Verified Trader – Scam or Not

Best Binary Options Brokers 2020:
  • Binarium
    Binarium

    Top Binary Options Broker 2020!
    Perfect For Beginners and Middle-Leveled Traders!
    Free Education How To Trade!
    Free Demo Account!
    Big Sign-up Bonus!

  • Binomo
    Binomo

    Good Choice For Experienced Traders!

You Deserve To Live More, And Work Less…

Time freedom, money freedom & location freedom… It’s all possible thanks to the internet & I’ve set this website up to show you how the average person can actually achieve it.

Hey there! My name’s Dale and I’m the founder of Living More Working Less, the website which I set up with the primary goal of helping you to do exactly that…

Live more, and work less…

But I know what you’re probably thinking – who am I & how am I qualified to help you achieve that goal?

Well the truth is I’m actually just a pretty average guy – except for the fact that in 2020 I was able to leave my job as an electrician after discovering how to legitimately earn a full-time income from the internet instead… Yep – without any previous experience whatsoever…

Now not only am I earning more than I did back at my job, but I’m also able to work less hours & work them from wherever I like – something that I never dreamed could be possible.

And today my mission is simple – to help YOU do the same

So to get started, begin by choosing your goal below:

Or if you’d like to find out more about who I am first, you can read about me right here.

And Yes, It Really Is Possible To Earn Online…

I’ll admit that even to this very day the phrase “make money online” still sends shivers down to spine – and the reason for that is because there’s simply so much misinformation out there.

For every person that’s out there looking to make money it almost seems as if there’s 5 others looking to take advantage of them…

Best Binary Options Brokers 2020:
  • Binarium
    Binarium

    Top Binary Options Broker 2020!
    Perfect For Beginners and Middle-Leveled Traders!
    Free Education How To Trade!
    Free Demo Account!
    Big Sign-up Bonus!

  • Binomo
    Binomo

    Good Choice For Experienced Traders!

It’s sad but true – and I can say that after exposing over 500+ scams here on this blog…

I’ve seen the countless systems that promise to provide the answer to “quick & easy push-button riches” but pressure people into handing over their own hard-earned cash first…

And I’ve also seen the so-called “gurus” luring people into their slick schemes…

It’s safe to say it’s hard to know who to trust when it comes to making money online, but the good news is that there ARE actually legitimate ways that you really can make money online…

And you can rest assured that unlike most other people online I’m not interested in trying to sell you an overly expensive silver-bullet system that claims to have the answer to overnight internet riches… Or some sort of scheme through which you have to “recruit friends”…

My intention is to simply help you get started by pointing you in the direction of the things that actually work and steering you clear of the things that don’t.

So if you’re ready to get started then be sure to check out my FREE guide below:

There’s no cost & it will explain step-by-step the best way to find great success. ��

Or if you’d still like to learn a little more about me first, you can feel free to watch my interview below:

Trade Scam FAQ

Valve employees will never ask you to trade your items to them; this includes users who claim to work for Steam Support.

Users claiming to be a Valve employee, accounts asking to verify your items, and users who send you a message which insist you need to trade your items to them for investigation or security reasons should immediately be reported for trade scams.

What is a trade scam?

A trade scam is when a Steam user convinces another user to make a deal (trade, gift or market transaction) under false pretenses. Scams usually involve deception in order to convince a user that they are getting a good or fair deal when in fact they are not.

For more information on scams please read below and view our Recommended Trading Practices article and the Steam Item Restoration Policy.

What are the best ways to avoid getting scammed?

  • You don’t need to rush to complete a trade. If you recieve an offer, take your time to thouroughly review the contents. Once you confirm a trade offer, there is no going back.
  • Ignore pressure to trust the other user. If you are trading with a user who insists that you trust them, they are probably attempting to scam you. Please note that +rep comments can be generated easily by malicious groups.
  • Mouse over every item to ensure that the item/gift properties are correct. Information about the item/gift will be shown in the tooltip, including the quality, name, description and any effects.
  • Do not trade items in separate or future trades. If another user requests that you do multiple trades, they could be scamming. Always insist to complete the entire trade in one single offer.
  • Ensure that you are trading with the correct user. Scammers may try to impersonate your friends and other trusted traders. It is your responsibility to know who you are trading with.

