Binary Options Scam | Types of scams and how to avoid them

Binary Options Scam is a significant concern of general option traders. A binary options scam is something anyone can avoid with the right information. Due to the amount of binary options brokers out there, it is very important that you know exactly who to trust and what to expect. So, how can you prevent a scam from happening to you?

With all the possibilities of making a lot of money for a short period, it is easy for you to look at it from a perspective that most scams are taking advantage of new traders. It makes sense when you say somehow we are naturally wired to need more. If a person promises you more money, and you get confused with their sweet talks and facts here and there you will not escape because you will fall into their trap. Despite that facts that every lie has a faint tell- tale signals that shows evil act, in most cases we forget to interpreter this signals or even we do ignore them hoping to capitalize on them but, at last, we find ourselves trapped. This is the facts where the scammers thrive on.

Most of these scammers are professionals, so they know if they play a little bit with your emotions and make you feel good, you will fall for them by purchasing their software or fake programs. As a matter of facts what most scammers do is to invest in a website that looks more professional and on top of that they will do everything they can to make the site look more legit. Then from there am sure to escape from their tape it is very hard and if you’re a newbie, you won’t survive.

Binary Options Scam Works Like This:

  1. A fraudulent company opens a website to look like a legitimate binary options broker.
  2. They create a trading signals software that promises 100% accuracy, and some are bold enough to write 100% guarantee.
  3. They advertise their trading system under multiple names, with fake testimonials.
  4. When you join the scam, you quickly lose your initial deposit of $250.
  5. The trader receives a phone call from a “senior broker” who tells them to invest $5000 and their money will be managed.

It is very hard to know that you will be scammed because everything looks legit. But the moment you deposit your money with them is the time you will realize that you’re scammed. This is the time you will understand that money has exchanged hands once you have scammed. It is impossible to withdrawal your money once deposited with them, and this is one sign that you have departed ways with your hard earned cash.

So to help you identify these traps and save time and your money, in this article we will outline all the information that you need to know about this horror world of scam through the industry of riches binary options trading. For you to be able to avoid this business is sometimes very simple but one big problem is to let go of your emotions for you to escape. The reason behind this is that many scammers use your feelings, fear and greed tactics to scam you. But once you have mastered this you’re in a better position of saving your money and time wasted reading this and following these unscrupulous dolts. Most of the scammers are comical in how stupid they are while at the same others are professional cons that will lure you in what seemingly to be genuine with their fake reviews that are positive but you will be surprised when you will know that things aren’t they way you thought were. So in this article, I will outline methods that you can use to avoid them and their traps.

The following is a list of products that is associated with this horror of binary scam:

  • Secret Algo-Bot,
  • Overnight Profit APP
  • Binary Reserve System
  • The Pearson Method
  • Protected Profits
  • Occupy Wall ST
  • MockingBird Method
  • Spectre System Scam
  • Channel Ranger Is Scam
  • Bayesian Binary Is Scam
  • Ultimate4trading scam review
  • Platinum Profits is Scam
  • Triple Threat Trade is Scam

What kind of Binary Options Scam you may suffer?

Downplaying all the risks

The most popular and easy way a binary options broker can get you into a trap is by downplaying risks to trade. This is one of the frauds styles they and this one highly depends on customers who are not informed who are mostly newbies.

This act of fraud occurs even a customer deposits its money. However it is normal that you hidden cons and display pros in business but it is good sometimes not to hide cons when it comes to money investing business. The worst things these binary options brokers do is to make a wrong assurance that you will make a lot of profits. Sometimes they even go ahead and give a false testimony that 3 out of 5 traders won big cash. I cannot deny the fact that it is very easy to trade binary option regarding operationally but then there some skills you need to master before you enjoy the fruits of trading binary options. Most of the adverts that I see only are adverts that promote this binary scam. For example, an advert that you can $18,000 per week from trading binary options is a scam advert. Yes, you will get a lot of profits but this amount is a lot for a week. It is the high time for binary options brokers to give clear and collect information to their traders.

Bonuses related scams

Today in the world of binary option scams bonuses are the most frequent and leading scams. All binary options companies offer rewards, and that is helpful to some point.

The most important thing here is whether the customer understands terms and conditions associated with this bonuses. Here is where the broker is required to intervene to ensure a trader understands all the terms of the gifts before they accept it.

According to many recommendations written to this binary options firms, a form should be provided so as the customer can accept this offers in the shape of a written acceptance. Also, I think that bonus money should be dealt as a bonus, not from the customer deposit. Today I want to warn all traders that if you accept this bonus, all trade money are counted as bonuses profits at the same time all trades lost are deducted from your deposit. This is the rule at all binary options traders should beware of.

Hidden terms and conditions

This is a wider area, but I will try to make it short. All you can find more information on the same on different articles that talk about binary options trading scam under terms and bonuses. Recently I received an email from one client claiming that he wasn’t able to withdrawal his money. So I decided to call the broker, and amazingly the broker quoted part of their terms and conditions which is not mentioned under withdrawal. According to this rule, a broker has the right to stop a withdrawal if the customer invests more than 5% of the total capital they have a right to end the transaction because they suspect that sometimes is not good. This is among their hidden terms or uncertain terms.

The threat of Cold calling

Sometimes when you are at home relaxed you receive a call from a business owner informing you about their investment opportunity. In most cases they tell you that you invest a small amount, but you will earn big. Most of these calls are associated with binary options scams. So be warned of this people. These scammer brokers are slowly killing the binary options trading industry.

