With a volatile currency fluctuation in the world market, forex scams are becoming more frequent than ever. Losing our money to forex scams is the last thing we would want to happen when travelling aboard. Forex scams involve fraudulent trading in foreign exchange. This happens when you lose the chances of getting back the money you invested from the company with whom you got associated for forex trading. Whether you are dealing in forex trading from India or abroad, it is important to insure that you do not fall in traps of any discrepant. Below mentioned is a list of ways in which you can eliminate the risk of losing money in any such foreign exchange scams.
Know the basic of forex trade – In order to avoid chances of getting involved with any fraudulent broker it is essential that you minutely read the company’s small print. Read it more than once if required. Ensure that you are genuinely permitted to do the business in the country. Also make sure that the broker you are working with is legitimately licensed.
Avoid flashy sites – There is a famous saying, “all that glitters is not gold” and this is particularly true in case of flashy sites. It is only wise to avoid sites offering lucrative rate of returns and promise automatic big profits in no time. This should amount as your first reason of suspicion since, there is no easy money circulating in the market.
Transparency – When considering the services of any online broker, make sure to doubly check whether his fees or commissions are clearly mentioned on the site. Other than this the procedure offered to let you withdraw your money should be outlined as well in an accessible section of the site. If the site you have logged in to makes it difficult to browse information it is more likely to create obstacles in the way of your fund withdrawal.
Look for red flags – Companies making fake promises is one of the most common red flags that you should look out for. Always remember that Forex is inherently risky and a good forex broker will never guarantee you big returns or big profits. In order to confirm the legitimacy of the online firm, check whether you can call real people at the numbers published on the site.