There are situations where scam brokers are complicating the withdrawal process, or traders have trouble logging in or registering. In those cases, and many other, traders normally write complaints to try to get help and work out their issue. In order to minimize your chances of needing to send in a complaint, make sure to familiarize yourself with reviews on binary options brokers and choose the one that is in line with your trading needs.
In order to successfully navigate through the binary options industry, traders need to be aware of a few essential components that will help them achieve that. The most fundamental one is to choose a reliable binary options broker.
Given the fact that there are so many binary brokers you can choose among, it certainly isn’t an easy feat to decide on a right one for you. This gets even more difficult if you are a binary options trading beginner.
We feel that the number one thing to ensure is a trusting relationship between a binary options broker and you as a trader. Being able to be confident in your trading decisions along with your binary broker might have a deep impact on your trading opportunities and results. That confidence can also come from the multitude of features like many trade options, demo accounts and so on, that individual brokers offer on their platforms.
How Regulations Affect Binary Options Brokers?
It is often clarified that reading binary options broker reviews is of the utmost importance when it comes to knowing how to handle any problem you might encounter.
Regulated brokers follow the guidelines and acts of legal documents and laws they are obligated to abide by. Seeing that there are regulated and unregulated binary options brokers, it is clear that there might be differences in the way either category deals with binary options complaints.
Those brokers that are regulated will try to do everything to solve the issue directly with the trader in order to prevent the matter going further up the legal ladder. This makes the process fairly fast and straightforward. Unregulated brokers have a much wider framework under which they operate, which could possibly mean that their individual processes of dealing with complaints can vary greatly.
It is also possible that complaints that are addressed to a regulated binary broker do not make much sense, simply because the broker’s performance was completely in line with the legal framework.
Avoiding Binary Options Complaints
It is pretty obvious that taking into account the size and rate of growth of binary options industry, not all binary brokers are regulated. Knowing which broker to choose to fit your needs is probably the single most important way to avoid scams.
It is indeed a good news that more and more binary brokers are pursuing a goal of high levels of legal protection for both the broker and consequently the traders. In order to accomplish that, many brokers are acquiring a CySEC license.
Obviously, binary trading, just like any other type of trading, holds no guarantees. However, having a CySEC license informs the prospective traders that this broker has to abide by certain standards and are held responsible for their actions. This, in turn, might help the traders feel more relaxed and safer.
The goal of this article is to help traders recognize the signs that a certain binary options broker is perhaps having issues and why to avoid them.
Allowing Access to your Broker Account
One of the first tell tale signs that a broker might be problematic is the offer to manage their traders accounts. This is completely unacceptable since the trader is the only person that needs and should have access to their own trading account. If someone has access to your account that means that they can place trades in your name and you are effectively giving away your money.
Make sure to never allow any third party to manage your account, regardless of their connection to the binary broker you chose.
Credit Card Information Misuse
Getting a call saying that certain amount of your money has been lost certainly isn’t great. There is always a possibility your payment was processed twice by mistake. In that case, your situation should be resolved rather quickly and without delay.
However, if your personal information was used to make transactions or trades that you weren’t aware of, that constitutes a scam.
Any action that involves your personal information, whether financial or otherwise, that you were not involved in or gave any permission, is considered a privacy breach and as such is very serious. Make sure you always choose secure payment methods when dealing with any payments or withdrawals.
Broker Bonus Policy Complaint Issues
When it comes to bonuses, it is important to highlight the necessity of carefully reading the bonus policy of a chosen broker. Bonuses can be a great thing for traders who are aware of all the obligations and rules pertaining to those situations.
When binary options brokers offer a specific type of bonus to their registered traders, as there are many, traders that accept them need to be aware that they probably will not be able to withdraw their money immediately.
Obviously, traders are not required to accept any bonus offers. Accepting a bonus, usually obligates the trader to trade anywhere from 20 to 50 times the bonus value, before they can request a withdrawal. For this reason, it is important to read and understand all broker terms and conditions that might directly affect the trader.
It is clear, from our arguments, that many broker complaints can be related to bonus policies, that is, if traders do not read or understand them, or if binary brokers do not explain what their procedures are.
Read more about CySEC banning broker bonuses here.
Possible issues with a broker withdrawal process
Perhaps, one of the most occurring types of complaint has to do with the withdrawal process. Obviously, it’s not always easy to recognize a great binary broker. Like we said, there are no guarantees in the binary trading industry, but it is important to understand every possible complaint scenario so traders can successfully navigate through them.
Binary options traders have a responsibility of reading and understanding the terms of service and in line with them, they are required to send documents that prove their identity. If some of the documents are not available, or not adequate, then the broker cannot follow through with the process. But, if the broker is delaying or blocking the withdrawal process without a clear reason, then that constitutes a fair basis for a binary options complaint.
There are some instances in which a complaint is connected to a previously sent complaint. Or a complaint can be based on information that is not in line with terms and conditions of the broker. In that case, the broker is not responsible for a trader who has not read the important info.
As a whole, traders need to make sure to do everything in their power to familiarize themselves with all the conditions that the broker imposes as well as how to recognize possible binary options scams.