FX Pro blocking margin payments

Broker Discussion Forex Brokers
1

Hi,

I am having an issue with FXPro. On my first days trading with them they witheld a desposit I made to cover a margin call on the basis they require credit card photo copies fore regulatory purposes. Heres the thing.

After withholding the desposit, they closed 2 positions that cost me a considerable loss, which would have been covered by the desposit. After closing the positions they emailed me advising they required the credit card photo identification. Between me depositing the cash it took them almost an hour to respond to tell me they had withheld it.

They did not withhold other payments, and accepted the payment without id after I told them they just cost me alot of money. Now I am concerned that this was not only a mistake on their part, but could have been contrived to profit from the withholding of the money.

Please contact me if you have had similar experiences

F

2

I haven’t experienced yet, but I find it strange that they accepted the first deposit without the photo ID. Perhaps more important, would your trade have recovered when the deposit was made in time. I always learned, Never pay a margin call! As it is the ultimate signal that your trade is no good.

I think that it will be difficult to get your money back. It is probably in line with regulations, and if so building a case will be difficult. Where are they located?

3

They are a quality broker from the land of Cyprus.

4

Not if they block payments to cover margins and close positions to create an artificial loss. Can you trust a broker who closes positions whilst withholding deposits to cover the positions?

5

^^ I was joking.

I would never have a broker from Cyprus or any other random island nation!

Choose brokers from U.K U.S.A or Australia, this is much safer in my opinion.

6

Well, I never had a margin call, but I guess that they can do this only once. It sounds a bit strange, but I am afraid that you can’t do a lot about it anymore. Have you asked for compensation?

7

Yes you can. First they are regulated, withholding money for margin requests and closing positions which may allow them to profit is called Financial Fraud. I am within my rights to contact the Police in the UK. I also think making customers aware of their practices, which seem to be illegal or at least unlawful will make customers think twice about their broker service.

This was not some hard luck story where the trader is annoyed at his mistake. The trader acted to ensure that a positon was covered and the broker decided to block the desposit from hitting the account (it was sent already) on the basis of a random request for cc confirmation information.

You deposit account and its smotth running is critical to successful trading. If you cannot trust your broker to process payments to ensure that your trading strategies and obligations are met then you do not have a broker which you can trust to use for trading.

I hope they resolve this since I like the FXPro interface and it would be a shame if they destroy their reputation and avoid criminal investigation in the UK.

[B]Approved payment[/B]

Dear XXX,

Please find below details of your transaction:

TRANSACTION INFORMATION

TRANSACTION TYPE: deposit
PAYMENT METHOD: CC
USER NUMBER (LOGIN): XXXX
CLIENT’S NAME: XX
TRANSACTION DATE: 2013-02-18 11:11:15
CREDIT DATE: 2013-02-18 11:26:16
REQUESTED AMOUNT:XX
APPROVED AMOUNT: XX
EFFECTIVE AMOUNT: XX
BENEFICIARY NAME:XX
TRANSACTION ID: 1283734713

If you have any further questions regarding this transaction please contact our Accounts Department at or by phone on +357 25 969 200

Kindest Regards,
FxPro Customer Service

FxPro Financial Services Ltd is authorised and regulated by the CySEC

[B]Blocked payment[/B]

Dear Client,

May we kindly ask you to send us a clear colour scanned copy of the front and back of your credit card 4xxxxxxxxxxxXXXXX for security verification so that we can investigate your case with our card processing company.

Please upload the images through the relevant section of your “FXPRO DIRECT”.

IMPORTANT
Please black out the 2nd to 12th numbers on your credit card image front and if there – on the back. Also black out the three digit CVV number from the back of your credit card image.

You are kindly requested to check the scanned copies are clear before sending them to our office in order to avoid unnecessary delays.

Best Regards,

Marina Constantinou | Client Accounting Officer |
Tel: +357 25 969 200 | Direct: +357 25 969 232
FxPro UK
13-14 Basinghall Str
City of London,
EC2V 5BQ FxPro Financial Services
1 Karyatidon, Ypsonas
4180, Cyprus FxPro Australia
15 Lime St, S306,
Sydney, NSW