The COVID-19 was (and still is) bad for business, but not for every type of business. As a matter of fact, the online trading sector has been blooming for the past year or so, mainly thanks to a large portion of the global population being pretty much stuck at home. Don’t be mistaken, though. Online trading had been popular even before the year of the pandemic, but it was reserved mainly for professional traders.
Today, however, it has become accessible and common, but alongside opportunities, many dangers go hand in hand with this development. Trading in general is very risky, and if you don’t know what you’re doing, you can lose a lot of money. The problem just gets worse when you add in the fact that things like supervision, regulation and enforcement are a bit lacking sometimes in the virtual sphere.
The result? Yes, you guessed it. There are many cons, scammers and thieves who have already found creative ways to take advantage of online trading possibilities. This doesn’t mean, though, that you should completely pass on the opportunities, just because of the dangers. It just means you need to be cautious – and here are a few tips which can help you with that.
#1 Don’t put all your eggs in one basket
It may seem tempting to take all your hard-earned cash and throw it on some stock that everyone’s talking about, or a cryptocurrency which you are absolutely sure is going to bring you profits you’ve only dreamt of till now, because that’s what you’ve been promised. However, as you probably know, there are no prophets living among us, which is why nobody, without an exception, can guarantee that something will or will not yield revenue.
The best advice for beginner traders online is to start off slow, with small sums. Your investment should also be spread out over different assets, for different periods of time. Besides minimizing risk, this is also a good way to get a feel of the markets and to learn them.
#2 Do your homework
In direct continuation, it takes time to master trading. That’s why it is of utmost importance that you come as prepared as you can before diving in. If you have friends or relatives with experience in trading, ask them to guide you through your first steps. You can also take a course or read material, which can be found on the web, but keep in mind that if it is on the internet and it is for free, there’s a chance that it is unprofessional and will not help you much.
Paying money for material or courses sounds like a safer bet, however you must remember that there are charlatans out there. If you decide to go on that path, make sure you get proper recommendations and read reviews.
In doubt? Stay out
It is estimated that no less than $10 billion is lost to online scams every year – in the USA alone. That figure is probably higher, sadly, since the majority of victims of those scams do not report them, whether because they are ashamed or they see no point in it. That’s why you should know how to spot the scammers and avoid them, and it’s actually simpler than it sounds.
If an online trading website seems very general and vague, lacking crucial information, opt out. You need to understand, just by looking at the homepage, exactly what this company is trying to sell. Don’t be impressed by sophisticated terms which you don’t understand. If crucial details about the company (such as name, contact information, regulation type, location and more) are missing, you should definitely be suspicious.
Google the trading website’s name. You will find reviews written by users and experts. Don’t settle for one or two, though, because some of them are phony. Read a whole bunch, and then make your mind up. If you do decide to enroll, a definite warning sign should be incessant phone calls from the website’s brokers and representatives, trying to convince you to deposit large sums of money. Do not be tempted by their sweet-talking and promise. These are usually slick sales people, no more than that.
#4 Fell victim to a scam? Don’t give up
We hope we’ve managed to deliver this message to you on time, but even if it’s too late and you’ve already had your money stolen, there’s still hope. You can retrieve your lost money, or at least most of it, if you act fast. The first thing to do, naturally, is to try and cancel any billing made by the fraudster through your bank and credit card provider. Even if they refuse to do so, you can make sure you avoid more money being stolen from you, since the shady website has your financial details.
Next, you should collect any documents you’ve received in the past and pass them on to the authorities. It may assist in the process of locating these crooks, since they usually operate globally under different names and are hard to track. This can also be your way of warning others from going through what you have, and that is no less important.
We at Payback Complaints specialize in making these culprits pay for their misdeeds. With the help of BI technology, our experts can track them down, wherever on the globe they may hide. We also employ a legal team, in case the broker refuses to compensate our clients and we have no choice but to go through the legal system. In the past month, we’ve been able to retrieve almost $550,000 to our clients.
If you’re in this situation, we would recommend acting fast and not waiting too long, since the sooner we start the process, the higher your chances of seeing your money are. Get in touch, so we can set up a free introductory meeting and see how we can help.