Manage account Frauds

Almost all binary option trading firms provide one-on-one trading sessions, personal account manager to ensure traders feel good by giving the personalized care, but I don’t think it is necessary for brokers to provide this service. However, you will agree with me that binary options business works according to the direction of the broker. The direction they want the business to go that is the direction used. So this makes the point of providing the customer with a personal account manager useless since the account manager and the broker work for the same goal. So people should stop playing with the money of a client. For that reason, I total discourage all customers not to cede the management of their accounts to the so-called managers. Their primary motive is to try and bring more traders on board for this stupid and wrong reason. Mostly the trader scores part of winning trades before something changes to the opposite direction.

Withdrawal Refusals

Now it is the worst binary options scam of all time; it’s the last step before regulatory bodies come in. There most cases that I have seen traders are required to verify the identification before the receive their cash or before the transaction is confirmed. If they had practiced this, the problems that we have about binary trading bonuses and offers could not exist anymore. So the brokers should ensure they conduct a fair trading with the investors.

When you experience this problem, and you try to call them they don’t answer calls or reply to emails that this the biggest mistakes ever occurred in the world. Take a situation where you are not receiving your hard earned money and the person you think can help is nowhere to be seen. In most cases they try to cover this mess by claiming that the customer has not reached bonuses turnover when in the actual sense the client has reached that mark. Sometimes they try to make it hard so that the client can give up. But the right thing regulatory bodies are now aware of this cases so if you experience this problem, and you are sure of what you are doing and saying just contact AMF, you will be sorted out.

How to avoid binary options scam?

As I have mentioned above, there are always some tale-tell signs to spot, and your senses will warn you not to do business with this people or brokers, but we always ignore these warnings and signs because we are fooled and blinded by the promise of making thousands of dollars a day. So here I have outlined some of the things you need to check before starting partnering or trading with this person.

Do not work with sites without SSL Https certification

The primary motive of this people or the world of binary scams is to make more profit while at the same time minimize costs for doing so. SSL certification is a very expensive invest, if you find this broker has not invested in it, then he is not a reliable agent as he claims to be.

SSL certification usual they are located in the address bar, where you find the site name comes first instead of Http. Additional the green bar appears on your left-hand side of the address bar. This shows that the site is secured, and all user experience is taken into consideration very seriously.

Do not trade with non- regualated brokers

Some special bodies regulate all the activities of agents. The broker should have at least registered with one body because if they have chosen to do this business, there is no reason they will fell to register. If you find a binary options trading site without any of these regulatory bodies, then run away because they are scammers.

Do not become attracted to fake reviews/testimonials

With the world of technology that we are living in, it is very simple to identify fake video testimonials by using computer software. If you have a good software is just a case of dragging and dropping video. The software will tell you if the video is genuine or is the one meant to play with your emotions. Sometimes it requires you to pay close attention to whether the content of the video is making sense or not.

Do not get over exited with Bonus and promotions

The truth is that brokers are doing business to make money not to help your money. You will agree with me that genuine brokers are likely to do fair business with you. However, agents in the world of binary options do dirty illegal and dirty business with you. If you find that they will give you $500 as a bonus for just signing with them, beware! No one is too generous when it comes to the world of business. This whooping cash you are attracted with is meant to cost you a lot of money.

I also encourage you to be aware of binary options software that give a promise of giving you 90% or more win rate. Whether you agree with or not no software is ever accurate. But to mention the least good software can give you up to 80% accuracy. So if you find things and promises that sound unrealistic probably you should stay way because that is a scam.

Know the Details of the domain name 

Today many scammers are registering a website for one year or less so that they can conduct the crime and bring it down for a short period or when they feel that their mission has been discovered. This is the trend in the world of domain registration you should be aware.

If you can research well and you can across a binary options website that is registered for one year or less then be sure that is meant for scamming purpose avoid it. Also, you need to check at their domain age and Alexa ranking but it is advisable not to use this as a solely determinant because some scammers can do right things here because they know they will make more than what they will spend here.

Ensure the customer service of these sites is of top notch. If you find their customer support is not they are trying to save on cost, that is not a good characteristic of an honest broker.

One thing to remember some of the binary options scammers are good actual professional scams so they can do everything in a proper manner that a genuine broker can do to attract you to their trap. So you job here is to find out something that you think can expose them out of their curtains. By so doing you have helped a lot of people escape their traps that are so many. Also, when it comes to matters like this you need to trust you instincts and move on. Don’t strain with thoughts that you will make millions within no time while losing your hard earned dollars.

Finally, you should pay attention to sites that warn you when you try to hover a mouse or leave the page. In most instances they will play with your phycology by saying don’t want to win, or you don’t want $300000 pure profit a day! This warns will keep coming after few minutes so try to avoid them because if you follow them, you will be scammed. My question is why does somebody beg you to enter into a business that pays well? That is a big question, for now, and you need to find a solution to it.

The Bottom line

It is true that binary options trading are the kind of a business where you can make a lot of cash within the short period. But these being the case many scammers are using this as their weapon to con poor traders their hard earned money. Before you enter into any contract with this binary option. Ensure you ready their rules well. Incase you’re interested in their bonuses to ensure you understand terms and conditions associated with them by doing this you will be in a position of defending yourself in case your experience fraudulent acts. Don’t be caught aware because many scammers rely on traders who are not informed to con them. As I have said if you do it right, you will make a lot of money here but if you’re lead by greed, you will lose a lot of money.


Binary Option Kindergarten

All Lessons in Part 4: Binary Option Scam
Lesson 1: What Binary Option Promises you should not to believe
Lesson 2: Binary options Scam
Lesson 3: What to do against Binary Option Scam
Lesson 4: Best binary options broker

About the author

David Richard

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