7xFX Reviews – The supposed financial services provider 7xFX presents itself as an online broker on its online presence https://7xfx.com/. Yet, on 20/10/2021, the FCA issued a warning notice about 7xFX.

You encounter problems with the payout of your investment? Our lawyers at the Herfurtner law firm can help you with problems with the provider 7xFX.

7xFX – Reviews on the online broker from St. Vincent

Thanks to a variety of online trading platforms, such as 7xFX, investing in today’s unpredictable financial market has never been easier. Choosing an online platform that suits your unique investment needs can be time consuming and demotivating because there are so many different opportunities out there.

Key deciding factors The following decision-making criteria are significant for you as an investor when considering investing with 7xFX.

  • Access to international stock exchanges is becoming more convenient and affordable for investors through online investments.
  • When trading online, you can use a number of order types.
  • A suitable address for investors who want to enquire about securities, futures, options and cryptocurrencies is a homepage like this one.

Risks and dangers associated with online trading

Just as the stock market and other financial markets are vulnerable, so too is online trading. As an investor, it is therefore advisable to check 7xFX with regard to the following questions:

  • Insufficient expertise about the product
  • Service providers that are unstable
  • Disadvantages that arise from careless or incompetent trading
  • Risks and dangers that can be associated with such an offer, for example conceivable losing trades
  • The dangers of online security

In addition, selecting a trading service based on a proven track record of safe money management is fundamental to minimising risk. This will ensure that you can navigate the internet trading arena with ease. Investors who are skilled can definitely make a living from this and their earnings may be unrestricted if they have the right tactics.

The danger of losing more investments when trading on the stock exchange than has been deposited into the bank account of the provider 7xFX should be understandable to anyone who starts trading.

Cold calling by phone

Have you in the past taken a phone call from a stranger who has presented you with a special offer? Never answer. Unwelcome calls are forbidden. “Cold calling” is expressly forbidden at investment service providers and other companies such as 7xFX.

There are also groups claiming to work for professional web trading platforms to get people to give them their personal information. Often, after your first deposit, you are instructed to deposit more capital. Phone scammers are always coming up with new ways to rob investors of their savings, cash and other valuables.

A common method used by the lawbreakers is to call their victims at inconvenient times of the day – for example, very early in the morning or very late at night – when they are most vulnerable. In addition, the criminals pretend at the beginning of the conversation that they and the possible fraud victim know each other.

The other option is to pretend to be customer-oriented when talking to the person they are trying to reach. Check that you are really dealing with the 7xFX company when they call you.

Ponzi scheme: How it works

A pyramid scheme is a type of financial fraud in which funds are collected from new investors and subsequently applied to distribute capital to the previous victims. The masterminds of Ponzi schemes usually claim that they will invest your money and earn substantial returns without putting your money at risk.

Nevertheless, in many Ponzi schemes, the fraudsters do not actually invest the assets they receive. Instead, it is used to compensate people who paid in earlier and they can keep some of the money for themselves. So pay attention to the risk-reward ratio in all investments – including 7xFX.

Ponzi schemes require a steady inflow of new money to keep running, as they have low or no actual profits. Many of these schemes fail when it becomes tedious to generate new backers or when a substantial number of investors drop out. The attributes of many so-called Ponzi scams are quite similar.

Among the clues to look out for when investing with a service provider like 7xFX are:

  • Risk-free profits with little or no volatility. Every investment involves a certain risk, and the riskier an investment is, the more likely it is to yield a high return.
  • Investments that are not registered with financial regulators. In the most common cases, Ponzi schemes are unregistered investments that are not supervised by official authorities such as Bafin.
  • Selling without authorisation: Investment professionals and firms must be licensed or registered in accordance with federal and state securities regulations. Most Ponzi schemes involve unlicensed individuals or firms.
  • The payment of returns is not working? If you are not receiving payments at all or are having difficulty cashing out, be vigilant. Ponzi scheme operators may be trying to encourage participants to stay by guaranteeing even greater returns if they do not withdraw money.
  • Overly predictable outcomes. Over time, investments tend to rise and fall. Any investment that consistently produces high returns detached from market conditions should be evaluated with a high degree of disbelief.
  • Strategies that are difficult to identify. Keep your money out of the stock market unless you know enough about it.
  • Is there a problem with the documentation? If errors come to light on your bank statement, it may be a clue that your money is not being invested according to plan.

Capital Investment Scam

Before investing capital with 7xFX, you should make sure to find out all the important information about the company. Investment fraud is a special type of fraud. The perpetrator promises or deceives a larger group of people about a profitable investment in the capital market.

Capital investment fraud is sanctioned by a prison sentence of up to three years or a fine according to § 264a StGB. The following products and tactics may be considered as capital investment fraud:

  • Unintentional telephone advertising calls, so-called cold calling
  • Boiler room scam, a cold call in which investors are sought by telephone call
  • Investments in securities, funds and certificates
  • Participations in companies

Those who have fallen for investment fraudsters have in many cases invested a lot of assets. What can you do in case of investment fraud?

  1. Involve the police and financial supervisory authorities through a lawyer: There are collective police proceedings against some fraudulent companies in the Federal Republic of Germany and also abroad. The police are authorised to have the accounts of the fraudsters blocked and the money seized. In addition, the prosecuting authority is called in.
  2. Claim damages: Clients who were not advised correctly can assert claims for damages against the investment advisor.
  3. Withdraw or contest contracts: Affected persons who have concluded a contract can withdraw or contest it in the case of investment fraud.
  4. Recover assets from 7xFX: If payments have been processed via credit card, this can be recovered in several cases by using a law firm. In the case of transfers from the current account, this can usually be recovered by bank order.

Recovery Scam: Beware of dubious offers of help

Anyone who has ever lost assets to a fraudulent investment platform knows how devastating it can be. As if that wasn’t horrible enough, the criminals behind the bogus scheme will contact you by email or phone call within a short period of time.

This time, however, they do not pretend to be brokers from 7xFX, but guarantee to help recover the stolen money in exchange for an upfront payment. Many scammers even appear to have been hired or engaged by reputable organisations such as a financial regulator.

After stealing your personal data, the rip-off artists usually pose as good Samaritans and promise to assist you in recovering the stolen money. Even if you have invested money with a service provider like 7xFX, your contact details may be stolen.

Anyone who has lost a large amount of money is usually desperate. The criminals take advantage of people’s desperation by posing as “recovery companies” and providing their services under the pretext of assisting them to recover their funds. This expresses, they assure in a dubious manner that they will get back the lost money.

Getting your deposit back from 7xFX?

As soon as you suspect that you have been defrauded in online trading, it is advisable to block additional payments immediately. This is especially true if the trader suggests additional payments to compensate for losses. Moreover, one should try to recover the lost capital.

In doing so, aggrieved parties can seek investor protection and contact the lawyers of our law firm. Our law firm examines civil law as well as criminal law options and possible claims for damages against the service provider and against involved payment service providers such as banking institutions.

“It is far from being an exceptional case when a private investor loses money in online trading. Quite a few investors are misled by the professional behaviour of the financial providers and do not realise in time that they are not responsible for their loss.”

Our advice is therefore not to despair, but to react quickly and with commitment. Because the prospect of recovering the lost capital is often greater than the aggrieved investors assume. Would you like to talk to one of our lawyers about 7xFX? Then click here to go directly to our contact area.