If you are evaluating the risk before investing or have been a victim of the binary options trading scam, then this article can help. Whatever be the situation, this article will help you to know the categories of binary trading scams and the methods of recovery.
Knowing the types of binary trading scams is necessary, so you do not become a victim of such scams. If you are already a victim of a binary trading scam, you can decide on a further course of action for recovery. You can hire professionals providing recovery services or DIY if you have enough ability to solve the issue yourself.
The article covers basic knowledge of regular forms of binary options trading frauds and methods to recover money from a binary options scam.
Types Of Binary Options Trading Scams
Whether you have been a victim of binary options trading fraud or a first-time investor to binary options trading, it is necessary to have knowledge of scams that traders usually suffers.
If you are a victim of the scam, the information will help you identify the severity of the deception and what to do to recover the losses. But, if you are a beginner to binary options trading, this data will save you from being the prey of scammers.
Following are some of the most common frauds that happen to the traders of binary options, and you should be aware of them.
1. Manipulative Binary Options Trading Platforms
It can be categorized as the most common scam that happens in binary options trading platforms. The experienced scammers design websites and create the user interface of the trading platform to manipulate values and data available for the end-user.
A manipulative or deceitful platform may display distinct values, expiration times, and pay-outs from the real trading values. Looking at these manipulated values, the users get convinced that they have booked losses from the trading when they have made a substantial profit. Most traders or investors are inexperienced and unable to figure out that they have lost their money in a scam.
Doing your due diligence and investing with reliable trading platforms is the best technique to avoid being a victim of this scam. Choosing trustworthy online binary options traders is the best way to start.
2. Binary Options Trading Platforms Stealing Your Personal Data
There are cases where scammers are more interested in your data than making money from your investment. It is an extended form of manipulative binary options trading scam.
These shady binary options traders are more dangerous because these scammers are less interested in your limited investment. But they focus on the financial accounts, which could be too risky. A victim of such fraud can lose all his savings or even more than that.
Usually, in these cases, scammers target personal data like ID details, credit card info, etc., to commit financial fraud. Generally, by the time the victim realizes the consequences of the scam, it is too late to take precautionary steps.
To stay safe from such scams the best method is to use a reliable platform having a trustworthy image in the related field. You can go through the customer reviews available online to choose an honest trader.
3. Overcharging Scam
It is a common practice in the trading field that traders demand a percentage of profit apart from the trading fee from their clients. Some users lose their money due to overcharging of trading commissions which is unfair.
Charging a reasonable fee is fair, but fishy platforms charge excessive commission and a higher share of profits. These fishy platforms deduct the profit and commission right away from the account without informing the user.
A reliable and trustworthy trading platform discloses all the legal charges before opening the account. Choosing such a reliable binary options trading platform is crucial to avoid such frauds.
4. Embezzlement by Trading Platforms
Embezzlement scam on binary options trading platforms probably involves most numbers of victims. The platform asks the investor to deposit additional payments to withdraw profits and invested amounts.
The platforms then refuse to release the amount, and all your money gets stuck. These platforms start ignoring the investor and cut off all the communication, finally.
You can go for legal procedures or hire a professional recovery agency to counter the fraud in such cases.
Scam Recovery is All About Experience and Not a Rocket Science
If you are a victim of any binary options trading scams mentioned above, you should not lose hope. The recovery from binary options trading frauds is not rocket science. Here, we are mentioning two methods that can help to get your losses recovered.
1. Credit Card Chargeback Option
Raising the chargeback on your credit card is the first step towards recovery. If you have made the payments from your credit card, it will start a reverse transaction. The chargeback process involves submitting a request to the credit provider. The credit card service provider reviews the request for settlement and decides who will pay for the transaction.
Most of the scammers get ready to reimburse the money to avoid any legal tussles. However, professional scammers may refuse to settle.
It is wiser to hire the services of professional recovery firms for seasoned scammers.
2. Let Professional Help You Out
When the scheme of credit chargeback does not work for you and the scammer refuses to settle down the matter. It is favorable to hire a recovery service provider of binary options trading platforms. These professional recovery companies have good experience in handling such cases.
However, you must ensure to hire a genuine company to support you in scam recovery. Go through their records of recovery and background before giving your case to them.
Do your due diligence because you have to share your financial details with the recovery agency.
Awareness Will Surely Save You
Whether you are a first-timer or a seasoned investor, a thorough knowledge of the related field will keep you safe in a long way. It is not wise to first become a victim to such scams and then getting aware of them. You can learn from the experience of other investors who have already faced these frauds.
Since there is a lot of money involved in binary options trading, this industry attracts corrupt people. It is handy to trust a reliable recovery agency if you are a victim of such a scam. But it is always better to know and prepare yourself for the potential frauds that can happen to you.