Online Investment Red Flags

If you are considering investing money with a binary options/CFD/FX website, look out for these red flags:

  • Unsolicited Offers. Unsolicited offers (you didn’t ask for it and don’t know the sender) to earn investment returns that seem too good to be true may be part of a fraudulent investment scheme.
  • High Pressure Sales Tactics or Threats. Representatives of binary options/CFD/FX websites may use high pressure sales tactics or even threats (for example, threatening to file a lien against your property) to swindle you.
  • Identity Theft. Representatives of binary options/CFD/FX websites may falsely claim that the government requires photocopies of your credit card, passport, driver’s license, utility bills, or other personal data. Protect yourself and safeguard your personal information.
  • Constant Turnover of Representatives. Be skeptical if the names of the persons you are dealing with at a binary options/CFD/FX website seem to change frequently or if you are told your former “broker” has been fired.
  • Issues with Withdrawals. Representatives of binary options/CFD/FX websites may use delay tactics to hold up your withdrawal request until it is too late for you to dispute the charge(s) with your credit card company.  Also, be skeptical if someone tries to convince you to pay more money for a “premium” account with fewer restrictions on withdrawals.
  • Credit Card Abuse. If you used a credit card to fund your account, keep an eye out for unauthorized charges on your credit card statements.  Even if you signed a form purportedly waiving your right to dispute any credit card charges, report all unauthorized charges to your credit card company immediately.
  • Government Impersonators. If someone claiming to be affiliated with the government contacts you and asks you to pay money to help you recover binary options/CFD/FX investment-related losses, it is part of a fraudulent investment scheme.  It’s important for all investors to know that the government never makes people pay to get their money back.