There are several platforms available to invest your hard-earned money, binary options are one of them. There is no problem in investing in any of the options. The problem arises when you find yourself unable to withdraw your amount from your account. This is how you can get scammed from binary options trading.
Unfortunately, there are numerous fraudulent brokers and trading platforms in binary options, taking advantage of new investors.
These scams are happening daily, and most of the victims of fraud are first-timers to binary options trading. However, if you have fallen prey to these scams, do not lose hope. There are a few methods that you can try to get money back from a binary options broker.
How Scammers Do Fraud in Binary Options?
Most people fall victim to luring advertisements on social media, email, messages, or cold calls. The ads promise high returns on investment and the safety of the principal amount. The scammer does not show any negatives on binary options trading.
With a single click on these advertisements, you enter a site that appears to be very genuine and legit. On viewing such high-quality websites, and information showing the pros of binary options, the first-timers fall prey to scammers.
The following are the three most common ways the scammers typically use to scam out the investor’s money:
1. Not letting the investor withdraw the funds
The most common technique that binary options scammers use is that the broker or platform refuses to release your funds in your account or not ceases you to withdraw your funds and returns when you ask for redemption.
The trading platforms can do this by invalidating your withdrawal requests. They turn a blind eye towards all your effort to approach them. Sometimes, they even close your trading account to misuse your funds.
2. Manipulations in prices
Another common practice that fraudsters of binary options use is manipulation in the trading software. They manipulate the software to generate trade losses. They keep deforming the prices of binary options so that it appears legitimate to you that you lost money while trading.
3. Identity theft
Identity theft is yet another way of binary options scam. The scammers start by collecting personal information like identity information and credit card details and steal your money from your bank accounts by using this information.
Here are some tips to prevent binary options scams by brokers and sites:
- Stay away from luring an offer that sounds more attractive to fulfill. Watch out for the tempting promise that offers high returns.
- Read the terms and conditions on investment sites.
- A broker or platform asking for more funds is a red flag.
- Never believe anyone to share your identification and financial details.
There are several reputed and reliable binary option trading platforms and registered brokers. In case of any doubt, ask these reputed brokers and platforms. Do some research work and do not hesitate to ask for the registration of a broker.
Recover Money from Binary Options Fraud
Here are a few options to get your money recovered from a scam
1. Chargeback
Just as you realize that you are a victim of a scam, the first step you must take to get your money back is going for a chargeback. To chargeback, you contact the credit card company, and on explaining the whole situation the bank or company agrees to reverse the payment that you made to a fraudulent broker or trading platform.
It is one of the most uncomplicated options available to you. But chargeback has certain limitations. To use the option, you must pay the broker through a credit card. It is also essential that you use this option within 120 days of payment made.
2. File a Claim
The next option to recover your money from a scam is to file a complaint against the trading platform or the broker. You can also start a suit in a court of law. A lawyer having experience in handling similar cases can surely help you recover the money lost in a scam.
Filing a lawsuit is good but remember that choosing a legal option is expensive. The lawyer’s fees and other expenses are not easy to bear. It is a piece of friendly advice to go into legal procedures only when the amount you lost in a scam is more than the legal expenses.
3. Hire Services of Recovery Expert
Another way to recover your money is to hire the services of a professional. These professionals provide dedicated services to help recover lost funds. When you doubt yourself handling such issues, it is better to let a professional work for you.
Professional recovery agencies have years of knowledge and are familiar with the know-how of the related field.
Being Scammed – Do Not Worry, You Have Not Lost Your Life
Getting scammed is one of the worst feelings you have ever experienced. But letting a scammer take away your fortune is a mistake. If you sit idle taking it as a matter of a few hundred dollars, then it will be the scammer who won the battle, and you lost without going into combat.
The foremost thing is you must be aware of these frauds before starting binary options trading. But still, if you face a scam, do not lose hope; there are several methods to recover your losses. Following the above-given tips will help you recover your money.
Never hesitate to talk if you are a victim of a binary options scam. Maybe your experience can save many more like you.