The more we search, the more risky and unreliable brokers we come across. That’s sad, but we are still glad to introduce them to our readers to let them stay safe and informed. Today, we would like to present BFS Forex. BFS Forex is relatively veteran already, as it has existed for almost ten years. However, we found several crucial red flags that might turn out critical for their fate.
In our BFS Forex review, we will go in-depth analysis of their services and features.
About the company: what is BFS Forex?
BFS Forex is owned and operated by BFS Markets Ltd. The company was once licensed by the Mauritius Financial Services Commission but lost the license in November 2013, which is already a huge red flag for us. However, the company still claims to be regulated and lies on the data, so don’t let them fool you!
Offshore areas are generally considered risky, but companies that lose their licenses in such jurisdictions are even more dangerous.
At this point, cancellation of broker licenses is not something that most offshore regulators often do, but it is clear that Mauritius’s FSC is more stringent.
BFS Forex’s trading terms and conditions
Minimum initial deposit
BFS Forex requires a minimum initial deposit of 5 USD (for micro accounts). This may seem strange to you, but creating micro-accounts or even cent accounts allows brokers to accept even the most minor clients.
Average spreads & Commissions
The transaction cost of BFS Forex is slightly higher than the current industry average. The 2-point fixed spread product is almost uncompetitive. On the other hand, the spreads for better account types do not seem to improve. Our testing during the European trading hours shows that the floating spread is rarely less than 2 points.
BFS Forex provides its smallest account holder with a leverage ratio of 1:1000. This is an extremely high level of leverage, and it practically means you are gambling, not trading anymore.
The fact that some novices do not recognize is that you should not use your entire account balance to guarantee a single position. If you do this with a leverage ratio of 1:1000, the market must move 0.1% against you, or you will lose everything. Before participating, please be sure to understand the risks involved in margin trading.
MetaTrader 4 (MT4) is a platform provided by BFS Forex. Although we have doubts about the company, we cannot compete with MT4. This is the most popular platform, and there is a reason when it comes to foreign exchange. Its most unique feature may be the software development environment, which has led to the creation of many custom tools. They range from technical indicators to automated trading systems.
Payment methods at BFS Forex
There are not many payment options in BFS Forex, but at least some e-wallets can be used. All methods are bank transfer, credit/debit card, Perfect Money, and China UnionPay. Withdrawal takes up to 5 days, but, well, does it ever happen, though?
Most clients were complaining regarding BFS Forex’s lagging withdrawal system, that they could not get their money for ages, but some of them simply lost connection with the company, with their hard-earned money too.
Overall, BFS Forex brokers have gained a very honorable status as a liar. Somehow, they have been around for about ten years.
We hope that our honest BFS foreign exchange broker reviews can keep you away from the clutches of scammers and guide you into a safer trading environment.
If you are interested in finding reliable, competitive trading conditions, check out our forex brokers list. You will find hundreds of legit companies that are worth your trust!