What kind of trades should I avoid?

Do not trade for anything that cannot be added into the Steam trading window. The most common examples of these types of trades include:

  • Trading items/gifts for money outside of the Steam Community market. You cannot add Wallet credit, PayPal, gift cards or any form of money to trade offers.
  • Trading items/gifts for CD Keys. You cannot add a CD Key into the trade window. CD Keys that are offered can be for a different game, fake, used or region restricted.
  • Trading items/gifts for nothing in return in the first trade and expecting to get an item or gift in a later trade. There is no reason to not trade everything in one trade. You may add unlimited items/gifts to a single trade. A common example of this is using a middleman to facilitate a one-sided trade.

For more information, please see our Steam Trading FAQ and Recommended Trading Practices articles.

What specific scams should I be aware of?

Users should always double check the contents of a proposed trade before accepting, even if that means inspecting each item in a multiple-item trade. Be sure to verify the item and its quality before confirming any trade.

There are a number of common scams users may attempt to deceive you out of your items:

  • Item switching – You discuss a trade offer with another user beforehand, and the item they put into the trade offer looks like the item, but isn’t as valuable as the original offer.
  • CS:GO quality switch – A user offers you a specific quality CS:GO item (Factory New), but the item in the offer is of a lower quality (Field-Tested). Often the item switch is made in a counter-offer.
  • Hidden item – A user offers a trade that includes a lot of your low value items (cards, crates, etc.), but also includes a high value item hidden somewhere in the middle.
  • Begging/spamming – A user spams trade offers requesting high value items for nothing or little in return in hopes that you mis-click and accept the offer.
  • Forward confirmation email – A user convinces you to forward your confirmation email to their email address. They then confirm the trade using the link in the message. Do not forward trade confirmation emails or links and do not provide additional information to another user asking for information used for your account.
  • Money For Items – A user offers to send you money in the form of PayPal, PaySafeCard, Steam Wallet codes, Steam Digital Gift Cards, etc. The scammer usually sends you a fake payment code after the trade is completed. In the case of Steam Digital Gift Cards, the scammer may even appear to pay you first, but be planning to charge the Digital Gift Card back later or buy the gift card with a fraudulent credit card.
  • CD keys for items – A user offers to send you a Wallet Credit code or a game’s CD Key in exchange for your items. The scammer usually sends you a fake CD Key after the trade is completed.
  • Users offering item duplication – A user offers to duplicate your items, but first you have to trade away your items. After receiving your items, the user blocks your messages and keeps your items.
  • Users acting as trade bots – A user impersonating a trade bot(s) tells you that you have to trade them some items. After you’ve accepted the trade and sent the user the items, they block you on Steam and keep your items.
  • Middleman trades – If you are performing a trade that sits within Steam’s trading guidelines, there is no need for a middleman. Any time you choose to trust any other user with one of your items, you are allowing them the opportunity to scam you.
  • Verification accounts – A user wants you to trade an item for “verification”. The user will give a made-up excuse to convince you to do this, such as needing to make sure the item is not a duplicate or to ensure the item is not bugged. These users will then keep your item(s) and block you, getting away with the items.
  • Fund transfer via the Steam Market – A user offers to send you Steam Wallet funds by buying one of your low value items at a high price in the market. Most of these offers are done using fraudulent funds.
  • Voice comm software/join our tournament team (malware) – A user convinces you to install malware hidden in a voice communication, anti-cheat, or other type of software by claiming that they need you to install it so that you can play in a tournament.
  • Offering fraudulent items for resale – Malicious users will sometimes acquire unusual items (often with fraudulent credit cards) and then attempt to trade them to you for more well known items with established value. Prior to doing this they may also manipulate the Steam Community Market price of these unusual items by using stolen credit cards. Watch out for claims that they will overpay or that you can quicksell (qs) the items for an immediate profit. Consider why the user would be willing to take a loss by trading the items to you instead of selling them themselves. As an excuse, these users will sometimes say they need tradeable keys or other tradeable items. Do not accept these trades as the value of the unusual items has been falsified and the subsequent Market transactions may be reversed due to fraudulent activity.

