MSP Limited scam protection tips: Top-7 signs of fraud
27 / March / 22 Visitors: 88 ★★★★★
MSP Limited recommends checking the broker's company for reliability to prevent trading from turning into a scam.
Several signs will help identify a scammer in the market. For example, if a company, for unknown reasons, delays the payment of funds to a client. But this is already the moment; the client is already under the influence of scammers. To not become a victim of scammers, you need to study the signs of a scam.
Due to experts from MSP-lmtd.net scam can be identified by the following signs
Traders with impressive experience (ten years or more in Forex), MSP Limited broker specialists can determine a scam immediately after meeting the broker. Experts will tell you by what signs you can identify scammers. Let's describe the point of the possible threat by the end that can help identify a Forex scammer?
Suspicion is caused by a company that:
Less than a year on the market. Even if the company does not arouse suspicion, but you did not find reviews about it on the Internet, the site, or enough information, most likely you are facing a scammer. A new broker is not necessarily a scammer, but it is straightforward to fail in business without experience.
So how should it be? Forex is a dynamic market with pitfalls, so look for a broker who has been in the market for about three years. Also, the broker must have reliable liquidity guarantors. It’s good if all the conditions are met as MSP Limited has, and a good working life and liquidity providers among large European companies and banks.
The broker is not subject to European laws. For trading on the Internet, the place of work of the broker is not essential. What is important – is in which country the broker is registered.
So how should it be? The best broker must be registered in one of the European countries; this will help you defend your rights in conflict situations. Registration information can be found on the company's website.
The details of the broker are not listed on the site. This is the most apparent violation of consumer protection laws, and the violating company is an undesirable partner for cooperation.
So how should it be? What information should be on the broker's website: broker's contact details: broker's address, phone numbers, feedback form, technical support contacts. For example, as on MSP-lmtd.net:
No verification is needed. Finding out the identity of the identity and the client’s solvency is a requirement of the financial, legislative framework in Europe and the United States. For European brokers, there are two main areas of security that they are required to comply with: the law directed against fraudulent activities in the financial market (Anti Money Laundering) and the "Know your customer" rule. These laws require real customers to participate in financial processes and transactions.
So how should it be? The list of documents required for verification is posted on the broker's website. This is a photo or scan of a passport, a picture of your bank card, receipts for paying bills.
Promises too favorable conditions. Many companies have tariffs that offer newcomers a low threshold for entering the financial market. But it is an entirely different matter when a broker promises ultra-high profits in a short time. This is a sign of the activities of scammers.
So how should it be? On the website of conscientious companies, tariff plans are explicitly described and in detail: types of tariff plans, types of investments, cost of packages, which are included in the list of services for each of them.
Hides documents. The legislation obliges all brokers to provide all records about their services to the user. If there are no documents on the broker's activities on the company's website, this is already a violation. If the company refuses to do this even at the client’s request, this is already a reason for refusing to cooperate.
So how should it be? Documents should be on the company's website; everyone should be able to familiarize themselves with them.
No trading platform. If there is no terminal for trading, such a company should not be considered worthy of cooperation. If a company rents a trading terminal, these are additional risks and costs for the trader.
So how should it be? The platform has a simple design; even a beginner can figure it out. For example, MSP Limited has different types of the terminal for the convenience of the trader.
Signs of a dishonest company can be identified even at the stage of an acquaintance of the client with the company's website. If you cannot find complete information about the broker or the company that has existed recently, this is why you cannot cooperate with such a broker. This is already a scam if the broker does not have a terminal or is registered somewhere on the islands. MSP Limited scam protection team advises you to study the intermediary’s website so as not to regret your decision in the future.