The Top Tips to Help Avoid a Scam Forex Broker

Updated:

Checkmark

Invest at least $250 in D2T to gain lifetime access to our VIP Signals

Checkmark

Get early access to Dash 2 Trade’s Presale. Buy the D2T token now

Checkmark

Existing community of 70,000+ traders

Checkmark

Unlocks access to the leading crypto trading analysis, signals and trading tools

Checkmark

As featured in CryptoNews.com, FXEmpire.com, FXStreet.com and more

Checkmark

World class development team backed by Quant developers and VC investors


 

How to Avoid a Scam Forex Broker

The forex market has provided the best opportunity for most financial traders to make money. However, it can also be a precarious market given that you can end up in the territory of a scam forex broker.

 

My Trade Size
€ 0(0.0 lots)
CHF/JPY
CHF/JPY
EUR/CHF
EUR/GBP
EUR/JPY
EUR/RUB
EUR/USD
GBP/CHF
GBP/JPY
GBP/USD
USD/CHF
USD/JPY
USD/RUB
7 Providers that match your filters
Sort By
Rating
Rating
Price
7 Providers that match your filters
Deposit Methods
Trading Platforms
Regulated by
Additional Features
Min. Deposit
€0
Min. Spread
0
Max. Leverage
0:1
Currency Pairs
0+
Rating
0 or better
Mobile App
0 or better
Featured Broker
299 New users today
Rating
Total Cost€0.00
Mobile App
9/10
Min. Deposit€100
Min. Spread0.9 pips
Max. Leverage400:1
Currency Pairs50
Trading Platforms
Demo
WebTrader
MT4
MT5
AvaSocial
Ava Options
Deposit Methods
Bank TransferCredit CardNetellerSkrill
Regulated byCySEC, CBFSAI, BVIFSC, ASIC, FSCA, FSA, FFAJ, ADGM, FRSA
Total Cost
€0.00
71% of retail investor accounts lose money when trading CFDs with this provider.
What you can trade
Forex
Indices
Actions
Cryptocurrencies
Raw Materials
ETFs
Average spread
EUR/GBP
1
EUR/USD
0.9
EUR/JPY
1
EUR/CHF
1
GBP/USD
1
GBP/JPY
1
GBP/CHF
1
USD/JPY
1
USD/CHF
1
CHF/JPY
1
EUR/RUB
1
USD/RUB
1
Additional Fees
Rolling fee
Conversion
Leveraged
CySEC
30:1
CBFSAI
30:1
BVIFSC
30:1
ASIC
30:1
FSCA
400:1
FSA
400:1
FFAJ
400:1
ADGM
400:1
FRSA
400:1
71% of retail investor accounts lose money when trading CFDs with this provider.
Featured Broker
489 New users today
Rating
Total Cost€0.00
Mobile App
10/10
Min. Deposit€50
Min. Spread1 pips
Max. Leverage50:1
Currency Pairs52
Trading Platforms
Demo
WebTrader
CopyTrading
Deposit Methods
Bank TransferCredit Card
Regulated byFCA, CySEC, ASIC, CFTC, NFA, BAFIN
Total Cost
€0.00
Your capital is at risk.
What you can trade
Forex
Indices
Actions
Cryptocurrencies
Raw Materials
ETFs
Average spread
EUR/GBP
2.5
EUR/USD
1
EUR/JPY
2
EUR/CHF
5
GBP/USD
2
GBP/JPY
3
GBP/CHF
4
USD/JPY
1
USD/CHF
1.5
Additional Fees
Rolling fee
Conversion
Leveraged
FCA
30:1
CySEC
30:1
ASIC
30:1
CFTC
30:1
NFA
30:1
BAFIN
30:1
Your capital is at risk.
Rating
Total Cost€3.50
Mobile App
10/10
Min. Deposit€0
Min. Spread1 pips
Max. Leverage2:1
Currency Pairs62
Trading Platforms
Demo
WebTrader
MT4
STP/DMA
cTrader
MT5
Deposit Methods
Bank TransferCredit CardNetellerPaypalSkrill
Regulated by
Total Cost
€3.50
Your capital is at risk.
What you can trade
Forex
Indices
Cryptocurrencies
Raw Materials
Average spread
EUR/GBP
1
EUR/USD
1
EUR/JPY
1
EUR/CHF
1
GBP/USD
1
GBP/JPY
1
GBP/CHF
1
USD/JPY
1
USD/CHF
1
CHF/JPY
1
EUR/RUB
1
USD/RUB
1
Additional Fees
Rolling fee
Conversion
Leveraged
Your capital is at risk.

Patience is a virtue, and it’s all it takes to become successful in forex trading. First, learning the basics is crucial.

The forex market, unlike other stock markets, it lacks a central marketplace; hence, traders must select a forex broker to assist in trading. A broker provides a trading platform for traders for a smooth process of selling and buying forex.

Therefore, the broker selected will highly determine the success of your forex trading journey. There’re no chances for making any mistakes as any mistake is equally as good as losing some money.

To ensure that you don’t make a mistake from the beginning, here are some of the top tips to help you avoid trading with a scam forex trader.

Regulatory Compliance

The first significant thing to consider in selecting the best broker is regulatory compliance. To ensure that you’re trading with the right broker, you must make sure that the broker is registered with any statutory body.

The security of your funds should be a priority, and a broker registering with a regulatory body means that they have complied with rules and requirements.

Moreover, the regulation provides almost a guarantee of your money back in case the broker goes bankrupt or in instances whereby you experience difficulties getting your money.

Withdrawal and Deposit Requirements

The broker has to fit your profile. Brokers usually keep the trader’s funds in some segregated accounts simply to avoid the conflict of interest. Any broker who doesn’t provide such should be avoided like the plague.

Moreover, depositing money into your account should be faster and seamless. Similarly, withdrawing your funds should not be a problem. Brokers with a plethora of options for both depositing and withdrawing of funds are better.

Trading Instruments Offered

Determining the number of instruments available for trading requires some in-depth research and a cautious approach. In most cases, a broker will list several tools being available for trading, but in the real sense, only a few are available.

Therefore, ensure you log in to their platform to confirm the numbers present. A broker who says a different think on the outside and provides another on the inside is a sign of deceit. Maybe there is a lot of deceit information which you don’t want to be a victim.

The Trading Platform

A trading platform is where all the trading activity takes place. It’s in the platform is where you analyze and execute the trade orders. Therefore, it’s a no brainer that the broker’s platform has to offer features as well as specifications that are user-friendly and stable.

The best broker creates a trading platform that is easy to use to avoid any complications. Also, check whether the platform is trustworthy.

Quality of Customer Support

The forex market is active 24-hours a day. You’ll likely want to be alert most of the time. Sometimes you’ll want some clarity over some things, and hence excellent customer support is part of your success.

The support should be readily available 24 hours a day, especially during the off-peak hours. Try calling and rate their willingness and readiness to help.

Conclusion

As much as having the best skills in forex trading makes a difference, trading with the best broker is equally significant. Several brokers claim to be “the best,” and after signing up with them, you only find out that you’ve been scammed. Therefore, ensure you start your forex trading journey well with a reputable and licensed broker.