What is the difference between a scam and a hijack?

A scam is when a user deceives another user into willingly (at the time) completing a trade, market transaction, or sending a gift. After the trade is completed, the person who was scammed either doesn’t receive what was promised, or the items involved are not what was agreed upon.

A hijacking is when an account or a computer is taken over by someone else without the account owner’s permission. This is often done with malware or a virus. In some cases the hijacker will convince a user to hand over their login information by providing a fake Steam or a third-party trading site. Hijackers most commonly steal accounts to gain items or games, and sometimes commit fraud. Hijackers often use stolen accounts to commit more hijackings. In these cases, we lock the account until the rightful owner contacts us about the hijacking.

Additional information about hijacked accounts can be found in our Reclaiming a Stolen Steam Account article.

How do I report a scammer?

If you’ve been scammed or another user has attempted to scam you, please use the Report feature built into Steam. This is the best way to bring scammers to our attention so we may take action:

  • Go to the profile of the offending user
  • Click the ‘More’ drop-down located at the top right of the page
  • Choose ‘Report Violation’
  • Select the violation (example, ‘Attempted Trade Scam’) and hit ‘Submit Report’

If a user you’ve reported for scamming has had action taken on their account, you’ll be notified with a message in Steam.

What action is taken when a scammer is found?

If evidence exists that a Steam user is scamming, Steam Support will ban the account from using the Steam Community, including trading and using the Steam Market. The length of the ban is dependent on the severity and quantity of the scams. In some cases, scammers will be banned permanently. If a scammer has multiple accounts, all of their accounts may be subject to the ban as well.

In rare cases, scammers will hijack an account and use it to commit scams, fraud, or other hijackings. In these cases, we lock the account until the rightful owner contacts us and we will take appropriate action.

Why doesn’t Steam return scammed items?

Our community assigns an item a value that is at least partially determined by that item’s scarcity. If more copies of the item are added to the economy through inventory rollbacks, the value of every other instance of that item would be reduced.

We sympathize with people who fall victim to scams, but we provide enough information on our website and within our trading system to help users make good trading decisions. For more information on this, please see this post on our store blog.

Upon receiving a trade ban, the offending account also gets placed into trade probation as well. Probationary status allows other users to determine if a user has committed scams in the past so they can make better decisions about whether or not they want to trade with users who have scammed. Please note, probationary status does not prevent users from trading.

Why won’t Steam Support provide information on why an account was trade banned or locked?

By limiting the provided data, Steam Support prevents malicious users from learning how to avoid getting caught in the future. Steam Support relies on several data points to arrive at a decision to ban or lock an account. Users intent on committing malicious activity, most often done to other users, are constantly trying to gain this data to use in future scams, fraud and hijackings.

Is Your Forex Broker a Scam?

If you do an internet search on forex broker scams, the number of results is staggering. While the forex market is slowly becoming more regulated, there are many unscrupulous brokers who should not be in business.

When you’re looking to trade forex, it’s important to identify brokers who are reliable and viable, and to avoid the ones that are not. In order to sort out the strong brokers from the weak and the reputable ones from those with shady dealings, we must go through a series of steps before depositing a large amount of capital with a broker.

Trading is hard enough in itself, but when a broker implements practices that work against the trader, making a profit can be nearly impossible.

Key Takeaways

  • If your broker does not respond to you, it may be a red flag that he or she is not looking out for your best interests.
  • To make sure you’re not being duped by a shady broker, do your research, make sure there are no complaints, and read through all the fine print on documents.
  • Try opening a mini account with a small balance first, and make trades for a month before attempting a withdrawal.
  • If you see buy and sell trades for securities that don’t fit your objectives, your broker may be churning.
  • If you are stuck with a bad broker, review all your documents and discuss your course of action before taking more drastic measures.

