There is a lot more going on than what most brokers reveal on their websites, and with the XM Scam Broker, they prove this with the numerous reviews and customer complaints that have been the majority in nearly all reviews and forums. Although they make plenty of promises about 1-day withdrawals and competitive options, they couldn’t be further from exactly that.
Name: XM Broker
Regulated: Yes – CySEC, FSP, ASIC
Minimum Deposit: $5
Free Demo Account: Yes
US Clients: No
Platform: XEM MT4 Terminal, XEM Web, iPhone, iPod, Droid, and Mobile Trader, Mirror Trader
Automated Trading: Yes
357 250 29900
At first glance, it really does look like a promising broker. Considering that they are regulated by the CySEC, FSP, and ASIC, one would think that they could be trusted. Unfortunately, from my experience and what I have seen of late, regulation proves absolutely nothing as it seems that a lot of the regulated brokers are getting away with robbing their traders by means of loopholes in their terms and major delays.
Who is XM Scam Broker?
This is a registered trade name of Trading Point of Financial Instruments Ltd located in Cyprus. They are a CySEC regulated and FCA registered broker. Founded in 2009, this is yet another broker that had started off on the right track and since around 2013, has been taking the easy route and scamming their traders. With numerous complaints about their poor customer service, serious delays and absurd reasons to deny withdrawals and cancel accounts, they have quickly turned to a broker that cannot be trusted.
Trading Forex, precious metals, stock indices, and energies, they feature over 60 currency pairs and more than 100 financial instruments that can be traded both online and by phone. They have a Demo Account available which is automatically funded with $100,000 virtual currency to try out their system. What I want to note when it comes to demo accounts is that you should not trust them 100% as many are manipulated to give you the ease of mind that you are successful in your trading. Unfortunately, the moment you do decide to invest real money into the account, you realize that your results are far from what you experience with your demo account. I found several such complaints with their available demo account. This is a common tactic used by brokers in order to lure traders to invest and is definitely not the first that I see it. You should look onto the demo account as an opportunity to see if you are comfortable with the platform, rather than to see if you will make profitable trades.
The XM Broker Platform
Both demo and real trader’s trade on the same platforms, as many as 8 including the XEM MT4Terminal, XEM Web, iPhone, iPod, Droid, and Mobile Trader, Mirror Trader. The platform support market limit stop and trading orders as well as multi account management. The MT4 platform is widely popular among traders, though there are some that do not find it very user friendly.
Deposit and Withdrawals from the XM Broker
Here is the main problem when it comes to selecting a broker. The problem stems mainly from the issues traders face upon withdrawals. In the XM Broker website they state that the funds are kept in a Tier 1 segregated Barclays account. They also make claims that account funding is automated and funds are processed 24/7. This seems reasonable, but I’ve seen plenty of people that had their trading delayed due to issues with funding. They go on to claim same day withdrawals. I cannot even begin to detail the type of lie that this is. Some of the most serious complaints and accusations for this broker are exactly concerning their serious delays in withdrawals as well as denial of withdrawals due to loopholes in the terms as well as verification problems that seem impossible to get around.
What Traders are Saying about the XM Scam Broker
Though there are some positive reviews, they are very few and many seem to be fake. They provide little real information and are usually written in very limited English and detail. The negative comments and reviews, however, provide plenty of information and detail to prove that they are legitimate and very serious.
I have found pages upon pages of forum discussions, comments in the FPA website, and various other review sites. Complaints touch upon the lack of customer service by this broker and their interest in the traders up until they invest their money. After that, communication seems to be a serious problem. Customer service representatives are not knowledgeable, they can get rude when you get pushy for your withdrawal after numerous delays, and in some cases, just stop all communication altogether. The contact phone provided to traders does not seem to have anyone on the other side to answer.
A lot of the issues seem to come from the verification process. Though many brokers seem to have issues with this, the problems are usually resolved. Here it seems the verification process is impossible, basically locking your money with them, and in the end, terminating the account due to lack of verification. This, of course, happens mainly with accounts with higher profits.
Another issue I found was traders that have made big profits or are about to make a big profit on a trade face issues with the platform as if someone is manipulating the trades and close times. Trades are closed early or with a delay, causing what would be big profit trades to turn into big loss trades. With high spreads, harassment of traders to invest or re-invest money by associates, cancelling orders of big profit accounts, and delaying withdrawal requests or refusing them altogether, it’s pretty clear they are in no way ready to deal properly with their traders.
Perhaps in the past the XM Broker started off well, but over the last couple of years their true colors have shined and they have taken a serious turn for the worst by using typical scam broker tactics to fool their traders and rob them of their profits.