Beware! Networkfsi 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.
Networkfsi feels like your common online investment scam, but this is subjective for us. Some of our readers may not feel the same way, but they are not in cotnact with scammers every day of the business week, are they? So we know our stuff; when an online broker feels like a scam it probably it one. And as it turns out, Networkfsi is very illegitimate and risky. Whatever you deposit here will be lost, making this review a necessary read.
We were able to register very easily and within seconds, meaning that Networkfsi is eager to take the money of whoever passes it by. The user area itself was not at all appealing, leaning on simplicity and lackluster design choices.
At least we entered a web trader. There, we found out that the available assets available to trade with were forex currency pairs, indexes, commodities, stocks, and cryptocurrencies. The EUR/USD spread was 0.1 pips. Note that we opened the basic account so this couldn’t have been the actual spread, but seeing that there were no commissions mentioned anywhere, we are left to believe that the const of trade has been manipulated to seem better than it actually is.
The leverage as per the site is capped at 1:200.
The websites of unlicensed brokers usually contain very contradictory trading information when compared to the user area. Sometimes it’s so bad, that the two section for the same broker have nothing in common! Keep this in mind when thinking about this and other shady brokers.
NETWORKFSI REGULATION AND SAFETY OF FUNDS
Aside from some very generalized statements pertaining to local laws and unrevealed applicable jurisidcitons, we have a couple of other signs all pointing to Networkfsi being unlicensed.
At some point in the legal documents we are told that the firm abides by the laws of Estonia. But this is not possible since the Finantsinspektsioon or Estonian Financial Supervision Authority does not mention Networkfsi in its database of licensed entities. So, the firm has lied about this.
Next, we have a UK, Canadian, and Belgium contact phones, all allegedly telling us that Networkfsi might have offices in all three nations. But it is highly unlikely, considering that these have their own regulators and will never green light the likes of this fake broker. Again, Networkfsi tries to lie its way to the user’s pockets.
Finally, we discover an official CNMV warning, Italy’s regulator, referring to Networkfsi. This is the last bullet. This broke is a complete scam!
It would be a big shame to lose all that money to scammers. By registering and investing in an unlicensed broker, you are indirectly throwing your money away for a completely futile and illicit cause. There is no reason to do so. That is why we urge our readers to rely on European, UK, US, or Australian brokers, or any licensed entity for that matter. Licensed entitles are covered by hundreds of requirements, many of them apply financial compensation schemes, and anti fraud practices. In other words, they are the exact opposite of what this broker and others like it stand for.
NETWORKFSI TRADING SOFTWARE
Here’s the lackluster web trader:
We feel like this one tries to emulate the MT4 web trader, but it does not really stand up to it in any way. There are a couple of handy features we have to admit, but there isn’t a legit reason to trade with this web trader. Not only is it not that good, but the broker using it is a scam.
We were offered to download a MT4, but we did not since we were too afraid of the malware that our protective program warned us about.
NETWORKFSI DEPOSIT/WITHDRAW METHODS AND FEES
The user area was pretty much useless. The deposit sections is nowhere to be found. Meanwhile, the withdrawal area reveals that credit cards and bank transfer are the available methods.
According to the website the minimum deposit is €5 000, which in ridiculous and unrealistic. The legal documents claim that deposits are transferred via credit cards and bank transfers, confirming that the withdrawal section was correct.
There are vague mentions of fees, of which we do not know anything about, except that they are applicable in someway. And then there is the non deposited funds clause basically stating that profit generated form trading is not available for withdrawing.
HOW DOES THE SCAM WORK
Generally, the first step to being in a scam, whether a user is aware of it or not, is to bridge the crucial gap that exists between a user and a broker. With legit entities rarely does this go beyond the limits of formality, whereas with scammers they will try to behave as close friends, and will try to sell you as much as they possibly can.
It easy to fall prey to their sweet talk, because as financial instruments grow more complex, so do scammers, and there are surprisingly advanced swindle techniques that will leave you empty handed faster than you know. So make sure to think before you act, and to ask for professional guidance if necessary.
Contact usually begins at the online ads level, and expands to the telephone line relatively fast, depending on how good the scammer is and how susceptible he or she is to manipulations.
The ultimate goal is reached once a scammer successfully causes an initial deposit to be invested. Once this happens the user has become the victim, and from then on the fraudsters will try to retain the client for as long as possible, draining him/her along the way.
On average, it takes 2 to 3 deposits for a user to realize that something very unlawful is happening. By that point however, the broker will cut all communications with the user and will deny all withdrawal requests.
WHAT TO DO IF SCAMMED
The most common action to take is to file for a chargeback, but this happens only if the user has invested with a credit or debit card. That’s why you don’t get many investment frauds taking card payment nowadays. But the good news is that, if money was invested via a card, the chargeback period for MasterCard and VISA is 540 days.
Wire transfer deposits are harder to get back, and the only thing we recommend is contacting the bank to sort things out if possible. Oh, and make sure to change you bank account user name and password ASAP!
Crypto transactions are lost for good, unfortunately. As cryptocurrencies become more numerous and the systems underlining them more complex, scammer are taking full advantage of these aspects, and the end results are very lucrative. So, never trust unregulated brokers with crypto payments.
And then, we have to mention the other type of scammer, the recovery agents. These are either third party fraudsters or extensions of existing swindles, and will provide the seemingly impossible service of tracing your lost money. All they need is a fee for their effort, a sum of money that will be lost once paid.
