A broker named Central Margins can seem entirely legitimate. It features a fancy website that is meant to lead you to believe the company is well-established in the forex industry.
However, a risky offshore company is hidden under this cheap front. To get you to drop your guard, this broker lies about its address. This Central Margins review covers all of the ways that this company falls short of being legitimate.
This is a well-known tactic amongst scam brokers like this one. The few things that do appear legitimate about them are often just lying. In terms of trading conditions Central Margins does not give the best first impression with their astonishingly high minimum deposit requirement which is set at $10000.
|Headquarters||St. Vincent and the Grenadines|
Central Margins Regulation and Security
When choosing a broker it is imperative that traders first check that the brokers that they are considering are licensed by a top-tier regulatory body like CySEC, ASIC, or FINMA. This is the most important factor as it is the only way to guarantee that your money is in safe hands.
According to the legislation of St. Vincent and the Grenadines, a license is not necessary. It is standard for forex markets to be regulated. St. Vincent is one of the few offshore nations that don’t abide by this, and these nations have become havens for financial fraud like the one Central Margins is committing.
In actuality, a license is the only way to confirm the legitimacy of a company you wish to trade with. Of course, all of this proves that the address Central Margins gives us is false, as the address given on their website is in Switzerland, a country with strict regulation from FINMA.
Trading Software Used by Central Margins
The Central Margins scam is even more evident when you take a look at the trading platform that it provides. The rudimentary web-based trader most definitely falls short of expectations.
This is a poor substitute for trading software like Metatrader 5, the industry standard. None of the algorithmic trading features are available. Furthermore, the charting tools that are available are quite simple. This means that the software can only be used for simple TA.
Of course, there are more concerns, and these are more related to the broker than anything else. As you can see, trading firms like Central Margins occasionally offer platforms that are quite competitive. They occasionally even have MT5. This does not, however, imply that trading on the platform is a wise decision.
Account Types Available at Central Margins
This fraud broker offers 5 different account types each with an increasingly high minimum deposit.
The accounts on offer are as follows:
- Bronze: $10000
- Silver: $25000
- Gold: $50000
- Premium: $100000
- Platinum: $250000
It is common for scam brokers to request large minimum deposits for two reasons. Often they do not give users enough information to make an informed decision till they have deposited their funds and it is potentially too late to back out. As well as trying to get the largest amount of money out of each victim as possible.
The other reason that scammers ask for large amounts of money for a minimum deposit is to get the traders invested in their scam. By making it so that they have already deposited a large amount and the only way they can withdraw the money is by reaching an often unattainably high minimum requirement for withdrawal forcing the trader into placing trades through their poorly built web trader.
Deposit and Withdrawal Method
The following are the deposit options offered by Central Margins:
- Credit cards
- Wire Transfers
The trading firm’s minimum deposit is reported $10,000. When you consider that the typical accounts today would run you roughly $10, it is absurd to accept such a high initial cost. Of course, offshore scammers want to take as much money from their victims as they can. Their high entry costs are driven by their sense of urgency in taking your money.
If you have deposited any funds to Central Margins, request a chargeback immediately if you have paid via credit card, or in the case of a Wire transfer request a recall is to be initiated.
Regarding the withdrawal fees, Central Margins states that they start at 0.001% but don’t go into further detail. Be wary though, since these scam brokers frequently charge a fee for each withdrawal request that is typically considerably higher than 0,001% – frequently it is 20% or more.
Offshore Brokers’ Tactic to Steal Your Money
Investment fraudsters in offshore nations like Saint Vincent and the Grenadines operate according to a relatively straightforward plan.
They typically use social media marketing campaigns to find their victims by promising get-rich-quick programs in exchange for contact information. Once the “broker” obtains the victim’s contact details, they keep spamming them, up until the victim deposits money.
Since cryptocurrency is completely anonymous, untraceable, immune to chargebacks, and 100% anonymous, the broker will often only allow crypto deposits. By this point, the victims typically discover they are being duped when they encounter a nonexistent trading platform or a minimum withdrawal amount that is out of their reach.
Suggested Forex Brokers
We advise you to look at the options we have provided below if you are looking for a reliable broker. Your money is secure with the six brokers listed below because they are all regulated at the highest level. Additionally, these brokers’ $5 to $100 minimum deposit requirements make them truly accessible to all traders.
|FXTM Broker||Cyprus, UK, Mauritius||4.5||$10||Forextime.Com|
|OctaFX Broker||Cyprus, SVG||4.4||$100||OctaFX.Com|
|FP Markets Broker||Australia, Cyprus||4.7||$100||FpMarkets.Com|
|XM Broker||Cyprus, Belize, Australia||4.7||$5||XM.Com|
|HFM HF Markets Broker||Cyprus, UK, South Africa, UAE, Kenya||4.3||$5||HFM.Com|
|FBS Broker||Cyprus, Belize, Marshall Islands||4.85||$100||FBS.Com|
Central Margins Summary
Central Margins is clearly a scam broker, that does what they can to appear completely legitimate. It has a stylish website that is intended to give you the impression that the business is well-known in the trading industry.
However, this low-cost facade conceals a dangerous offshore business. The broker lies about its address as well as the trading conditions that are offered.
Overall, fraudulent brokers like this one frequently use this strategy in an attempt to lure in those who are not experienced in trading.
The few things about them that do seem credible frequently just lie. With their absurdly high minimum deposit requirement of $100,000, this Central Margins review clearly shows that traders should avoid them at all costs.
FAQs About Central Margins Broker
Is Central Margins Regulated?
This broker is not regulated by any regulatory body.
What Are The Funding Methods for Central Margins?
Traders are able to deposit funds into their accounts via credit card or wire transfer.
What is the Minimum Deposit for Central Margins?
The minimum deposit required by this scam broker is an astonishing $10000.