How to uncover a binary options scam

Trading with binary options has become a popular way of earning a stable monthly income for many people, because this form of investment offers quick, if not instant returns. What is more, anyone can trade as long as they are of legal age and the only thing they need to do is open an online account on a trading platform. Unfortunately, the binary options industry has been plagued by scams for many years now and traders need to pay attention to this threat when choosing their broker. There are certain signs that give frauds away even though they pose as reliable brokers and in this article, you will learn how to distinguish a trustworthy broker from a scam. For instance, you can tell from the Boss Capital withdrawal policy that this broker offers state of the art services, because they process withdrawals in less than two days and they have not received any fund withdrawal complaint from their customers.

Check out binary options broker reviews

Considering the fact that numerous traders have been scammed in the past and the number is increasing, some professional traders have created online platforms dedicated to uncover binary options scams. These traders create blacklists with brokers that cannot be trusted after receiving complaints and investigating them for a long period. What is more, there are also websites where you can find broker reviews and see not only which trading platforms are safe to use, but also which broker offers the services you require. Make sure you read more than one review about a broker before opening an account, so as to ensure the information is truly accurate and reliable.

Check out the money withdrawal policy

Most traders only discover they have been scammed when trying to withdraw their funds. Scams will refuse to process the withdrawal by invoking a certain rule you have presumably broken or simply ignore the e-mails of the customer asking for an explanation after blocking their account. Considering the fact that scam brokers need to keep the façade on as long as possible, they will try to persuade customers that they are right to refuse withdrawals, so they set up hidden policy terms you unknowingly break. If the money withdrawal policy has hidden terms, unfavorable points or terms you cannot avoid breaking, it is more than likely that your broker is a scam. A reputable broker will try to offer high quality services, not focus on tricking their customers.

Pay attention to identity theft

Trading with binary options requires your personal information. While binary options brokers protect your private information with advanced encryption programs, scams will use that information to make money either by selling the data to ad companies or using it to trade in your stead. If your broker is using your funds without permission or you receive e-mails from companies and websites you have not subscribed to, you could be a victim of identity theft. This is why it is important to check the reliability of a broker before opening an account and it takes only a couple of minutes to visit several specialized websites.