How to research and spot a Scam Broker.

BryanMacBryanMac Posts: 851 ✭✭✭
Good day all!!

So i am going to cover a few way to research and spot a scam broker. Now this will not work all the time, say a legit broker is brand new and there is no info on them, but it should keep you out of trouble and help you avoid the chop shops that are out there.

So there first step is to see what info is available on the web site. for this example we will use https://b54.com/

Step 1: go to http://whois.net/ and in the seach box type in the brokers web address and click go.

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You will see a screen similar to this if the broker is smart.

Domain Name: B54.COM
Registrar: GODADDY.COM, LLC
Whois Server: whois.godaddy.com
Referral URL: http://registrar.godaddy.com
Name Server: NS0.DNSMADEEASY.COM
Name Server: NS1.DNSMADEEASY.COM
Name Server: NS2.DNSMADEEASY.COM
Name Server: NS3.DNSMADEEASY.COM
Name Server: NS4.DNSMADEEASY.COM
Status: clientDeleteProhibited
Status: clientRenewProhibited
Status: clientTransferProhibited
Status: clientUpdateProhibited
Updated Date: 10-jun-2013
Creation Date: 07-feb-2000
Expiration Date: 07-feb-2022

So the only thing this tells us is the broker has paid to keep all his info private.

The one thing we can see is the creation date, take not of it and if the broker is claiming to have been around for years but it was created 2 months ago big RED FLAG.

So next step I like to do is jump on Youtube and search for them. b54.com in this case no results so we still don't know if this is a legit broker or not. If there are reviews watch them and look for the people to be giving similar scripted reviews.

Lets head on over to google, i find several reviews over numerous web sites, the thing is they are all the same review. So another RED FLAG. Probably some poor guy from Freelancer who was paid to spam reviews.

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Last step and one of the best sites you can check on scam brokers is

http://www.forexpeacearmy.com

simply search for the name

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Well now we have a very clear picture of the broker and you should be able to make an educated decision.

Hopefully this will help you steer clear of the bucket shops out there. Make sure and take advantage of the reviews on this web site also and you should never find yourself in a predicament where you loose your hard earned money.

http://www.binaryoptions.net/binary-options-brokers/

And remember if it sounds to good to be true it probably is.

If you need help with researching a broker please feel free to hit me up, I love doing this kinda stuff.
Bryan Mcafee
Hit me up on skype at Brymcafee (McAllen TX)
www.tradingaxis.com

Comments

  • mr1776mr1776 Posts: 13
    Great article!
  • fxanywherefxanywhere Posts: 18
    Very good information for newbies. Actually I also found my broker (optiontrade) basing on positive reviews on forexpeacearmy. It is a really great resource to understand how good is your broker.
  • RyanBishopRyanBishop Posts: 3
    Is scambook a reliable source of information about binary brokers? Or it is just another place for grieving customers to put their opinion on intenet?
  • lotzofbotzlotzofbotz Posts: 1,552 ✭✭✭
    edited June 2014
    Use common sense and multiple sources of information. Spend time researching the brokers you wish to work with. Things I would recommend for all new traders is #1 "NEVER LET A BROKER TRADE FOR YOU" They call them brokers because they will make you broker. Brokers in bins have really no business trading as they are 1st in a conflict of interest = you lose they profit off those losses and really none of them can trade for sh*t so believe nothing they say as they are telemarketers and are as talented as the scam software vids you see me make fun of in trading. "#2 "NEVER TAKE A BONUS" brokers use bonuses to trap newbie traders and have them churn their account till they blow it as they likely have no trading experience or knowledge it does not take long. #3 "START SMALL" and see what kind of experience you have with the broker and always make sure the verify your account first before ever depositing a penny into a broker. You do smart things to protect yourself and you will be on your way even if you lose small or have a bad experience here or there you gain insight as time goes on.
  • BryanMacBryanMac Posts: 851 ✭✭✭
    What exactly is a replicator you keep mentioning it on almost every post you make.
    Bryan Mcafee
    Hit me up on skype at Brymcafee (McAllen TX)
    www.tradingaxis.com
  • lotzofbotzlotzofbotz Posts: 1,552 ✭✭✭
    Its a paid pumper from india for bin brokers... Guy has multiple nicks and I mean talk about RETARDED. If you are going to market at least be creative you get banned because you are simply boring me at this point...
    Screen shot 2014-09-10 at 8.12.01 AM.png
    600 x 178 - 31K
  • lotzofbotzlotzofbotz Posts: 1,552 ✭✭✭
    This is for the Indian Spammers by the way! Just for you! Oh and all those who blew their accounts trying to martingale the moves this week! Durrrrrr....

  • usokusok Posts: 16
    I love the forexpeacearmy community, i literally spend hours there just reading about peoples issues with brokers or their trading, and the claims, so far its the closest to a transparent complaint site, though not all claims are legit and it can be fun reading.
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