Beware! RichMondSuper is an offshore broker! Your investment may be at risk.
RECOMMENDED FOREX BROKERS
Don’t put all your eggs in one basket. Open trading accounts with at least two brokers.
Holy cow! Now that is how you make an opening. The first thing you see when opening RichMondSuper is the skyline of New York, and a sprawling view of the city as the camera moves around the outskirts. The website itself is also clean, and well structured. Too bad that none of this counts for naught. RichMondSuper is one of those brokers that is really good at forging an illusion, and consequently hiding in plain sight. All of its shady business, and there is definitely something going on, is well concealed. Read on to find out the truth about the broker.
Upon completing the registration form, which was a simple thing to do, we were presented with an interesting user area that one the one side is slick but on the other loses the grandeur of the main site of RichMondSuper. Nevertheless, we found a decent web trader, decent for a shady broker that is, and were able to read some trading conditions.
The EUR/USD spread is around 8.9 pips, and no we are serious. It has been a while since we have come across such a ludicrous spread value. This cost of trade is absolutely a waste of time on the trader’s part. The leverage was surprisingly low at 1:100. The available tradeable assets are forex currency pairs, indices, stocks, cryptocurrencies, and commodities.
The website is available in English and German.
RICHMONDSUPER REGULATION AND SAFETY OF FUNDS
The relationship between the parties, i.e broker and user, are be governed by the laws of Saint Vincent and the Grenadines. This means that the broker must be regulated there; there is no way around a license. A broker must hold one in order to legally operate wherever it is located.
Saint Vincent and the Grenadines does have a banking regulator, but it does not have an FX one, which might be a confusing deal for some. In essence, all the broker in the country are unregulated, and there are hundreds of them, if not thousands.
Aside from this, the contact form gives away two phone numbers, one in the UK and the other in Australia, but this is no guarantee that RichMondSuper is registered in either of these, let alone licensed by the FCA or ASIC.
Unfortunately, RichMondSuper is ILLIGITIMATE, and a risk to all investments. It’s too bad, for this broker definitely has some potential.
We always say that investing in unregulated brokers is a sure way to lose money. The first and foremost thing to do when picking a broker to invest in is to look for a license. Preferably look for FCA or CySEC regulated brokers, or other European watchdogs, or US ones. All legit regulators have long lists of rules and prerequisites that all brokers must abide by. Not doing so, will lead to penalties or foreclosure! Furthermore, many regulators have in-store financial compensation schemes for all users under licensed brokerages. For example, CySEC guarantees up to €20 000 per person, while the FCA guarantees up to £85 000.
RICHMONDSUPER TRADING SOFTWARE
The simple web trader used by the company is not one to take too serious, for what it has in style it lacks in quality and quantity of services.
There is a decent amount of chart customization tools, time frames, stop/loss, take/profit, and nothing more to it than that. But what do you expect from the trading software of an unregulated broker?
RICHMONDSUPER DEPOSIT/WITHDRAW METHODS AND FEES
The registered client area reveals that in order for users to deposit, they must directly contact either their account manager or the broker’s support team. There is no other way for users to get a hold of the payment conditions. The only thing we learn from the withdrawal area is that the minimum amount of money a user can take out is €100. The Account type section of the website reveals that the minimum deposit is $250, which is great, but not really certain.
As per the Withdrawal, Refund & Cancellation Policy users can pay through Credit Cards, Bank Wire, Bitcoin Transfer, or Debit cards, although there is some inconsistency in the info, so it’s not as accurate as we wish it to be. Withdrawal requests are said to process between 7 and 10 days. There is a withdrawal fee of 1% with the minimum charge being $30. None of this information is verifiable, and so can be completely false!
Users should be bother with the payment discrepancies because they are not advised to deposit in RichMondSuper in the first place!
How does the scam work?
Online ads are the gateway to most investment scams. Ads that seem extravagant with quite impossible promises are most certainly the entry point into a scam. Gibing into one of these ads is the first step to being scammed.
The second step is to deposit. Once users click on the ad, they will be redirected to a scammer broker site or an intermediary website. What follows is a registration, where users will be asked to provide a phone number or a phone number.
Next, the scammer will directly contact those that have fallen for it. The first calls are made by the first level of fraudsters, the rookies. Their one and only goal is to compel users to deposit for the first time. Once a deposit is made, the user is hooked onto the scam.
The second wave of scammers, the core of the fraud, sometimes called “account managers”, will try to keep you invested in the shame for as long as possible. They might even pay some profits, just to keep you invested. The user will deposit an additional 2-3 times, which is actually the perfect scenario for these criminals. At some point, the user will realize he or she is in the middle of a scam
There are no more steps to the scam. The user has deposited as much as he or she did, and the fraudster have disappeared. The money is gone, and users cannot withdraw.
What to do if scammed?
If money was lost through a credit or debit card, the good news is that most credit card companies have an easy way of recovering money. Furthermore, MasterCard and VISA have a chargeback period of 540 days.
Wire transfer frauds, that is broker/investment scams, are harder to recuperate, but not impossible. The crucial thing to do is to change your bank account username and password! Aside from that, we advise users to contact their banks, because most banking institutions might have a plan on how to deal with money lost to investment scams!
Never invest in unregulated brokers through any sort of cryptocurrency wallet, no matter how good the returns sound! Crypto deposits are untraceable!
The last scam that users might stumble upon is in fact most of the time one that has nothing to do with the investment scam, although a potential relationship between the two is not excluded. We are talking about the so-called recovery agents or agencies. These will claim to be able to recover lost funds in return for a fee. After users pay this charge, they can kiss their money goodbye!
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