy a number of guarantees including negative balance protection and guarantee for your funds if the broker goes bankrupt, which goes up to EUR 20,000 in EU and 85,000 GBP in the UK. Regulations in the UK and EU include some important measures designed to improve investor protection and promote market integrity and transparency, such as transaction reporting. Regulated brokers are also required to segregate their operational funds from the client’s money.

24HTRADING.CO.UK TRADING SOFTWARE

In an effort to look like a legitimate broker, 24htrading offers an actual trading platform – MetaTrader 4 (MT4), which is the most widely used in the industry. But any illusion of legitimacy quickly dissipates because the platform is actually configured for another broker – Go Partners Limited:

The address given for Go Partners Limited is the same as for GonnaFlex Limited. At the time of writing this review, the Go Partners Limited website has an expired certificate and is just a front page with almost no information. By all appearances this is an abandoned project by the same scammers.

The login details provided by 24htrading are accepted by the Go Partners MT4 platform. Here is what the software looks like:

In any case, it is much wiser to turn to one of the legitimate brokers who offer their clients MetaTrader 4 (MT4) or the more advanced  MetaTrader 5 (MT5). These platforms have established themselves as industry standard because they offer a wide range of features, including a variety of options for customization, multiple account usage, designing and implementing custom scripts for automated trading and backtesting trade strategies.

24HTRADING.CO.UK TRADING CONDITIONS

The 24htrading website describes four types of trading accounts – Standard, VIP, Platinum and Diamond. However, the account descriptions do not provide any specific information about the trading terms – minimum deposit, spread, leverage and fees.

Legitimate brokers provide clear information about their trading conditions. Many of them offer micro accounts for beginner brokers with a minimum deposit of just 100 USD or even less.

The spread that can be seen in the MT4 platform is about 3 pips. This is considerably higher than the industry average, where a spread above 2 pips is considered too high and disadvantageous for the trader.

After registering an account and logging into 24htrading’s client portal, you can choose to leverage between 1:100 and 1:500. This is further proof that 24htrading could not be a licensed broker operating in the UK. The FCA, like the EU regulators, is capping leverage for retail traders at 1:30. High leverage creates the opportunity for more significant profits, but also increases the risk of sudden losses.

24htrading offers bonuses, which is another thing that sets it apart from licensed brokers – the FCA, as well as all leading regulators, prohibit the use of bonuses and promotions to attract clients.

24HTRADING.CO.UK DEPOSIT/WITHDRAW METHODS AND FEES

On the main page of the website you can see the logos of the card companies Visa, MasterCard and Maestro. In the deposit menu, however, the choice is only between unknown and questionable payment platforms – BonyPay, B2BinPay, Blockonomics, Help2Pay and Virarosi:

The minimum deposit amount accepted by the system is USD 100. Upon selecting payment method, the customer is redirected to crypto wallet sites or directly to a bitcoin wallet QR code:

The only exception is the bank transfer, which redirects to a selection menu with Asian-based banks.

Fraudsters prefer to use cryptocurrencies because transfers with them are non-refundable. While there are legitimate brokers that accept Bitcoin, they do so alongside transparent and established platforms like PayPal, Sofort or PerfectMoney.

A trap often used by scammers can be found in the text of the 224htrading Terms and Conditions. If the client has received a bonus, he can withdraw any money from his account only after fulfilling high requirements for minimum traded volume – 1 lot for every USD 10 bonus. So for example, if you received a 100 USD  bonus, you need to trade 1 000 000 currency units to be able to withdraw any money from your account. Such clauses are designed to make the withdrawal options unattainable for victims of the scam.

HOW DOES THE SCAM WORK

With all the buzz surrounding skyrocketing prices of cryptocurrencies, many people are starting to consider investing in the financial markets as a bid to improve their fortunes. Scammers on the internet have taken notice of that and take advantage of the ignorance of the general public by creating countless websites posing as brokers. These websites offer no real brokerage services and only deceive people into believing that their money is really being invested.

If you come across such a scam website and give out your contacts, you will be contacted by experienced scammers who will convince you that they can take on all the frighteningly complex aspects of investing for you. But you will never get any real profits, nor will you be able to get back the money you deposited. The terms and conditions of these websites are riddled with clauses that make withdrawing funds from your account unfeasible – for example, extremely high minimum trading volume requirements or hefty fees of 10%, 20% or even more of the amount.

Scammers hide behind fake addresses and names and operate through offshore companies that are not subject to regulation and scrutiny. So even if all the withdrawal requirements are met, they may simply disappear and move on to their next fraudulent scheme.

WHAT TO DO WHEN SCAMMED

It is very important not to rush into trusting people on the internet who offer to magically refund your money for a fee. These are also scammers, and they may even be the same ones who scammed you in the first place.

If you have made the transfers using credit or debit card, you can claim a chargeback. Visa and MasterCard allow this to be done within 540 days. However, such a request may not be approved if you have given the fraudsters documents such as a copy of an ID and proof of address. This will allow them to claim that the transaction is legitimate and approved by both parties.

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