Brokerz – Scam or Service?
Making money through trading can seem very effective. However, as a trader, your experience largely depends on the broker. For this reason, picking a reliable broker could be one of the most important steps to take in trading.
Due to the degrees of scams that take place in the trading markets in recent times, choosing a reliable broker comes with difficulties. In this article, you will know how to figure out if a broker is a scam. You will also learn if BrokerZ is a scam or a legitimate platform for trading.
|Product Types||CFDs, Stocks, Forex, Indices, Commodities|
|Products Offered||More than 200 products to Trade|
Brokerz: An overview
The site brokerz.com is owned and operated by the company Brokerz LTD located in Saint Vincent and the Grenadines. If you ever came across this fraudulent platform, you will discover that their trading instruments include CFDs, stocks, foreign exchange, and several commodities.
Brokerz is an unregulated site, which makes it extremely dangerous for placing trades. Since there is no regulatory body for Brokerz, you wouldn’t find a single data about its operation. Please note that it’d be best to avoid dealing with any platform that doesn’t have any regulatory body. The absence of a regulatory body proves that the platform can’t be trusted because no one will help traders in times of trouble.
As expected, they offer conventional tools for trading like the WebTrader and the MetaTrader platforms. The available spread for the accounts is fixed at 3 pips, which is high when compared to the conventional market value.
It’s no news that brokers always charge for commission. Brokerz charges a commission of $8 on each trade. Compared to other platforms, this charge is acceptable, but the additional 0.8 pips are unfavourably high for traders.
On the platform, the least deposit a trader can make is $250, which is ridiculously high for an unregulated platform. Every aspect of Brokerz gives a significant warning sign for potential traders.
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Is Brokerz a scam?
The most significant turn-off about Brokerz is the unavailability of a regulatory body. It’s a clear rule that any platform that operates independently of a regulatory body shouldn’t be taken seriously. Brokerz doesn’t have a license number, which makes them illegal for trading activities. For this reason, you may lose your money when involved with them. Please endeavour to use better trading site alternatives that are licensed and regulated.
Besides, they are quite unclear about the date they were founded. According to their site, they claim to be a platform founded in 2013. However, intensive research proves otherwise. It appears the site started operation in 2018, which should be recorded as its original date of operation.
There are several reasons why you shouldn’t get involved with this platform. According to their address, they claim to be located in Vincent and the Grenadines. However, their phone number points that they are in the United Kingdom. Contrasting details like that of Brokerz give you more reasons to stay careful of the platform.
For Brokerz, a commission of $8 doesn’t seem overly disturbing. However, you may feel the negative effect of that commission when you don’t make a profit on the trade. Many reliable platforms don’t request any sort of commission or penalty fees for irregular use of the site. Without a doubt, commissions are overly annoying, especially when the percentage is high.
Regarding the terms and conditions of the site, the setup is not standard. However, this is expected because the platform is not regulated. Please note that a change in the terms and conditions of the site is feasible because it isn’t under any specific regulatory body.
Brokerz has incomplete terms and conditions and one of the reasons why it remains incomplete is because it’s used against the traders to block their accounts and embezzle their money. As a trader, you will see that for yourself when you compare Brokerz to any reputable website.
Brokerz: Forex Scams Warning Signs
There have been several warning signs from expert forex brokers and regulators. The Austrian Financial Authority has publicly warned against using scam brokers like Brokerz. Regulators continue to warn potential traders from using the platform because they are not under any regulatory body. This state of freedom from a regulatory body makes them illegal and untrustworthy. Hence, all countries should ensure that they avoid Brokerz for forex trading.
The purpose of a regulator is to bring order to the platform and ensure there are no forms of irregularities. Since Brokerz isn’t regulated, their terms and conditions can’t be controlled. The most significant warning sign about Brokerz is its regulation status.
With a proper analysis of the site, you will discover that Brokerz also doesn’t provide any details about withdrawal. Based on the common trader complaints, it’s highly possible that new traders are not allowed to withdraw their money at some point, including the existing ones. The site only discusses the processing time for wire deposits, without enough information about the withdrawal process.
Regarding user-friendliness, the site doesn’t appear trustworthy in that aspect too. There are several links on the platform, but most of them are not functional. There have also been several complaints about the broker, including the fake news about offering MetaTrader 4.
Spotting a scam broker:
It’s not difficult to spot a scam broker. There are some crucial things to look out for in those platforms. Please always analyse these points when dealing with a fraudulent broker like Brokerz. Here are some of them:
- Guarantee of ridiculously high profits with no financial risk
- Wide bid-ask spreads on some currency pairs, making it hard to make a profit on trades.
- Money deduction from your trading or bank account without a notice
- When there are complaints, they are unreachable.
- Issues logging in to the account
- Broker offering a bonus for losing a large amount
- Suddenly inactive site.
- Unsolicited account suspension or permanent blockage.
How can Trader Defender help?
Forex scams are difficult to overlook, especially when you had all hopes of making a profit from your trade. In many cases, your loss of funds isn’t due to your carelessness in a trade, but the fraudulent broker you used. Fortunately, you can get a good level of assistance through the problem.
Trader Defence Advisory can provide all the help you need alongside their team of legal professionals. You can file a report on a broker to get in touch with their legal team or request consultation today. You can request a free consultation today or file a report on a broker to get in contact with their legal professionals.
After intensive research, Trader Defence Advisory has marked this broker as a fraudulent platform. Brokerz is a scam that lures traders to open accounts due to their unnecessary education materials and their claims for MetaTrader 4.
It’s evident that Brokerz is an irregular platform and the company misleads brokers. We looked into their Better Business Bureau and discovered that they don’t have an official account. Brokerz ticks all the boxes of a fraudulent platform. This site is 100% a scam.