Brokers can be validated based on payment methods?

[hemidemisemiquaver]

@FranziskaSchulz

a high leverage solely cannot mean that a broker is fraud

I agree with you.

But obviously it does mean that they decided to avoid proper regulation, and as a potential customer, planning to deposit money there, it would be very unwise indeed not to wonder why!

[SmallPaul]

@ontario

Almost all of them offer wire, credit card, etc., this is not a criteria. Look at spreads and ease of withdrawals, especially profit.

@FranziskaSchulz

Thank you for keeping the language polite but bro, my friend, my darling, my beloved babypips mate, a high leverage solely cannot mean that a broker is fraud I have traded with honest brokers offering a leverage of 1:1000, I have also worked with fraud brokers which are actually very well known too, offering 1:50 leverage who stole my money! No regulation no leverage no nothing can tell if a broker is fraud but their clients experience no matter how hard they try they always get negative comments and valid negative comments they cannot answer!
check my previous comment above too.

I concur; there was a time when U. S. Brokers provided high leverage. Does this mean they were fraudulent brokers for doing so?

I assume that because they were under regulation, it was considered acceptable to the pro-regulators here.

Brokers bypassing regulations to offer higher leverage to traders who wouldn’t have access to it in their own countries, is not an issue for me, as long as they honor withdrawals

[hemidemisemiquaver]

@SmallPaul

Brokers bypassing regulations to offer higher leverage to traders who wouldn’t have access to it in their own countries, is not an issue for me, as long as they honor withdrawals

I’m neither pro regulator nor anti regulator but aren’t you at all worried that finding out whether or not they honor withdrawals, if they’re not regulated, means relying on second-hand internet information, and that unregulated brokers pay people to post nice things about them online, and have SEO and PR departments to “promote the good and conceal the bad”, and that a lot of the “information” about them you’ll find is from affiliate and promotional sites?

Whereas if they’re properly regulated, and you verify that for yourself before sending them your money, at least if some or most or all of the online “information” turns out to be misinformation, there’ll be someone with objectivity, power and control who’s able to take your side if you’ve been dishonestly treated?

That must surely make you feel a little more confident, @SmallPaul ?

@SmallPaul

The straightforward response is no, you cannot assess the legitimacy of a broker based on their payment methods

We agree, there.

Everyone agrees, there! It looks like there’s rarely been a thread here with such uniformity of opinion about the question originally asked!

[SmallPaul]

@hemidemisemiquaver

I’m neither pro regulator nor anti regulator but aren’t you at all worried that finding out whether or not they honor withdrawals, if they’re not regulated

If I wasn’t getting my withdrawals, the first place I would talk about it is on the thread Going offshore to escape the CFTC, where I’ve been participating for over ten years. My choice of brokers has been trustworthy for more than a decade.

Your decisions in life are essential for your well-being. If working with regulated brokers makes you feel more at ease, then feel free to choose them.

do your own due diligence and be happy

[FranziskaSchulz]

@hemidemisemiquaver

But obviously it does mean that they decided to avoid proper regulation,

Honestly, I cannot agree to this! Do you believe Oanda is a regulated broker or do you consider that a fraud scammer with no regulation, and therefore, a non-trustworthy broker?

[ThomasW1]

Definitely! its always a red flag for me when I see crypto only. Legit brokers usually give at least two of the standard options: bank transfers, credit cards, Skrill, Neteller, PayPal etc. But, yet, verify their regulation. That’s always a top priority.

[Error-Message]

@ThomasW1

verify their regulation. That’s always a top priority.

That’s the part everyone agrees on.

But to imagine that a CFD broker is legitimate simply because it can take credit card payments is - to put it very politely - as naive as you can get, in this context.

[ThomasW1]

Sure, I agree—this is just one of the green flags I look for. Here are a few others that are just as essential:

1. Check the website: Are all links working properly? Are there large sections of text posted as images (a red flag). Also, test their customer service—I’ve personally called the listed phone numbers, sent emails, and chatted with the chatbot to see if they’re responsive and real.
2. Look for legal documents: Make sure the broker provides clear access to terms and conditions, privacy policies, and other mandatory legal documents.
3. Research trader feedback and broker review websites: Check review platforms like wikifx, fairforexreviews, forexbrokers, and others to see what real users and experts are saying.
4. Test the platform: Download the trading platform and open a demo account to verify that everything is functioning as it should. Legit brokers usually offer MT4 and/or MT5, and sometimes their own proprietary platform. If there is no demo account option, that’s a huge red flag.
5. Verify licenses: Reputable brokers usually provide direct links to their regulatory licenses so traders can verify them easily.
6. Transparency is key: Trustworthy brokers are open about their deposit and withdrawal policies, including fees, processing times, and minimum/maximum limits.
7. Check the company background: Do a quick search on the company name, registration number, and location. See if there are any red flags like past warnings or regulatory actions.
8. Lastly, look for real company presence: Does the broker have active social media profiles, verified business listings, or real office locations you can trace? An empty digital footprint is often a red flag.

I’ve learned my lesson the hard way and got scammed during my first month of trading, so now I make sure everything checks out before I deposit a single dime.

[Jackie.Wilson]

I look at it this way: the three brokers that I (and others with more experience) consider to be probably the worst and most dishonest in the world, can all take credit-card payments. No surprise there.

I won’t name them, because I know all three of them pay people, here and in other forums, to defend and recommend them. Of course, because that’s one of really few ways they can get the naïve new customers they continually need, to replace all those who leave. The point that many fraudsters can and do accept credit-card payments doesn’t depend on identifying individuals anyway: it’s just common sense.

[John9517]

Having payment options doesn’t mean the broker is reliable; in today’s time, anyone can have that, IMO. I have never been scammed just by bad funding methods.
I have traded with many brokers, some giving fewer payment methods, others have a plethora of options like fxview and ic. Better to have some research before selecting any.

[SchmaltzHerring]

As pointed out above, the unanimity in all this thread’s responses does speak highly of the forum.

There’s a kind of concealed point, here, as well, that’s worth mentioning, since the thread‘s still active (though I certainly wouldn’t have put money on that!!).

One of the things that can sometimes stop Visa and Mastercard from doing business with any kind of financial institution is a history of adverse regulatory rulings from well-recognised regulators. That obviously isn’t helpful in this context, though, because the dishonest brokers are the exact ones who decided not to be regulated by anyone who might ever rule against them, so there can’t be any of those, kind of “by definition“.

And then, if ever asked, those brokers will say to the most naïve potential customers (the exact ones they want!) “We had to do that so we could offer the high leverage our customers want”. And there are even a few people who will even believe it!

But most of the people you see saying anything similar, in forums and online in general, are being paid to say it. And this really IS worth knowing. It absolutely isn’t Babypips’ fault at all, and it’s probably impossible for them reliably to prevent it, but I know there are quite a few paid posters here. Just as in every other forex forum, of course.

So, when you see someone recommending some specific high-leverage (i.e. unregulated) broker, be suspicious. Be very suspicious!