Being scammed in the forex market is certainly disheartening, but it's not the end of the world. You can recover yourself by trying to get reimbursement and will yourself to recover from the loss.

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The best way to avoid losing money unnecessarily in forex market is to choose a good broker and does not involved with broker scams from the start. Nonetheless, sometimes it is unavoidable. A certain broker who have good reputation among traders suddenly turn 180 degrees into someone who cheats and faking quotes. We have chosen them carefully and actively trading with them for a long time, then found out that we can't withdraw anything from our hefty account. What to do then?

how to recover from scam

 

Fund Reimbursement from Forex Scams

The most common question is, can we recover our money from forex broker scam?

Sadly, the answer is most probably not.

How can it be? The first reason is because investment in forex generally don't receive the same measure of protection in the eyes of law compared to instruments like stocks and futures. The second reason, modern forex trading is done through the net where people could easily get in and out, even erasing their trails along the way. The third, forex traders often deal with foreign brokers, which mean that fund reimbursement become more complicated due to legal differences.

If you are registered to an unregulated broker, then it is most definitely hopeless. If you are registered to a regulated broker, then you can lodge a complaint to the governing body. If it is a foreign broker that was unregistered in your country, then it is up to those countries' regulations whether you will get your money back or not. If the broker is regulated in your country, then the probability is greater, although I would suggest you not to be overly optimistic. Your case may be resolved, but your money problems are not necessarily so. Investopedia mentioned that US NFA settled 166 cases in 2008, but only 23% of them received lost funds.

There are forums in the net where you could share your woes with fellow forex traders. Simply talking about your experience won't get your money back, but it is an excellent way for your complaint to be heard and to warn others of forex broker scams. Sometimes, customer supports overlooks your complaints, but once they realize that your complaint are affecting their reputation, they may be willing to discuss the matter. There are even cases when settlement are attained. Of course, this is only if you deal with a good broker, not one that aims to cheat you from the beginning.

See also: Forex Broker Cheats: What are They and How to Anticipate Them

 

Get Yourself Back

How do you feel after realizing that you are scammed? You may feel mad and lose your spirit. Some traders even going so far as avoiding financial market altogether. Well, that is your choice. But if I may suggest to you, don't give up.

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This is a wide wide world. Sometimes the going gets rough, but there will come a time when you will look back and laugh at your past. Some brokers are scammers, but there are also legitimate and trustworthy brokers. So, try again. You've already had the experience now, and can choose better. If necessary, check them out with your local financial authorities, and ask what they can do in case you are scammed again. Manage your money better, don't put them all in one basket (forex trading), and good luck!

 

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