Separating Forex Fact From Fiction

When researching a potential forex broker, traders must learn to separate fact from fiction. For instance, faced with all sorts of forums posts, articles, and disgruntled comments about a broker, we could assume that all traders fail and never make a profit. The traders that fail to make profits then post content online that blames the broker (or some other outside influence) for their own failed strategies.

One common complaint from traders is that a broker was intentionally trying to cause a loss in the form of statements such as, “As soon as I placed the trade, the direction of the market reversed” or “The broker stop hunted my positions,” and “I always had slippage on my orders, and never in my favor.” These types of experiences are common among traders and it is quite possible that the broker is not at fault.

Rookie Traders

It is also entirely possible that new forex traders fail to trade with a tested strategy or trading plan. Instead, they make trades based on psychology (e.g., if a trader feels the market has to move in one direction or the other) and there is essentially a 50% chance they will be correct.

When the rookie trader enters a position, they are often entering when their emotions are waning. Experienced traders are aware of these junior tendencies and step in, taking the trade the other way. This befuddles new traders and leaves them feeling that the market—or their brokers—are out to get them and take their individual profits. Most of the time, this is not the case. It is simply a failure by the trader to understand market dynamics.

Broker Failures

On occasion, losses are the broker’s fault. This can occur when a broker attempts to rack up trading commissions at the client’s expense. There have been reports of brokers arbitrarily moving quoted rates to trigger stop orders when other brokers’ rates have not moved to that price.

Luckily for traders, this type of situation is an outlier and not likely to occur. One must remember that trading is usually not a zero-sum game, and brokers primarily make commissions with increased trading volumes. Overall, it is in the best interest of brokers to have long-term clients who trade regularly and thus, sustain capital or make a profit.

Behavioral Trading

The slippage issue can often be attributed to behavioral economics. It is common practice for inexperienced traders to panic. They fear missing a move, so they hit their buy key, or they fear losing more and they hit the sell key.

In volatile exchange rate environments, the broker cannot ensure an order will be executed at the desired price. This results in sharp movements and slippage. The same is true for stop or limit orders. Some brokers guarantee stop and limit order fills, while others do not.

Even in more transparent markets, slippage happens, markets move, and we don’t always get the price we want.

Communication Is Key

Real problems can begin to develop when communication between a trader and a broker begins to break down. If a trader does not receive responses from their broker or the broker provides vague answers to a trader’s questions, these are common red flags that a broker may not be looking out for the client’s best interest.

Issues of this nature should be resolved and explained to the trader, and the broker should also be helpful and display good customer relations. One of the most detrimental issues that may arise between a broker and a trader is the trader’s inability to withdraw money from an account.

Broker Research Protects You

Protecting yourself from unscrupulous brokers in the first place is ideal. The following steps should help:

  • Do an online search for reviews of the broker. A generic internet search can provide insights into whether negative comments could just be a disgruntled trader or something more serious. A good supplement to this type of search is BrokerCheck from the Financial Industry Regulatory Authority (FINRA), which indicates whether there are outstanding legal actions against the broker. And if appropriate, gain a clearer understanding of the U.S. regulations for forex brokers.
  • Make sure there are no complaints about not being able to withdraw funds. If there are, contact the user if possible and ask them about their experience.
  • Read through all the fine print of the documents when opening an account. Incentives to open an account can often be used against the trader when attempting to withdraw funds. For instance, if a trader deposits $10,000 and gets a $2,000 bonus, and then the trader loses money and attempts to withdraw some remaining funds, the broker may say they cannot withdraw the bonus funds. Reading the fine print will help make sure you understand all contingencies in these types of instances.
  • If you are satisfied with your research on a particular broker, open a mini account or an account with a small amount of capital. Trade it for a month or more, and then attempt to make a withdrawal. If everything has gone well, it should be relatively safe to deposit more funds. If you have problems, attempt to discuss them with the broker. If that fails, move on and post a detailed account of your experience online so others can learn from your experience.

It should be pointed out that a broker’s size cannot be used to determine the level of risk involved. While larger brokers grow by providing a certain standard of service, the 2008-2009 financial crisis taught us that a big or popular firm isn’t always safe.

