These days, when you have to find an online broker to start trading, your focus is not just to find a company offering its trading services. The goal is to find a reliable, transparent and legitimate broker because there are countless scam and fraudulent platforms that can be found in the market. This makes the process of choosing a brokerage very daunting because distinguishing between legitimate and scam platforms is no longer a simple and easy task. The scam companies have gotten very good at window dressing and this HandelXP review indicates just how convincing they can be.
This is one of the top reasons that people end up becoming victims, as they are unable to identify a scam broker. While it is true that they don’t have any obvious indicators, there are red flags that can help people in making the right decision. The key is to be prepared to make the effort and understand exactly how you can tell scam and legitimate companies apart. This will save you from losing your hard-earned money to fraudsters and give you the chance to find a broker that can help you make the most of your trading activities.
You will come across the name of HandelXP when you begin looking for a brokerage and it appears to be a major one that’s based in Germany and Luxembourg. They claim to be servicing millions of traders all across the globe and are offering STP execution, a professional platform and exceptional trading conditions. Essentially, they are promising everything a trader might need on a platter and this can make the offer very difficult to resist. Regrettably, this is all just a clever façade and reality indicates that HandelXP is just a scam platform.
Go through the following review to determine the issues of HandelXP that prove it as a scam:
Lack of regulation
If there is one aspect of a broker that can help you distinguish between scam and legitimate platforms, it is their regulatory and licensing status. A company that is properly licensed and regulated can be trusted, but one without it just cannot be relied upon. You will discover that HandelXP falls in the latter category because they don’t have a license and are not regulated anywhere. As a matter of fact, it appears that they are outright lying about where they are based.
As stated earlier, HandelXP claims to be based in Luxembourg and Germany and as these countries are part of the European Union, they require traders to be well-regulated. However, if you check the online register of the financial regulator in Germany i.e. BaFin, or you do the same with Luxembourg’s Commission de Surveillance du Secteur Financier, you will not find the broker listed anywhere.
This means that it cannot possibly be operating in these European markets and if it is, then it is doing so illegally. But, the Terms and Conditions of HandelXP actually give a hint of where the company is really based because they appear to be complying with the rules applicable in the Marshall Islands, which means there aren’t any rules at all since the offshore jurisdiction doesn’t have any.
Offering remote desktop applications
The lack of regulation and licensing at HandelXP is already a mark against the broker and there is more to come. Upon going through their website, you will notice icons of AnyDesk and Team Viewer, which are both remote desktop applications. These have been especially developed for helping users in remotely accessing their PC environment over the internet from anywhere.
As far as HandelXP is concerned, it asks its clients to download the applications, install them and share the details with them under a pretext of either calibrating the trading platform or funding your account. Providing them access to installation details means that the scammers will instantly be able to access your PC and the information in it. This includes a great deal of your personal information, such as banking details and more. Thus, they will be able to steal money from your account directly.
False claim about MetaTrader4 availability
When you do some research on the best trading platforms in the market, you will immediately come across the name of the MetaTrader4. The MT4 is renowned for its superior technology and range of trading tools and features like automated trading. Therefore, it has become the preferred platform of most traders in the market and has an excellent reputation. HandelXP claims to offer the MT4 platform to its clients.
However, it will not take you long to discover that this is just a false claim aimed at luring people to their platform. The truth is that HandelXP actually supports some cheap looking platform that’s web-based and is severely lacking when it comes to trading features provided by professional platforms like the MT4. It is not just that they don’t have the MT4, it is that the broker is outright lying about it that should send up a red flag.
No mention of payment methods
When you decide to trade online, you will be required to make deposits and withdrawals and this means looking at the payment methods at your disposal. You want to make sure they are safe and convenient, but HandelXP has chosen not to share the options they offer. This is not a practice of legitimate brokers, which tend to be transparent about all their offerings. Yet, you will not find such details here.
This is probably because HandelXP is offering shady options like crypto that are irreversible and anonymous. Bank cards are usually the safest option because both VISA and MasterCard are eligible for a chargeback, so traders can get their money back in case of a problem.
After you have taken a look at HandelXP, it is rather obvious that the company is making too many false claims. They are dishonest about their location as well as their trading platform and their Terms and Conditions indicate that they are not fair to their clients, which puts them in the category of a scam broker.