MyStocks24 Review – 5 things you should know about mystocks24.io

MyStocks24 Review – 5 things you should know about mystocks24.io

Rating: 1

Beware! MyStocks24 is an offshore broker! Your investment may be at risk.

RECOMMENDED FOREX BROKERS

Forex.com

Don’t put all your eggs in one basket. Open trading accounts with at least two brokers.

 

Upon quick viewing, MyStocks24 actually looks like a quite legitimate European broker with a good-looking website that contains a lot of information, extensive Terms and Conditions, and terms that are completely in line with laws and regulations. In reality, this is just another scam broker eager to lie about regulations and entangle you in clauses with questionable profitability. This broker is not someone who will help you turn a profit – the only one who would be turning a profit if you invest with MyStocks24 is the broker themselves.

MyStocks24 REGULATION AND SAFETY OF FUNDS

MyStocks24 is supposed to be a reliable Bulgarian broker with as many as 5 million clients worldwide. The company claims to be regulated by the financial authority of Bulgaria – the Financial Supervision Commission (FSC) – which would mean that they are free to offer financial services in all EEA countries. However, the broker did not show up in the FSC registers which means that they are completely okay with lying about something as essential as regulations. Moreover, the UK regulatory body, the FCA, which is one of the most reputable in the world, has issued a warning on the broker because they are offering financial services in the UK without authorization.

A broker with a warning on its name is not to be trusted under any circumstances. Turn to a broker actually licensed in an EU member state or in the UK if you want to rely on some sort of protection.

Investing with a broker that is licensed ensures that your funds will be kept in segregated accounts – which means that the broker would not have much access to your investment and would be able to grant you faster withdrawals. Negative balance protection is ensured – which means you can never lose more money than you have in your account. All EU and UK brokers have to maintain capital of at least €730 000 to prove their financial stability – the sum can be much bigger for brokers with many clients though. Finally, compensation schemes exist throughout Europe – so if your broker becomes insolvent, you could receive compensation of different size depending on the size of your investment and your location – up to €20 000 in the EU and £85 000 in the UK.

MyStocks24 TRADING SOFTWARE

MyStocks24 promised us a “focused platform that helps you understand the financial market’s nature and make wiser decisions” – this is a description of the WebTrader they supposedly have in store for you. However, we could not access anything in the client area without getting our account verified first – and as we did not plan on providing scammers with any personal information and documentation, we did not manage to get access to their platform.

We would usually say that most regular web-based platforms could not rival the functionality of established software like MetaTrader 4 and MetaTrader 5 – both platforms usually come with both a desktop and a web version if you don’t feel like installing any software. The MT software is unrivaled in functionality and offers many great tools and features such as Expert Advisors that track the markets and trade automatically, a market full of trading add-ons, the opportunity to create your own trading bots and indicators and share them with others, and even a built-in economic calendar (on MT5). Definitely check out licensed brokers offering the software.

MyStocks24 TRADING CONDITIONS

When it comes to trading conditions, we would have to believe the broker’s website as we did not manage to access the client area or any sort of trading platform. The minimum amount for a deposit with MyStocks24 is $250 which is reasonable but there are far better brokers that could set up an account for far less.

The leverage promised was in line with European leverage restrictions for retail clients – 1:30 for forex majors, and as for spreads – we cannot confirm that 1.3 pips promised by the broker are accurate without access to an actual platform.

MyStocks24 DEPOSIT/WITHDRAWAL METHODS AND FEES

The deposit methods mentioned on the website and in the broker’s Terms and Conditions were bank transfer, credit/debit card and some unspecified e-wallets. The minimum withdrawal amount is $250. However, MyStocks24 imposes enormous withdrawal fees. This is not what we would expect from a broker who supposedly offers “no commissions, no extra fees, and accurate pricing”.

So if you are withdrawing via wire transfer, you would have to pay $50 which is a standard if a bit high international wire transfer fee. When it comes to other payment methods though, it becomes quite clear that the fees are too high – $35 total for card payments and $25 for ePayments. Considering that many brokers don’t even charge fees (other than those imposed by the payment method providers themselves), and if they do, they are far smaller, it is ridiculous to pay so much just to withdraw your money. An additional 10% fee will be charged to withdrawals from accounts that have not reached a turnover of 200. As you can see, MyStocks24 is doing everything in their power to squeeze as much money as possible from you.

The broker also promises bonuses – something no legitimate European broker is able to offer because of the bonus ban that exist in both the EU and the UK. Of course, there is also the mandatory scammer clause attached to MyStocks24’s bonus – you would not be able to withdraw the bonus before reaching a turnover of 25 the deposit plus the bonus issued. Who knows if the broker would not make up more related clauses though – some scammers do not allow you to withdraw anything from your account before you have met their insane requirements. That is why should always be careful when you hear the word “bonus”.

HOW DOES THE SCAM WORK?

The weird thing is that such scams are never very imaginative but they seem to trick a lot of people – you see an ad on the Internet for a broker’s website and decide to check their website out. Then you start thinking to yourself “Man, that actually sounds great, I should maybe register an account to find out what they have to offer.”

Once the scammers have received your contact details, they won’t leave you alone before you deposit – and with time, they will start asking for bigger and bigger sums. You will probably see that you have turned an unbelievable profit in no time so you will keep transferring money – just know that it is fairly easy for platforms to be manipulated. At some point, of course, you would want to withdraw and this is where it gets complicated. All sorts of clauses in the Terms and Conditions and additional fees will show up – the scammers will try to delay your withdrawal and milk you as much as possible. By the time you figure out something is wrong, your “broker” will be long gone – with your money.

WHAT TO DO IF SCAMMED?

Be prepared that happy endings are not very likely and the chances of you seeing your money again are not big. That is why prevention is key – you should always read Terms and Conditions carefully and make sure that your broker is legitimate by checking if they are actually licensed.

If you got scammed, there are still things you could do. Notify the authorities in your country and share your story with as many people as possible – this way, they would know to avoid such types of scams. Change all passwords that you gave the scammers access to. If you have deposited with a credit or debit card, ask your card provider for assistance – you could get a chargeback within 540 days with both Visa and MasterCard. Bank transfers are a bit harder to reverse but that is still not impossible.

Finally, don’t trust anyone trying to pass as a recovery agent and offering to retrieve your money for a small fee – this is just another type of scam, usually conducted by the same people that robbed you in the first place.

Top Forex Brokers

BrokerCountryRatingMin. DepositWebsite
US4.99/5$50 Click for a special offerWebsite
UK, Cyprus, Belize4.94/5$5 Click for a special offerWebsite
Australia, Cyprus4.93/5$100 Click for a special offerWebsite
UK, Australia4.85/5$50 Click for a special offerWebsite
Cyprus, SVG4.8/5$100 Click for a special offerWebsite
New Zealand4.65/5$1 Click for a special offerWebsite

Leave a Reply

Your email address will not be published. Required fields are marked *