The Temptation to Churn

Brokers or planners who are paid commissions for buying and selling securities can sometimes succumb to the temptation to effect transactions simply for the purpose of generating a commission. Those who do this excessively can be found guilty of churning—a term coined by the Securities and Exchange Commission (SEC) that denotes when a broker places trades for a purpose other than to benefit the client. Those who are found guilty of this can face fines, reprimands, suspension, dismissal, disbarment, or even criminal sanctions in some cases.

SEC Defines Churning

The SEC defines churning in the following manner:

Churning occurs when a broker engages in excessive buying and selling of securities in a customer’s account chiefly to generate commissions that benefit the broker. For churning to occur, the broker must exercise control over the investment decisions in the customer’s account, such as through a formal written discretionary agreement. Frequent in-and-out purchases and sales of securities that don’t appear necessary to fulfill the customer’s investment goals may be evidence of churning. Churning is illegal and unethical. It can violate SEC Rule 15c1-7 and other securities laws.

The key to remember here is that the trades that are placed are not increasing your account value. If you have given your broker trading authority over your account, then the possibility of churning can only exist if they are trading your account heavily, and your balance either remains the same or decreases in value over time.

Of course, it is possible that your broker may be genuinely attempting to grow your assets, but you need to find out exactly what they are doing and why. If you are calling the shots and the broker is following your instructions, then that cannot be classified as churning.

Evaluate Your Trades

One of the clearest signs of churning can be when you see buy and sell trades for securities that don’t fit your investment objectives. For example, if your objective is to generate a current stable income, then you should not be seeing buy and sell trades on your statements for small-cap equity or technology stocks or funds.

Churning with derivatives such as put and call options can be even harder to spot, as these instruments can be used to accomplish a variety of objectives. But buying and selling puts and calls should, in most cases, only be happening if you have a high-risk tolerance. Selling calls and puts can generate current income as long as it is done prudently.

How Regulators Evaluate Churning

An arbitration panel will consider several factors when they conduct hearings to determine whether a broker has been churning an account. They will examine the trades that were placed in light of the client’s level of education, experience, and sophistication as well as the nature of the client’s relationship with the broker. They will also weigh the number of solicited versus unsolicited trades and the dollar amount of commissions that have been generated as compared to the client’s gains or losses as a result of these trades.

There are times when it may seem like your broker may be churning your account, but this may not necessarily be the case. If you have questions about this and feel uneasy about what your advisor is doing with your money, then don’t hesitate to consult a securities attorney or file a complaint on the SEC’s website.

Already Stuck With a Bad Broker?

Unfortunately, options are very limited at this stage. However, there are a few things you can do. First, read through all documents to make sure your broker is actually in the wrong. If you have missed something or failed to read the documents you signed, you may have to assume the blame.

Next, discuss the course of action you will take if the broker does not adequately answer your questions or provide a withdrawal. Steps may include posting comments online or reporting the broker to FINRA or the appropriate regulatory body in your country.

The Bottom Line

While traders may blame brokers for their losses, there are times when brokers really are at fault. A trader needs to be thorough and conduct research on a broker before opening an account and if the research turns up positive for the broker, then a small deposit should be made, followed by a few trades and then a withdrawal. If this goes well, then a larger deposit can be made.

However, if you are already in a problematic situation, you should verify that the broker is conducting illegal activity (such as churning), attempt to have your questions answered, and if all else fails, and/or report the person to the SEC, FINRA, or another regulatory body that could enforce action against them.

Best Binary Options Brokers 2020:
  • Binarium
    Binarium

    Top Binary Options Broker 2020!
    Perfect For Beginners and Middle-Leveled Traders!
    Free Education How To Trade!
    Free Demo Account!
    Big Sign-up Bonus!

  • Binomo
    Binomo

    Good Choice For Experienced Traders!

Like this post? Please share to your friends:
Binary Options Trading, Strategies and Robots
Leave a Reply

;-) :| :x :twisted: :smile: :shock: :sad: :roll: :razz: :oops: :o :mrgreen: :lol: :idea: :grin: :evil: :cry: :cool: :arrow: :???: :?: :!: