Lot-Forex.com is a broker that is known for its shadiness and lack of professionalism. Simply visiting their website is enough to turn away potential clients. It would appear that this forex broker is aware of every tactic that can be used to defraud customers and is using them all at once.
This broker’s website is plagued with broken links, broken images, and other types of technical issues. The process of creating an account and evaluating their services was a complete and utter disaster. Additionally, this broker does not provide any trading conditions for their clients.
You don’t even need to read the whole review to understand that Lot-Forex.com is a fraud; you already know this. Read this review of Lot-Forex.com to learn the reasons why this broker is a scam. However, if you are interested in knowing why this broker is a scam, you should read this review.
Lot-Forex.com License and Regulation
Lot-Forex.com, a brokerage firm claiming to be based in Cyprus, asserts that it operates under the supervision of CySEC, which is renowned for being one of the world’s top forex regulators. However, upon inspecting their website and noticing its poor quality, the user became convinced that the broker lacked a valid license from CySEC. Their suspicion was confirmed when they consulted the CySEC register, which revealed that Lot-Forex.com is an unregulated broker without any licensing credentials. Evidently, the broker is engaging in deceptive practices by showcasing a fraudulent certificate on their website.
It is highly probable that once CySEC becomes aware of this unscrupulous operation, it will issue a warning against Lot-Forex.com. This type of behavior is unacceptable and harmful to traders who may be misled by the false certification displayed on the broker’s website.
In order to safeguard oneself when engaging with a broker, it is essential to conduct due diligence. Firstly, it is important to examine the broker’s address, as it determines the jurisdiction under which they fall. Brokers located in offshore areas like the Marshall Islands or St. Vincent and the Grenadines should be avoided.
Furthermore, verifying whether a broker possesses a valid license is crucial. Unregulated and unlicensed brokers pose significant risks as they can potentially steal funds through hidden charges and compromise private data.
Regulatory authorities such as CySEC (Cyprus Securities and Exchange Commission) and FCA (Financial Conduct Authority) enforce a set of rules and regulations designed to protect the interests of users and prevent deception by brokers. Adhering to these regulations ensures a safer trading experience for individuals.
Lot-Forex.com Trading Conditions
Even though the license of a broker can tell you a lot about its reliability, the second-most important factor is its trading conditions. What trading platform does it offer? What’s the minimum deposit limit? We’ll discuss these factors in detail to determine whether Lot-Forex.com is a reliable broker or not:
Trading Platform
Lot-forex.com claims to offer the popular MetaTrader 4 and MetaTrader 4 platforms to its clients. However, when I checked those platforms, I realised that they don’t offer real trading accounts on these platforms. You can only use a demo account on those platforms.
So, Lot-Forex.com is falsely claiming to offer MT4 and MT5 to its clients.
The most popular trading platforms in the industry are Metatrader 4 and Metatrader 5. They pack a lot of features and benefits while providing excellent customer support. That’s why around 80% of the industry uses these platforms.
This broker is trying to use the popularity and reputation of MT platforms to seem reliable. It doesn’t have a trading platform to offer, which is a sign that Lot-Forex.com is definitely a scam.
Minimum Deposit
First of all, you can’t trust any claims a shady broker makes. Moreover, as all the claims this broker made have been proven false, there’s no reason to trust their further claims.
However, I will mention the trading conditions this broker claims to offer as they are ridden with red flags.
The minimum deposit requirement of Lot-Forex.com is $1000. Most regulated brokers keep their minimum deposit requirements around $100 or $50. That’s because they want to give their new users a chance to experience their services without making a big financial commitment.
A high minimum deposit usually indicates that the broker is a scam.
On the other hand, shady brokers don’t want you to test out their services, usually because they are terrible. They force you to invest a heavy amount at the start so they can steal at least that amount from you. You should stay away from brokers that have high minimum deposits.
Leverage and Spreads
It is simply incredible that this broker provides its customers with a maximum leverage of 1:1000. Even for a seasoned trader, so large leverage presents an unacceptable level of risk.
You should use extreme caution when dealing with a broker who provides a very high leverage level. A large number of financial regulators in a variety of locations have put limits on the amount of leverage that brokers are allowed to give to their customers.
In the United States, for instance, the highest possible leverage ratio that a broker can offer is 1:50.
Because having a high leverage ratio can cause you to suffer enormous losses very fast, they have imposed certain restrictions. These kinds of leverage ratios can be extremely risky, particularly for beginning traders.
Since Lot-Forex.com does not actually offer a trading platform, there is no information that can be found regarding the spreads that it does provide.
Lot-Forex.com Payment Methods and Charges
Transaction Methods
There is no information provided on the Lot-Forex.com website regarding the various payment methods that are accepted. On the other hand, it has stipulated that any requests for withdrawals that it receives after 10:00 am will be processed the next day. In addition, all of the withdrawal requests that you submit before ten in the morning will be handled on the same day.
My ability to remark on this broker’s transaction procedures is limited because the broker has chosen to keep its processes a secret.
Fees
Like most forex scams, Lot-Forex.com has kept its fee-related information hidden from its clients. Even though I went through their terms and conditions, I didn’t find any information regarding the fees they charge.
Usually, when a broker keeps such information hidden, the broker turns out to be a scam. Reliable brokers don’t keep their fee-related information hidden because they don’t need to. Only scams resort to such shady tactics of deception.
Bonus Offers
Although I didn’t find any promotional offers on their website, I can’t say for sure that they don’t offer bonuses.
You shouldn’t trust a broker simply because it offers bonuses. Bonuses can be quite dangerous as they allow the broker to impose certain restrictions on withdrawal without the user knowing about them. Forex scams use bonuses to lure people into signing up on their platforms too.
Is Lot-Forex.com a Scam? Yes!
Over the course of the past several years, the foreign exchange market has witnessed phenomenal growth. Because of this, a wide variety of different scams have also made their way into this industry. Typically, a con artist will target inexperienced traders by providing them with incentive offers and making false claims in the hope that they will sign up on their platform. These brokers typically contain terms and conditions that are unjust, but individuals rarely read them before agreeing to such terms and conditions.
When a person ultimately registers for the service and makes a deposit into their account, the broker is free to do whatever they choose with the account. They can take the user’s money by charging them secret fees, or they can steal the user’s personal information.
In most cases, these brokers conduct their business from offshore locations such as Saint Vincent. Since these areas lack the financial regulators that are present in the United States and the European Union, they have become safe havens for dodgy forex brokers.
Lot-Forex.com Review: Conclusion
There is no doubt that Lot-Forex.com is a fraudulent company. This broker has a terrible website that is fraught with a variety of different technical concerns. On the other side, the broker is dishonest about its licensing by presenting a forged certificate issued by CySEC. There is no justification for putting your faith in this broker. Keep your distance from it!
I really hope that you found my analysis of Lot-Forex.com to be helpful in reaching a conclusion about this broker. There are numerous cons in the foreign exchange market that are comparable to this one. Before signing up with a new broker, it is in your best interest to maintain vigilance and conduct some research.
