Searching for a broker? The market is swarming with them and you will be spoilt for choice when you are shopping for one. However, it is important to remember that you don’t just pick out of a hat. When you are planning to invest your money anywhere, you don’t do it without some diligence and the same applies here. Relying on an online company without knowing anything about them would be a foolish move to make. You should certainly take a look at BloomFxTrade review, or that of other brokers, before you make your decision.
It is imperative to do so because it can have a lasting impact on your bottom line. Not all brokers are created equal and this fact becomes apparent when you discover that frauds and scams have become rampant. Cybercriminals often impersonate legitimate brokers to attract people to their fake platforms, where they pocket the money deposited and steal their sensitive data. This makes it crucial for you to check out a broker before you trust them with anything. Otherwise, you could end up suffering the consequences that everyone would want to avoid.
The real issue is that these scam brokers are extremely smart and they know just how to lure people in. As people are very eager to get started, they don’t do proper due diligence and this can come back to haunt them later. The key is to remember that no company will ever highlight their drawbacks and flaws on their own. You will have to spot them and decide if they are acceptable or not. After all, it will be your hard-earned money and private information at stake and this is not a risk you can take lightly.
You should follow the same approach when it comes to BloomFxTrade. You will come across this brokerage when you initiate your search. This one claims to be a UK brokerage that offers exceptional trading conditions with a selection of trading accounts and a web based platform. They also boast about complying with the highest security standards, reassuring their clients that their investment is in the right hands and will remain safe. Regrettably, you cannot just accept their word for everything and should take a closer look.
In this case, it will turn out to be a good move because the BloomFxTrade review reveals that this broker is not what it claims to be. You can discover additional details below:
It is not licensed or regulated
The best way to distinguish authentic and genuine brokerages from the rest is by taking a look at their licensing and regulation. A legitimate broker will always have a license for providing their services and they will be regulated by a reputable authority. You would certainly be expecting this in the claim of BloomFxTrade, particularly because it is based in the United Kingdom where forex brokers cannot operate without a license.
However, the only thing that you will find on the BloomFxTrade website is a post box address in Liverpool, UK and no other information. There is no mention of a license or any authorization and this should immediately get your suspicions up. How is the broker operating in the UK without a license? If it does indeed have an office there, then it means they are operating illegally. You can check for their name in the online register of the Financial Conduct Authority (FCA), the regulatory body, and you will not find their name anywhere.
As a matter of fact, there is absolutely no corporate information available about BloomFxTrade either. Their website appears to be virtually anonymous and you will not find any details, such as company background, name, or anything else. It wouldn’t be smart to hand over your money, or data, to a broker you know nothing about and which can disappear without warning.
False claims about profit
The next warning sign you will come across on the BloomFxTrade website is the claim they have made about their expert analysts recommending when to place trades and where to place them for maximizing your profits. It is important to bear in mind that this brokerage is a market maker, which means that they profit every time their clients make a losing trade. Why would they help you make successful trades? It is more likely that they will recommend bad trades that will result in your losses.
No proper trading platform
The trading platform provided by a broker is their most important offering because it is the software used for trading in the financial market. As mentioned earlier, a web trading platform should be provided by BloomFxTrade and yet you will not find one. What they do have is a very weird dashboard that’s not really a functional trading platform. It is just a couple of charts that have directly been taken from Trading View, which is an independent provider of live market data. This dashboard doesn’t have an option to place trades, so it is just added to fool people.
Misleading payment methods
Even though the presentation of BloomFxTrade claims that the brokerage offers multiple payment methods to their clients, including VISA, MasterCard, Neteller, Skrill, WebMoney, QIWI Wallet, CashU, Yandex and Klarna. But, the reality is that they prefer their clients make payments via Bitcoins, Money Gram, or Western Union. These methods don’t allow for a chargeback, which makes them very risky because you will not be able to get your money back in case there is a problem.
Apart from these issues, you will also find that there is no mention of leverage, or any other trading conditions on the BloomFxTrade website. They have also offered two set of account types for some reason and the minimum deposit needed for opening the smallest account is $350 in one set and $5000 in another. Both of these are on the higher side, as most brokers don’t ask for more than $250 initial deposit. In fact, some don’t ask for any deposit at all. Thus, you shouldn’t fall for their tricks and stay away from this scam broker.