Beware! NU2UTRADE 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.
NU2UTRADE might seem like a decent broker at first but is in fact anything but. This fraudulent, anonymous company is completely unlicensed and has nothing to offer its clients in terms of safety and reliability. Avoid this broker at all costs – if you start trading with them, you will most certainly end up losing money.
NU2UTRADE REGULATION AND SAFETY OF FUNDS
NU2UTRADE has not provided any sort of contact information – no address, no phone number, and not even an e-mail. Needless to say, this seems extremely shady. Legitimate brokers would usually provide you with a lot of information about themselves so you could make sure that they are a safe and reliable option.
NU2UTRADE claims to be licensed by the financial regulator of Vanuatu, the VFSC, and has even provided a license on the website. However, that license seemed forged – the company and the license number NU2UTRADE presented did not show up anywhere in the regulator’s register.
This proves that this broker failed to obtain a license even from an offshore regulator. What is even more bothersome is that they dared lie about this. No legitimate broker would ever provide you with false license information – this is a reputational suicide and proves with almost complete certainty that the broker is a scam.
Choose a broker licensed by the FCA (the UK), CySEC (Cyprus), or ASIC (Australia) instead – those are usually considered to be the strictest regulatory bodies in the world, and for that reason, brokers regulated by any of them are obligated to maintain a high standard and do everything in a legal and transparent manner. There are many requirements – brokers must keep client money in segregated accounts to prove that they are not using your deposits for their own financial operations, and provide all retail clients with negative balance protection – which basically means you could never lose more money than you have in your account. They also have to maintain a certain minimum operational capital – €730 000 in the UK and the EU, and A$1 million in Australia. This ensures the broker’s financial stability – that they are well-capitalized and can survive in the volatile financial markets. Finally, both UK and EU brokers have to participate in compensation funds – so in the event of such a broker going bankrupt, their clients could receive compensation – up to £85 000 in the UK and €20 000 in the EU.
NU2UTRADE TRADING SOFTWARE
NU2UTRADE offers a quite typical web-based trading platform:
This might seem like an appropriate choice – after all such platforms are functional enough but are also quite easy to navigate. However, if you choose to start trading on such software, you will be denied the chance to get access to any sort of more advanced trading tools and features. If you want to see what the best the industry can offer is in terms of software, check out brokers that offer staples such as MetaTrader 4 and MetaTrader 5.
Both MT4 and MT5 offer exquisite features such as Expert Advisors (trading bots that track markets and trade in accordance with an algorithm), as well as possibilities for creating your own trading bots and indicators. You would be able to set customizable signals for prices going up or down or subscribe to those set by successful traders. You will also get access to multiple timeframes and pending order types, over 30 different indicators, a market for trading apps, and much more.
NU2UTRADE TRADING CONDITIONS
NU2UTRADE seems to offer quite affordable trading accounts – for as little as $150. However, since this is a proven scam, you should not be depositing any money with them. Better check out our list of brokers with low minimum deposit requirements. Some of these brokers offer accounts for $10 or even less.
The spreads we got with NU2UTRADE were around 0.9 pips on EURUSD. This is great considering the industry average – of 1.5 pips. However, the broker has not mentioned anything about additional commissions. Such commissions might actually turn trading with this broker into a pricy endeavor. Moreover, scam brokers sometimes manufacture such great results by manipulating platforms. You simply never know what the problem will be with such companies but there is usually some sort of problem.
The leverage the broker offered was 1:100 and could not be changed from the settings. This is quite risky – trading with such high rates can result in big, fast losses. That is the reason why the financial regulators of so many countries have imposed leverage restrictions. No leverage caps exist for offshore brokers – which is why it is even more vital for you to be careful not to choose leverage higher than you can handle. If you would like to get access to higher rates, check out some brokers that can legally offer such.
NU2UTRADE DEPOSIT AND WITHDRAWAL METHODS AND FEES
The only kind of deposits NU2UTRADE accepts are crypto deposits – in Bitcoin or Tether. Brokers that only accept crypto and offer no alternatives are most often scammers. While crypto is a completely legitimate payment method, scam brokers only like it for some of its properties. All crypto transactions are anonymous or irreversible. This means that if you have already deposited with this broker, you would not be able to get your money back. That is quite convenient for scammers that just want to take your money and run.
Legitimate brokers usually allow you to use multiple payment solutions to deposit – credit/debit card, wire transfer, crypto, and electronic payment solutions such as Skrill, Neteller, PayPal, and FasaPay.
HOW DOES THE SCAM WORK?
In recent years, such scams have become more frequent than you can imagine. That is why it is very important to learn how they usually work and how to tell scam brokers apart from legitimate ones.
Always make sure to check the registers of regulatory bodies to make sure that a broker is licensed and reliable. Stay away from shady-looking websites that promise enormous profits in no time with zero effort. Do your own research – never blindly trust what a certain broker is telling you.
All scams start in a fairly similar way. You see an ad on the Internet promising immense fortune in no time – the only thing you have to do is open an account with a particular forex broker. You give in to curiosity and provide the scammers with your phone number and e-mail – at this point, you might still be reluctant to deposit. But once the scammers have your contact information, you will start getting calls and messages from them. They will ask you to deposit to unlock the full potential of their platforms and turn a profit. Keep in mind that such people are well-versed in the art of sweet-talking – they can promise amazing things and make effortless profits seem possible.
After you make an initial deposit, they would not leave you alone and keep asking for more money. You might even be happy to deposit since, at this point, it might seem like you are turning a profit. Scammers tend to manipulate platforms and results to make it look like you are doing great when you are actually just pouring money into their schemes.
The moment you try to withdraw, you will find out that something is not quite right. Reasons why withdrawals are impossible will show up – additional taxes, new clauses in the broker’s Terms and Conditions, etc. At some point, you will figure out that you are being scammed – but it would already be too late. The scammers will stop answering your calls and e-mails – and they will simply disappear with all your deposits.
WHAT TO DO WHEN SCAMMED?
The first thing you should do is contact your bank and inform them about what has happened. Change your banking passwords to ensure that the scammers would have no way of stealing more money.
If you have installed remote access software – such as TeamViewer or AnyTesk – make sure to remove it. Some scam brokers will try to convince you that such software is necessary for a better trading experience – in order for them to help you with platform issues, or even with trading. Their true goal is to get access to your computer and banking systems – so they can start draining your accounts.
If you have deposited with a credit or debit card, make sure to contact your card issuer as soon as possible. Both Visa and MasterCard try to combat scams by allowing chargebacks within 540 days of the transactions. Retrieving your money might still be possible. If you have deposited in crypto, on the other hand, there would, unfortunately, be no way for you to get your money back.
Make sure to inform the authorities in your country about the broker and share your story – online and with acquaintances. This will prevent people from getting scammed in the same way.
One final important note – never trust anyone that calls themselves a “recovery agent”. Such “agents” promise to track down the scammers and retrieve your money – for a fee, of course. This is nothing more but another type of scam directed at desperate people.