CySec Has Issued Warnings About the Following Brokers
CySec has flagged the following brokers as suspicious. This is a top-rated regulator that knows a suspected scam when they see it. These warnings should be taken seriously, and it’s important to check these alerts frequently.
ChargeBax has made it easier to stay current on the latest broker alerts. We aggregate lists from the world’s top regulators, examine each one and create reviews that will make it easier to keep your money safe online.
What Is the CySec?
CySec is the main financial regulator in Cyprus. It is responsible for overseeing all financial companies that either operate in Cyprus or sign up customers in Cyprus. They issue licenses and ensure all licensed companies adhere to regulations. In many cases, they take disciplinary actions against fraudulent brokers and can suspend or revoke licenses.
CySec’s role as a watchdog means that its main goal is protecting consumers from financial fraud. It takes customer complaints seriously and issues alerts of any violations it has found.
Why Did the CySec Flag These Brokers?
- Licensing problems
- Misleading information
- Lack of transparency
- Account issues
- Customer complaints
CySec has found that many of these brokers have licensing problems. They may have no license, or they could be overstepping the terms of their licenses. Although it’s important to work only with a regulated broker, the number of unlicensed financial services continues to proliferate. Make sure you open an account with a broker that has a licensed and strong reputation.
Misleading information is a major problem with most of these brokers. They may be exaggerating to convince new customers to sign up with them. They could be claiming that they return to customers specific rates of return or may make false statements about fees and commissions.
Brokers should be open about names, contact information, addresses, and other details. To withhold these details is reason enough or a regulator to raise the alarm. Keeping customers in the dark isn’t acceptable practice and is highly suspicious.
Many of these brokers allegedly have withheld complete account access to their clients. Often, clients are not allowed to make transactions and their requests for withdrawals are ignored. Other fake brokers charge huge fees for making simple transactions or excessive account maintenance fees.
Customer complaints are the main reason brokers get flagged. CySec examines these claims very carefully before flagging brokers and ensures that any allegations about the broker have support.
CySec Broker List 2022
Is Your Broker on This List? Here’s What to Do
We do not recommend opening an account with any of the brokers we have mentioned in our warnings list. If you do hold an account with this broker, close it right away and ask for a withdrawal of your funds. If the broker will not allow you to retrieve your funds, talk to ChargeBax professionals right away. We will investigate the matter, track down the broker and your funds, and will help you prepare your claim.