As a beginner, you need to know how to avoid forex scams. Various bad rumors related to forex trading are mainly caused by individuals acting on behalf of forex to steal money from beginner traders.
In fact, from the past until now, the forex fraud mode has not changed much, aka 'just like that'. But, why do beginners keep getting stuck? That's because they are not familiar with the usual forex fraud mode, so they don't understand what things need to be watched out for and avoided.
This forex fraud mode has only been on the rise since around 2015 along with the growing popularity of the online investment business. The trick is simple, but can fool anyone who is less conscientious, including professional traders.
How to Avoid Forex Scams by Paying Attention at the Broker
Usually, these illegal companies create websites or set up simple offices. After that, they include the name of a well-known broker on their website or attach the word "regulated" by certain government bodies with high credibility.
In fact, they are not really affiliated with the famous or best forex broker, and have never received official permission from any institution. In order to avoid this mode trap, you need to always be careful when you come across a website whose name is unfamiliar.
Try to confirm first with the broker or institution mentioned on the website, before entrusting your funds to the website management company. To be safe, you can join the Didimax forex broker which is clearly registered with BAPPEBTI.
Make Sure the Bank Accounts Used are Separated
When you open an account on one of the forex broker platforms, you will definitely be asked to deposit funds as capital to make transactions. How to avoid forex scams is to make sure you deposit funds into a special account called a segregated account.
This separate account will be closely monitored by the Indonesian Derivatives Clearing House. Funds in separate accounts can only be used to settle obligations arising from transactions made by customers.
A simple example is like this, when a customer experiences a loss, the loss will be charged to the customer's funds stored in a separate account. This also happens when you get a profit, then your funds in a separate account will increase.
The most important thing is that a separate account is one of the factors that can secure customer funds. Because this has been regulated in the law that forex brokers cannot use these funds for other purposes than those mentioned earlier. If defined simply, only you can access these funds for use.
Therefore, it is very important to pay attention to the account number for the purpose of depositing funds. How to avoid forex scams is to note that the account number is registered with Bappebti and if it is not on the list you should not deposit the funds.
Pay Attention to the Services Provided
The last point that is important to note in order to avoid fraud by fake brokers is to pay attention to the services provided. Brokers who can be trusted are those who provide a special place to solve customer problems or provide educational services for you. Educational services are important to be available, because forex trading is an activity that has a high risk.
This is useful for reducing the risk of loss that you can get when trading on the market. Trading without directions makes you feel like a blind person who doesn't know which direction to go. Plus if you don't know how to do the correct analysis and can't manage capital and risk.
Apart from the things above, you also need to be suspicious of brokers who offer unfair benefits. Don't be easily tempted by the lure of certain profits, because forex trading may not always be 100% profitable. Understanding how to avoid forex scams can help you be careful before trading.
