Beware! Globeinvesthub.com 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.
In the following review, we have dug into the scam that it Globeinvesthub.com – a website that might look decent to people not so well-acquainted with the world of scam brokers but that actually exhibited all the signs of a scam.
Globeinvesthub.com REGULATION AND SAFETY OF FUNDS
Globeinvesthub.com is a fully anonymous broker – they have provided no address, no license information, no phone number, and no e-mail. The only way to get in touch with this broker is to leave a message directly through the website – which means that they can only be reached when it is convenient for them. You would not be able to check if this broker is registered or regulated under any financial authority since they did not seem to consider this to be vital information. But the truth is that this is most certainly an unlicensed, dangerous scam – after all, legitimate brokers are obligated to disclose certain information about themselves and operate in a transparent manner. We cannot say the same thing about Globeinvesthub.com.
Brokers in the UK, EU, and Australia have to meet some strict requirements and follow many rules if they want to obtain the right to operate. They are expected to be able to fulfill certain capital requirements – A$1 million in Australia and €730 000 in the EU and the UK. Client money must be kept in segregated accounts – so you can be sure your broker would not be able to reinvest your money elsewhere. Negative balance protection is ensured – which means you can never lose more money than you have in your account as a retail client. Additionally, EU and UK brokers also participate in compensation schemes that cover clients up to £85 000 in the UK, and €20 000 in the EU. Bans like the one on bonuses, and the leverage restrictions shield clients even further. For all of these reasons, working with a regulated broker is a much safer choice than going to scammers that simply don’t have a lot to offer you.
Globeinvesthub.com TRADING SOFTWARE
Globeinvesthub.com offered a quite decent web-based trading platform:
Such platforms offer some basic trading tools (an acceptable charting and analysis package, Stop Loss/Take Profit, and the chance to set trading signals) and are quite easy to navigate which makes them a good choice for beginners. However, they are still not the best kind of software you could trade on – and such a platform is definitely no reason for choosing an unreliable broker over a legitimate one.
If you are curious to see what the best the trading industry can offer is, turn to a broker who offers MetaTrader 4 or MetaTrader 5 – the two best and most popular platforms in the industry. Both versions of the MT software are highly functional and offer a variety of tools such as Expert Advisors and VPSs, possibilities for creating your own custom scripts, the chance to try out your strategies in a demo account or through back-testing, access to a community where you could exchange knowledge and strategies, etc. There are some amazing brokers who offer the software so don’t waste time on scammers.
Globeinvesthub.com TRADING CONDITIONS
Globeinvesthub.com offers a reach choice of account types and access to various markets – forex, commodities, indices, and cryptocurrencies. However, to open the most basic kind of account with this broker, you would have to be willing to invest as much as €10 000 – which is an outrageous amount for a first deposit. Many legitimate brokers would be willing to open an account for much less – even for as little as $10. That is why investing a fortune in a scam is far from worth it.
The spreads we got on this broker’s platform were around 2.2 pips – about the same rates the broker promised on the website. This is actually higher than the industry average of 1.5 pips – Globeinvesthub.com will have you paying more money to trade than the regular broker. There are also some additional commissions the size of which Globeinvesthub.com did not mention. This means that you will probably end up paying huge amounts of money just to trade – a far from ideal situation.
Finally, we were forced to trade with a leverage of 1:100 – Globeinvesthub.com did not allow us to access our own leverage settings and pick leverage ourselves. This is quite problematic since it trading with such high leverage can result in huge losses – that is the reason why leverage caps exist in so many jurisdictions. Always choose leverage wisely – and maybe check out some legitimate brokers who can offer such high rates legally.
Globeinvesthub.com DEPOSIT AND WITHDRAWAL METHODS AND FEES
Globeinvesthub.com only accepts credit and debit card deposits. This is actually great news – if you have deposited with this broker, you will still have a chance to retrieve your investment. Both Visa and MasterCard try to combat scams by allowing chargebacks within 540 days of the transaction. On the occasion you have actually deposited with this fraudulent scam scheme, contact your card issuer as soon as possible to see what can be done.
Globeinvesthub.com also offers bonuses – but to withdraw those or any profits, you would have to reach a turnover of the bonus amount divided by four.
We can assure you that the scammers will keep raising that turnover threshold to prevent you from withdrawing your profits – you will find out that you have been scammed far too late.
HOW DOES THE SCAM WORK?
Scams like this one are becoming more and more prominent – they rely on people’s desire to make fast money without putting a lot of effort in. That is why it is important to know how you can tell apart a fully legitimate broker from a scammer and learn more about how such scams generally function.
All brokers promise certain things and try to advertise their services to their best capabilities – but all legitimate companies also provide statistics on how many people have lost money while trading with them. Scammers, on the other hand, promise guaranteed fast profits and a life of luxury. You will probably stumble upon the scam broker’s website randomly – or you might be pursued via phone or e-mail and asked to open an account. Maybe you have heard of people earning a living by trading – so you decide to set up such an account. The moment you provide the scammers with your phone number or email (if they have not already obtained it somehow), they will not leave you alone before you make an investment. These are professional smooth-talkers who scam people for a living – which means that they can be very convincing. Once you have made your first deposit, the scammers will ask you for bigger and bigger sums. You might even be happy to deposit more money because, at this early stage, you will be turning a profit – scam brokers are good at manipulating results to make it seem like you are doing great.
The problems will start the moment you try to withdraw those profits – the broker will start making up reasons why this is impossible. – Usually, new, shady clauses in the Terms and Conditions will appear – you might be asked to reach some unattainably high turnover threshold or pay a high withdrawal fee. At some point, you will figure out something is wrong – and that is when the broker will stop answering your calls and e-mails and just disappear.
WHAT TO DO WHEN SCAMMED?
We should warn you that the chances of you getting your money back if you have already been scammed are slim -prevention is key in the world of online brokers. Choosing a legitimate company that holds an official license and has proven its reliability is essential. There are, however, still some things you can do if you have already been scammed.
Make sure to notify your bank that you have been scammed. Change all the passwords you have provided the scammers with. If you have given them remote access to your computer, remove the software immediately. Scam brokers usually claim that you need to install such software so they could help you with software set-up – or even help you trade – but their actual objective is to get access to your banking systems and steal even more money.
If you have deposited with Visa or MasterCard, ask for a chargeback immediately – both card providers allow such chargebacks within 540 days.
Notify the responsible authorities, and share your story with as many people as possible – this way, more people will know about such scams and learn how to avoid them.
Finally, don’t trust any “recovery agents” promising to retrieve your money for a fee – this is just another type of scam targeting scam victims. Often enough, the recovery agency is run by the same people who scammed you in the first place.