I would like a help/advise regarding my problem with a forex broker.
Here is my brief situation.
In june 2009 I have opened a real mini account with 300 USD, since i’m new i was doing mainly mini, micro trading.
About 3 weeks ago I wanted a withdrawal of 500 usd to my paypal ( there was about 2200 usd in my account). It tok them about a week to tell me that I have broken the rules and not sending me the money. (supposed to have traded standard trades not mini) But i know it was only maybe the most 5 trades in 4 months with a small profit about 50 USD total ( also with a loss about 200 USD).
This week monday I have emailed them that I want to close my account and withdraw all of about 1900 USD. They wrote me back that only they can offer me 500 USD and close the account right away. ( the reason same, trading standard on mini account) I have wrote back that I’m not accepting the offer and wanted them to send me all the ‘’ illegal’’ trades I have made in numbers.
I have never got that from them, just the same offer.
My question is: do they have the right to do that? or this is legal?
Any suggestion or help welcomed.
I have saved all the emailes from them, also have a photo of the trading board with my name acct.#, brokers name, and amount in the account.
Please send comments and opinions of this situation.
So far the issue still pending and not resolved, communication with InvesttechFX is very limited, and they are not answering non of my questions why they are offering only a fraction os my current cash balance to withdraw.
Wow never had this problem so sorry I can’t be of much help.
However, I wouldn’t threaten them with closing your account until after you receive your funds.They might be more willing to help if they think they will get more business from you in the future.
As a matter of fact you are facing a reeeeeeeeeeeeealy bad situation. Forex market is in fact very slightly regulated that allows some Forex companies say … misbehave. So I would recommend you do the following: check if this company HAS to be regulated to operate as a brokerage company on the regional market. If there is a regulator, you contact your broker and ask them to have your problem solved without involving regulator. Usually it helps. If they refuse, contact the regulator.
If there isn’t a company to watch them I would not threaten them with pulling your money out (I have to agree with ChrisDSP).
There is not much to do, but you can try the following thing: ask them if you can send the money to another friend of yours (say you have no time for trading and want your friend to trade for you), who has another account in this company, internally. If you can (some companies allow this) register another account as somebody’s name and transfer the money (such transfer is usually free of charge). Then, once your identity does not annoy them any more, I keep on trading small positions rarely and withdraw money in small portions. It will take you some time, but eventually you may be able to withdraw most of your money.
If you cannot transfer the money internally, then you have nothing to do but try to pull the money out in small pieces.
I suggest that you raise the stakes by actually contacting their regulators with a complaint. A letter to them written by your attorney might help things also.
If all else fails simply go to the police and file a fraud complaint against them. Make sure you have screenshots of as much as possible first, save broker statements, emails, etc.
About a year ago there was a thread here with a guy receiving a similar treatment from them but after some threats things were resolved and the thread was deleted at Investtechs request. Make noise and let them know you will be trouble if they try to scam you.
I have filed a complaint with a BBB of Canada, Ministry of Consumer Services,
Ontario Securities Commission, forexpeacearmy.com and posted on many forums. Just found out that they are running a forex brokerage business from a virtual office in Toronto, which is illegal by Canadian laws.