Beware! OctoFinance is an offshore broker! Your investment may be at risk.
RECOMMENDED FOREX BROKERS
Don’t put all your eggs in one basket. Open trading accounts with at least two brokers.
Warning! OctoFinance is a shady Forex broker, pretty obscure as a matter of fact, which should absolutely be avoided! Their website is, mildly said, broken and the products and services they claim to offer are actually not available. Beware! The scammers will find many different ways to approach and manipulate you, report immediately if a representative of OctoFinance contact you, and never ever make deposits with them! Find out everything you need to know about this untrustworthy Forex broker in the full OctoFinance review.
OctoFinance REGULATION AND SAFETY OF FUNDS
We urgently need to begin with their ridiculous Contacts page! The first red flag comes with the contact number they listed and that is: +111111111111, no proof needed to confirm it’s fake. An advice to our readers, tiny details like this one can save you hundreds and thousands of dollars, you should always have a good look at the Forex brokers before an account opening or a deposit. As you can see they list an address in the Commonwealth of Dominica, while at the same time the map on the left points out the infamous Griffith Corporate Centre in SVG, where hundreds of offshore brokers and fraudulent creatures are being headquartered, such as Proquote27, Coinsoft, Finlay.io, Optical Invest, and the notorious Hanabishi Partners LTD(confirmed scam)! Another red flag to note and a warning to the traders, do not ever make a deposit with OctoFinance!
OctoFinance is allegedly owned and operated by Seabreeze Partners Ltd, a company registered at 8 Copthall, Roseau Valley, 00152, Commonwealth of Dominica. Seabreeze is running a handful of so-called Forex brokers, such as WinMarket, Energy-Markets.io, Bid Broker Stocks and CFBroker, all of which might be considered a scam! At the same address, however, you can find Eurofx.trade(run by Donnybrook Consulting Ltd, a scam company blacklisted by CNMV, CONSOB and DFSA) and Paragon-Finance!
The Commonwealth of Dominica is an offshore jurisdiction, which is famous among the scammers for the lack of financial regulation, meaning that the Forex brokers operating from the island are not supervised in any way, and no customer protection is guaranteed. The issue with the offshore Forex brokers is that they might cease to exist in any given moment, and there are literally almost no chances for you to recover the losses caused by the event.
Your funds are not safe if you make a deposit with OctoFinance, it’s an unlicensed, unauthorized and unregulated offshore Forex broker showing too many red flags and scam signs! OctoFinance should be avoided!
If you are looking for a Forex broker you should obviously go for EU or UK regulated one, as these are the leaders in the retail FX industry, and also the regulatory regimes in Europe are the strictest, providing the safest environment for your funds. There are plenty of stringent rules and regulations imposed on the FX companies, but most importantly, protection funds were established, such as ICF in Cyprus and FSCS in UK.
Under CySEC(Cyprus) and FCA(UK) regulation the customers are protected from losing their cash in case a financial service company gets into troubles. ICF guarantees the clients deposits of up to 20 000 EUR per client, while FSCS allows you to make a claim of even up to 85 000 GBP per client. Each EU member state is compelled to create and further operate similar insurance funds, which are seen to be the last resort for the traders, in case a Forex broker faces difficulties to meet its financial obligations.
OctoFinance TRADING SOFTWARE
No trading platform available in reality. No Metatrader4 or Metatrader5 accounts can be opened, however, OctoFinance does advertise itself as an MT4 broker, but there isn’t a downloading link anywhere on the website. Their sign up page was broken as well, so the conclusion is that OctoFinance isn’t a true Forex broker, but a scam instead!
The spread is said to be as low as 0.7 pips and the leverage up to 1:200, but we cannot confirm it’s valid.
OctoFinance DEPOSIT/WITHDRAW METHODS AND FEES
The minimum initial deposit is said to be 250 USD. The funding methods are Credit/Debit cards and wire transfers, but we cannot confirm the validity of that statement because the sign-up page was broken at the time and we were unable to open an account, so as to test their deposit system!
No minimum withdrawal amount specified, also no deposit/withdrawal fees determined in size and scope. The withdrawal request processing time is said to be within 4-7 days.
An account will become dormant after 6 months of inactivity and will be subject to a deduction of 10% each month. It is a clause that you can see in the T&Cs of many other scam Forex brokers, and it is definitely a red flag, because no true Forex broker is going to pillage your funds so ruthlessly.
Each newly opened account is welcomed by a bonuses of up to 100% on the deposit, depending on the account type. In order to withdraw, however, you have to execute a minimum trading volume of 25 times the sum in the account at the time. It’s another scam sign clause that we have seen many times before. It is a word by word copy-paste and a warning to the traders!
OctoFinance allows indebted account, you might end up with losses far exceeding the amount of money you have deposited! Stay away from OctoFinance, it has nothing to do with a true Forex broker!
HOW DOES THE SCAM WORK
A group of scammers will usually operate many different scam brokers, scam websites and call centers. Sometimes they will simply rely on the quantity, they will publish tens or hundreds of websites and will just wait for traders and investors with little or no experience to bite. Nowadays, it’s very cheap to create one, and it looks like a profitable strategy, as they carry on doing it.
You can easily find plenty of promotions and generous bonuses offered by offshore scam Forex brokers. Everyone loves gifts and candies, it is an effective way to entice more and more customers and it’s working! People will usually get scammed because of the fact that they are searching for an increased leverage or a bonus. In Forex terms it means that you will get free money, a great incentive for the trader. But the scammers will change the trading conditions for the worse, once you accept a bonus from them. The minimum trading volume that they will require will be almost impossible to achieve, effectively locking your funds and you will not be able to make a withdrawal. It is a great excuse for them to refuse withdrawal and as there is no financial watchdog to report to, or ask for protection, it certainly means that you have lost your money.
WHAT TO DO WHEN SCAMMED
No one is immune to scam, anyone can fall into the trap. Scammers are constantly looking for new and different ways to scam consumers. What you need to do first, in case you got scammed, is to protect yourself from further risks. Contact your bank and explain to them your situation, they will give you important instructions to follow and will help you, if possible, recover your money.
Report what happened to you, file a complaint, contact the financial regulator, contact other government institutions related to trading and investing. Seek help actively!
Share online your experience, it is important to protect others, as well. Be responsible!