Beware! OptionLeadFX 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.
OptionLeadFX is an example of the dark side of the forex industry. The side where the only goal is to take from investors, and to withhold users’ money until they can no longer do anything about it. To achieve this goal OptionLeadFX has used some of the most common tools used by similar firms. All tools are different, but all aim to deceit, appeal, and solicit users into depositing, and then some. Please read the review to find out how OptionLeadFX does it, and stay for the end of the review to see how you can protect yourself.
OptionLeadFX is equipped with a simple and fast registration process, that lead us to a user area of below average proportions. Not only is the user area not really worth it, but it also reveals the first sign that OptionLeadFX might not be what the name suggests. All in all, what we found out was that the broker at hand does not offer any trading conditions. In reality, none of the advertised spreads, leverages, and even trading assets apply here.
The website is available only in English.
OPTIONLEADFX REGULATION AND SAFETY OF FUNDS
We know for a fact that the broker is not available to US customers, because we read so in the footer. Believe it or not, this here said is the closest we ever get to any information concerning a license.
We can easily conclude that this broker is UNREGULATED, and it is, but the reason for it, this time, is that there is no details on it being regulated. And judging by the website and the entire experience, OptionLeadFX can never get regulated. Unless it abides by the industry standard…which we highly doubt it ever will.
Traders needn’t have to worry themselves with such risk if they choose to trade with a brokerage regulated and authorized by a prestigious regulatory agency. Such agencies are the FCA in the UK or CySec in Cyprus which have been leading names in Forex trading for some time now. Their regulatory framework is composed of a number of strict rules which prevent clients from falling victims to fraud. Such rules include the segregation of accounts which assures that commingling with the client’s money is not possible. Furthermore, a license by such a regulatory body entails participation in a financial mechanism by which clients may be compensated if they suffer losses due to fraud or bankruptcy. With the FCA the compensation is up to 85 000 pounds, where as with CySEC it is up to 20 000 euro per person.
OptionLeadFX has no legal documents, and this is one of the main issues of this so called broker. Not only is there no binding document between client and broker, but this is also a clear indication that there is no regulation to speak of here. To exclude the legal provisions is to give power to yourself to do whatever you want with users safety, private data, and money.
OPTIONLEADFX TRADING SOFTWARE
OptionLeadFX hopes us and its users base to believe that it offers a decent trading platform. Once a user is registered, he or she will be shown what looks like a trading terminal in the main page of the user area. OptionLeadFX hopes to win users relying only on its looks, and even they are poor.
Well, this is in no way a trader’s office. It is but a chart that was either borrowed or taken without permission from a third party that specializes in such charts. A common fraudulent broker move this is. It seems that approximately one third of all illegal brokers use this same tactic, and hope to get away with it! Always be on the lookout for such so-called chart widgets. If a broker you are interested in has such a widget included, you better make sure it is regulated before doin g any impulsive investments
Thus, OptionLeadFX has no trading platform, and so we can take away from it the label “broker”. This here is but a pure scam.
OPTIONLEADFX DEPOSIT/WITHDRAW METHODS AND FEES
A user must deposit a minimum of $1, because out of all the payment methods – Skrill, WesternUnion, MoneyGram and Bitcoin- only bitcoin was available for immediate use. All other methods were unavailable, and users are told to contact support. We doubt that support will ever return you message. The tactic here is to push BTC deposits, because they are untraceable, and ones they are done, they are done and gone.
The website makes sure that withdrawals have been kept out of the equation. Throughout the entire website, there was no information that could help us attribute some thing to withdrawals. The user area reveals that withdrawal are processed in 5 days. The same payment methods that apply for funding an account, apply to withdrawing from one plus the addition of wire transfer.
We currently have no indication whether or not OptionLeadFX has withdrawal fees, or similar commission applicable to other non-payment activities. We can assume that there are, seeing the illicit nature of the firm.
There was no way to include fraudulent clauses, because the broker has no legal documents. Usually we include a number of clause, but we think that not having any legal dcs in worse that having scammer provisions. At least with the legal docs users have some sort of framework that binds them. Without this, OptionLeadFX has the power to to do anything it wants. This is the last piece of evidence that we will include, as part of this here review of a completely unregulated broker, a broker that is a pure and honest scam, and will not return your investment. Do not deposit here; nothing good awaits you if you do.
How does the scam work?
The usual scam operates on a multi-level, though very basic model. The users will be tempted to click on an Internet ad promising quick and easy profits. If they do, it will take them to a website that will ask for their personal details, including email address and phone number. Once they submit this information, an avalanche of emails and phone calls will be unleashed. Scammers will promise the world to these potential traders in order to induce them to make an initial deposit between $200 and $300.
These “brokers” will get a fat commission from the deposited sums and will transfer the unsuspecting users to “senior” scammers. The latter are smooth talkers who will try to persuade users to invest more funds, using phrases like “now is the right time” and “the moment is perfect for making hefty profits”. Of course, these are empty words, and traders will soon have doubts whether they have not been played.
When they try to withdraw their money, these doubts will be confirmed: the con-artists will do anything to deny or at least delay their withdrawals. From trying to convince the traders that they are making a big mistake to withdraw funds now because they will lose big profits, to asking for additional documents or citing clauses in the accepted agreements, to transferring you to another department, there is a single objective to delay the users from filing for a chargeback with their financial institution and lose any chances of recovering their money.
What to do when scammed?
Anyone can fall prey to such a scam. In the unfortunate event this happens to you, there are a few things you can do. If you deposited using a credit card you should immediately file for a chargeback. In an effort to combat online fraud VISA and MasterCard have extended the period in which one can file a chargeback to a year and a half, so there is a big chance that you may be able to recover your funds. If however, you used a bank wire or bitcoin to deposit, chances to get your money back are almost none.
We should also warn against “recovery agencies” who prey on victimized traders by claiming they can recover their funds. These scammers will ask you to pay a fee for this service, but will only take your money and do nothing.