How to Withdraw Money from the Broker’s Website?

How to withdraw money from a broker’s site? The question that worries novice investors who are just trying their forces in the world of online trading. After all, in addition to the risk of losing investments due to insufficient understanding of the principles trading in the financial marketThe newcomers run the risk of falling for crooks.

According to the WordStat service, from 2017 to 2019 the number of Internet users entering the query “how to get money back from a fraud broker” increased by 86%. If we add to this figure that in 2018 the Central Bank of Russia blocked 454 sites of illegal brokerage companies, the scale of fraud in the financial market looks impressive.

It is not an easy task to find out who is a fraudulent broker, even experienced traders fall for the tricks of swindlers. In the early days of online trading it was enough to check for a license, but now it is more difficult (forex brokers rating). Scammers register scams in offshore zones, where they do not pick on the final beneficiaries and the origin of the money. Therefore, every investor needs to know how to withdraw money from the broker, if it turned out to be a scammer.

Legal tools to influence the broker-fraudsters

To withdraw money from a broker, you should not resort to illegal actions. There are legal levers of influence on pseudo brokers, with the help of which you can get back the stolen money.

• Threat to reputation. If the pseudo-broker site has been operating recently, for example for a couple of months, the trader should try to threaten to write angry reviews on all specialized resources. A project that has started to be promoted has few visitors, so there is a possibility that the scammers have not yet had time to recoup the resources invested and the occurrence of angry feedback to them is unnecessary. To sort things out and quietly continue to deceive people, once con artists allow themselves to return the loot in exchange for silence. One should not count on success, but trying is not torture.
• Contacting law enforcement authorities. A statement to the police or the prosecutor’s office is productive if the scammers are located in the same country as the victim of fraud. Even an offshore company registration will not save swindlers from responsibility. If the crooks operate from another country, it is more difficult, and sometimes impossible, to attract them. Since 2014, Ukraine has been a breeding ground for pseudo-brokerage firms. The country does not deport criminals to Russia if they are entrepreneurs. In such situations, the maximum the Russian law enforcement authorities can do is to block access to the pseudo-broker website.
• Complaint to financial regulators. In civilized countries there are independent or state non-commercial financial regulators, which control the work of brokerage companies. The latter are obligatory to obtain the corresponding licenses. If a broker receives numerous complaints from traders (more than 200 complaints on our blog), the financial regulator imposes appropriate sanctions, fines or liquidates the company. However, hundreds of pseudo-brokers operate without a license and carefully tear down the true location. In such cases, international financial regulators are powerless.

The effectiveness of these methods is more like a lottery, but there is a mechanism that really works, regardless of the geography of the scammers – chargeback.

What is a chargeback?

Canceling a transaction or Chargeback – service of the international payment systems (IPS) Visa, MasterCard, MIR, provided to all holders of plastic cards. The mechanism works according to signed agreements with banking institutions in the countries where the companies have representative offices.

To apply for cancellation of a money transfer you need to visit the nearest branch of the issuing bank. International Payment Systems and banking institutions are serious organizations that do not return funds back to the sender at short notice. The requester states the reason and provides proof of entitlement. There are the following reasons to initiate a chargeback:

• the money for the item was sent, the seller never sent it to the buyer;
• erroneous withdrawal of funds;
• multiple withdrawals were made for the same purchase;
• the amount withdrawn from the account exceeds the amount declared at the time of purchase;
• The goods received do not match the description.

For a complete list of reasons to cancel a transaction, see the official regulations of payment systems:

• Visa – “Dispute Management Guidelines for Visa Merchants.
• MasterCard (Maestro) – “Chargeback Guide”.
• MIR – Dispute.Plus.

Peculiarities of refunds from a broker with the help of chargeback

Chargeback has been used against plastic card holders since the early days of non-cash money transfers, to be exact, since 1974. Since then, the documents regulating the procedure have been edited: some norms have been deleted, others appeared. Despite the opening of access to financial markets to individuals since the early 2000s and the high level of fraud in this area, only in September 2019 MasterCard obliged the issuing banks to initiate chargebacks for traders. Prior to that, the payment systems considered investors to be gamblers and refused to refund money stolen by a broker, citing that they themselves had lost everything.

If MasterCard went towards investors, the situation in other payment systems has not changed. To To get money back from a brokerThe trader will have to prove that the latter, having received the money, violated the terms of the client agreement and did not provide services in full. Whether the aggrieved trader is a MasterCard (Maestro) cardholder or not, he will need substantial evidence of his case:

• screenshots of correspondence, records of telephone conversations, which confirm the attempts to peacefully resolve the dispute;
• bank statements, copies of checks, receipts of disputed transactions;
• Screenshots of personal account, where you can clearly see the presence of funds transferred through the disputed transaction.

Why go to the experts?

You can find all the information you need to conduct a successful chargeback, but it’s hard to understand the nuances of the procedure without a legal background. Moreover, the basic documents on Visa and MasterCard chargeback are available only in English versions. If you are not confident in your abilities and do not know how to withdraw money from the broker, it is better to contact to the chargerback experts.

We’ll help you get your money back