Beware! InnerBrokers 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.
InnerBrokers is a forex broker trading in stocks, options, cryptocurrency, futures, forex, fixed income and funds but in fact is another forex broker fraud.
InnerBrokers Regulation and safety of funds
InnerBrokers claims to have headquarters in London, Sydney and in Switzerland. We searched the Financial Conduct Authority (FCA) in UK but this broker is not registered there. Next we checked the Australian Securities and Investments Commission (ASIC) register and again, the broker does not seem to be registered there. Lastly, we checked the Swiss Financial Market Supervisory Authority (FINMA) only to find out that this broker is not registered there either. However, FINMA has issued a warning for fraudulent activities of this company (screenshot below). So far, what we found about InnerBrokers is nothing but big fat lies and obviously this company is non legitimate and you are hereby warned to avoid trading with it.
Instead, you should direct your attention towards licensed brokers from the well-established jurisdictions, such as US, Australia, UK and EU. Forex brokers from these jurisdictions must meet stringent requirements in order to get licensed. They must have a minimum initial capital which for US is no less than $20 million, for Australia, 1 million AUD, in EU and UK – 730,000 EUR. As you can see, having to provide such high initial capital is a way of preventing scammers from sneaking in and trying to look legit. But that is not all. In some jurisdictions, such as EU and UK, forex brokers must also contribute to a compensation scheme which, in case the broker goes bankrupt, will compensate the clients with up to 20,000 EUR per person if the broker is regulated by CySEC or up to 85,000 GBP per person if the broker is regulated by FCA. As you can see, these are excellent conditions you can benefit from if you choose one of the licensed brokers from the jurisdictions we already mentioned.
InnerBrokers Trading software
We saw on the company’s website that the trading software for this broker consists of C Trader, web trader and MetaTrader 4 and MetaTrader 5. It may look like a rich choice of trading platforms, however, at the time of writing of this review, we were unable to download any of the platforms due to broken links. We can only comment on the choice of MetaTrader 4 and MetaTrader 5 which happen to be the best in the forex trade world and they are preferred by the majority of the brokers for their excellent trading tools and instruments. Fro example, these platforms offer an auto trading option, code base with customs scripts, VPS, an app market, a financial calendar, trading signals, etc. However, it does not matter how excellent a platform is if the broker is not legitimate!
In the account types information, we noticed that the spread offered in the Bronze account is rather high – 3.2 pips and it value is in inverse proportion of the deposit amount, i.e., for the Inner account with minimum deposit of $250,000, the spread is only 0.25 pips. In addition to that, when we opened a live account, we noticed that the leverage is 1:100 which is rather high and may put at risk the client’s funds. For your information licensed brokers in EU have a leverage cap 1:30 and brokers in US have a leverage cap of 1:50 which is a way of preventing traders from taking unnecessary risks.
InnerBrokers Deposit/Withdrawal methods and fees
The accounts offered by InnerBrokers are 5 – Bronze, Silver, Gold and Inner. The minimum initial deposit for the Bronze account is $500. We consider this initial deposit to be rather high and don’t think that licensed brokers will ask for so much money. The other accounts start at $5,000, $50,000 and $250,000 respectively.
The payment methods for deposit and withdrawal are credit card and bank wire or transfer, which include Faster Payment, Bacs, CHAPS and SEPA.
The processing time when using a credit card payment method is one business day whereas the bank wire and transfer have processing time that may vary.
As per the company’s Terms and Conditions document, every client that makes a deposit of $2,000 or more is eligible to request a 100% deposit bonus. To be eligible to withdraw funds, the client must trade 200 lots for each $1,000. These are difficult to fulfil conditions and you should know that licensed brokers do not offer bonuses. We warn you that forex brokers that offer bonuses are scammers, so stay away from them!
How does scam work?
A lot of people get scammed in different scammers’ schemes not because they are naive but because scammers are masters of persuasion and manipulation. It all starts with unsolicited telephone calls or a flashy ad on the Internet or the social media. Sometimes people give up to temptation and invest money in shady schemes made to look legit and attractive and always promising quick and easy money fall. Once you deposit money into any of these schemes, you reach a point of no return! Your money is gone down the scammers’ food chain and you’ll have a lot of trouble recovering it. Scammers will do anything in their power to delay you, so you miss the opportunity to file for chargeback. They will ask you for this and that document and will find hundreds of reasons not to let you retrieve your money. The trick with offering bonuses in forex trading is one of those as your funds are mixed with the bonus money and it takes a lot of hassle to fulfil the broker’s requirements before you are able to withdraw any funds.
What to do if scammed?
Speed does it! You need to act very quickly if you want to recover your money. Immediately apply for chargeback if you have made your deposit via credit card. Fortunately, VISA and MasterCard give you 540 days within which to apply for chargeback.
If you have paid via wire transfer or Bitcoin, chances of retrieving your fund are grim. Anyway, we want to warn you that some of the so-called recovery agents may approach you and offer to retrieve your funds. For a fee, of course! Be cautious when dealing with them as it may be another form of scam! Always check if the recovery agency is legitimate and visible to the public!
Another thing we advise you to do is to immediately cancel any credit cards if the scammers have your CVV code. Also, make sure to erase any programs on your computer that give scammers access to your personal data on your PC.