Beware! Finotive Funding 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.
Finotive Funding is perhaps one of the oddest brokers we have encountered, and in fact we don’t really know if we can call it a “broker” since it distances itself from this label the more time we spent with it. Just read the review as we try to figure out the pieces.
In order to access an account one must first deposit an amount to “unlock” it. We don’t remember seeing this approach before, at least not in such a brash way. We might have reviewed brokers in which certain user area sub section were blocked behind a required investment, but not the entire client dashboard.
We had no way to open an account, and thus had to rely on the website to figure out just what Finotive Funding is.
We will reveal what we read on the site. Finotive Funding speaks at times in FX terms, but then shifts the tone as if referring to some advanced packages schemes. In terms of FX, the broker claims a leverage of up to 1:400 and a 0.2 pips average spread, while the assets advertised are forex currency pairs, cash indices, indices futures, cash commodities, commodities futures, equities, and cryptocurrencies.
However, it seems that the packages schemes are at focus here, as we will see in the “software” section of the review.
FINOTIVE FUNDING REGULATION AND SAFETY OF FUNDS
The firm claims to be registered in Hungary, without telling us, or even hinting, at a license gained from this jurisdiction’s regulator. In Hungary, the National bank is in charge of licensing the FX participants, and there is no reason to hope that Finotive Funding is regulated by it. In fact, the firm never says that it is regulated in Hungary, but it only mentions in passing to be located there. In this new light, the Hungary address is most certainly false.
Finotive Funding is completely unregulated, and a risk to all capital, not to mention a probable scam, even though it may not seem like it. Do not invest here, nevertheless.
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.
FINOTIVE FUNDING TRADING SOFTWARE
There is a promoted MT5, but there are no links, either to a downloadable platform or to a web trader.
In fact, it sees that Finotive Funding relies on a very strange package system:
These so called “Challenges” are based on FX trading, and seem to encourage reaching a certain goal, after which the process ends, and we assume that the user has to start all over again. Whether the deposited funds remain or the user has to invest all over again has not bee disclosed.
As far as our research went, we find no way to avoid these challenges, and thus it seems that these are the breada and butter of this company.
In terms of how these are applied, we haven’t a clue.
FINOTIVE FUNDING DEPOSIT/WITHDRAW METHODS AND FEES
According to the site, there are a range of account one-time fees applied when “purchasing” an account. These are as follows (look at the price column)
According to these charts the minimum deposit is $2500, which is ridiculous and not really worth it, especially considering the legal situation here.
The broker goes into further details about these accounts but honestly it all seems way too complicated and not really useful, and a risk more than anything else.
There are no specific withdrawal details, aside form a ton of prerequisites that have to do with the challenge account terms.
Finotive Funding is one of the weirdest and ones we have reviewed thus far, and there is nothing positive behind this sentiment. We do not recommend investing here, not only because Finotive Funding is unlicensed, but also because of the so-called services it offers, which to us seem like elaborate frauds.
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.
