Return to Forex scams

Some traders avoid withdrawing profits for too long. On one hand, there is an obvious benefit of that: as account balance grows they are able to trade larger funds and invest more on each trade and thus make higher profits. On the other hand, there is a hidden danger of such tactics, which I’m going to talk about now. Oh, yes, I’ll be telling you scary stories today so that you’ll hardly sleep at night worrying about your Forex investments. Mvooohha… haha..

The scary story is called “Why overgrown Forex accounts could be on a shaky ground?”

I see this topic as a message of precaution, and will never guarantee that the situation I’m about to tell here is going to happen to you. Don’t even ask for it… :)

Those who are 100% sure they are trading with a reputable and reliable Forex broker, may stop reading here and sleep well at night. Others, welcome to reality!

Let’s take you, a cool trader with a mega Forex strategy, and mega trading skills; describing it in regular words: you know how to make profits quick and make account grow big.
You put $1000 into a Forex account and 6 months later your account confidently grows into a staggering $500 000. Wow! You claim them back by filling out a withdrawal request. Right.

But wait… You put $1000 in and want to take back 500 times more after just 6 months!? That’s insane! Do you think your broker is going to agree and pay you those money? Are you sure?
I hope they pay, but what may happen, and what has already happened to Forex traders before you – they never saw their money… What happened?

Unfair brokers in such extreme cases such as your fast made $500000, would rather MAKE YOU LOSE this money in one or another way than pay you. How? Oh, my friend, there are many ways to dump traders, since, remember: “Forex is a high risk investment. There are many factors involved when a broker won’t guarantee to traders prices quoted… or how about a failure of hardware, software and Internet connection, other communication failure, distortions or delays arising from trading Forex via Internet… etc”. Just read carefully an agreement you signed with your Forex broker to realize that almost no guarantees were given…

With such power in their hands, brokers can easily “fix the problem” and make your money disappear. It can be done by placing trading orders from your name against the market while you are away or closing some running and currently losing trades for you :), or by creating other stories, myths according to which the money you earned earlier were not actually right and happen as a result of some system mistake that had been giving you wrong price quotes, etc etc. Brokers who are not willing to pay may tell many different stories at their choice (really, don’t doubt their creativity) just to make sure you won’t get the earnings you claim.

Most popular accusation nowadays is that you’re, in one or another way, convicted in scalping and taking advantage of broker prices, and therefore, you have to pay a penalty, which will be equal to the amount a broker never wants to pay you.

So, why keep your account growing without control. A simple measure of taking planned withdrawals can save you from troubles.

It’s not going to be the case for traders who trade with reputable Forex brokers. The brokers which are registered with appropriate local authorities and, even better, those that have a well-known trademark name in the financial world and run additional businesses beside Forex. A good example are banks – they will never put their name and entire business in danger by playing dirty games with their Forex clients.

Compare it now with companies, who run only Forex businesses and are not registered with any local authorities that would control their Forex related activities. Traders suddenly have no protection of their investments in case of a dispute. Even if such brokers seize to exist due to bad reputation gained with unfair practices, they lose nothing besides their old company names and some clients (while still taking your money wit them :)). For such brokers restarting an old scam business under a new name is a simple task, for their clients it is a loss of time and money.

I hope you got the message and won’t shock your broker one day with the amount requested for withdrawal… ;)

** Forex Dark Lord **

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