I always remember the lesson I learned from my mom since I was a kid; that it was never wrong to ask if you didn’t know something. Have you ever watched those YouTube videos where people are asked about fake news and they just go along with it? That is the problem with most people – they pretend to know everything and don’t want to ask or even say, ‘I don’t know’. With this kind of mentality, it is impossible to become successful in the Forex market since you can’t possibly know everything about it. For example, it is not possible to try out every single Forex broker out there since there are hundreds of them. That is why Forex broker reviews become so crucial to every Forex trader.
Of course, there are plenty of other aspects of the market that you can learn from others, but for now, we shall just focus on the Forex brokers themselves. Before you sign up with a Forex broker and commit your capital into their hands, it is very important that you feel confident and secure in your decision, and the key to that is through listening and learning from others. The last thing you want is to repeat the same mistakes and become a cautionary tale. Believe me, it is much less traumatic and hurtful if you can avoid the mistakes of others.
There is a lot of information you can learn about a Forex broker through reading broker reviews. However, the most important clues to look for include:
When it comes to money, you need to know whether the broker in question has had complaints regarding money transactions, especially withdrawals. Fraudulent brokers will have no problem taking your money, but they will take a round in circles if you try to make a withdrawal until you give up. Unfortunately, I have been in such a situation before but I made enough noise in several online forums that they ended up giving me my money back. Thanks to my complaints, not only did I get my money back, but I’m sure I helped a lot of people avoid my predicament. That is the most important information you can get from these Forex brokers ratings.
We don’t always consider the day-to-day quality of service before we sign up, but then quickly realize how unbearable it is to work under poor conditions. Some of the most common and significant complaints have to do with the:
As you can see, there are many dirty tricks regarding quality of service that you should be on the lookout for when going through the Forex company reviews.
After going through most of the reviews regarding a particular broker, the main idea is to find out how their former and current clients feel about the company in general. It is not possible to find a broker with a 100% positive record, but the best brokers are those with a high percentage of positive reviews. On the other hand, if most of their clients are advising against joining the company, then you should take their advice and run.
It would be very easy for me to simply ask that you Google reviews for a particular broker to find out what others have to say, but that would not be effective. The truth is that you can’t trust everything you read on the internet, something everyone knows by now going by the rate of fake news being released. It has become so bad that even the pope himself compared it to the lie of the serpent in the Garden of Eden according to the bible. If you think about it, how difficult would it be for you to fabricate a negative or positive review of a Forex broker? Probably not that difficult if you have the time.
FCA, CySEC, IFSC
Therefore, you too should not automatically believe every review you read on the internet about a Forex broker, whether positive or negative. I myself have first-hand knowledge that some Forex brokers pay individuals to create positive reviews about them just so they seem more trustworthy when they actually are not. You may be confused by now as to why I would go through the trouble of asking you to look for FX brokers reviews, only for me to turn around and tell you it’s all fake. That is not what I meant. Instead, you just need to be more keen and skeptical about what you read. Here are a few tips to help you tell the truth apart from the lies:
If you have ever seen any police investigative show, you know that they catch the liar by looking for inconsistencies. Liars tend to have inconsistent facts because they are making them up rather than recalling the truth. You can apply this principle to distinguish honest Forex broker reviews from the false ones. Consider this situation I observed recently: a Forex broker receives a positive review for quick processing of transactions, and then later another reviewer complains about slow processing times. One of those reviewers is lying, of course, because it can only be one situation or the other. Such inconsistencies should raise your eyebrows, and you should not take any of it to heart.
Another way to catch these inconsistencies is by looking at the responses. Most review websites will allow other members to leave comments and sometimes even the Forex brokers’ representatives will respond. A true reviewer with honest intentions won’t be afraid of giving away their account number. After all, there’s nothing anyone can do with that number unless they have the password withal. Observe these exchanges keenly because you get to learn, not only if the reviewer is telling the truth, but also whether the broker takes its clients’ complaints seriously.
For example, imagine if you’re going through one of the many Forex broker review websites and find that a particular broker is getting 5-star ratings all around. Really? Ask yourself if you have ever received perfect service, even from your favorite restaurant. Of course not. We all know that there is always something negative, but we learn to live with it and compromise. The same is true with Forex brokers. Even the best companies will have some quirks that irritate a few traders.
The bottom line is, doubt any string of 100% positive ratings, it simply cannot happen. I have been trading with the same FX broker for the past three years or so, and inasmuch as I trust them, I wouldn’t give them a 5-star rating in all areas. Personally, I find that their transaction fees are too high, but I choose to compromise and console myself that it’s the price of quality service.
On the other hand, do not dismiss overwhelming negative reviews as it is a sign that the broker has really terrible services. Worse still, perhaps they are a complete bucket shop and everyone who has had contact with them quickly realized it. That may seem like a double standard to ignore the positive and accepting the negative, but that is just how the world works. For example, if you saw that your Uber driver had a 1-star rating, would you get in? Probably not, right? There you go.
So be very distrustful of over-the-top positive top FX broker reviews, but take heed of the negative ones. After all, companies don’t usually spend time and money trashing the competition but rather on talking themselves up. It would, therefore, follow that it is unlikely a Forex broker would pay individuals to smear another company instead of using that money to pay for their own positive reviews.
I never care for any broker review websites that don’t require reviewers to sign up before leaving a review. I know that it is possible to open a fake account with fake details, but leaving the door completely open for anyone to just leave a comment shows that the website administrators just don’t care. The very best Forex broker reviews websites take a lot of caution to screen fake accounts and ensure the reviews are honest. They do this by checking the IP address of the reviewer to determine if they have multiple accounts and then suspend such accounts and their reviews. However, those websites that seem to be only interested in generating traffic are sometimes even created by the brokers just to build themselves up.
Even though I really want to give you my opinion of which review websites I rely on the most, I choose to remain Swiss. This post was not meant to promote any particular website but only to give you some insight into what you should be looking for when reviewing a broker. And with that, I’m out. (Drop the mic)
Get the most recent news at your inbox
Stay up to date with the financial markets everywhere you go. We won’t spam you.