A comprehensive Trade5000 review to read before opening an account
Sometimes it is hard to say if the broker is trustworthy or fraud since some scam brokerages are very sophisticated. This is not the case with Trade5000 Forex broker. Registered in Dominica, the brokerage is offshore and already loses the legitimacy in the eyes of traders worldwide. The broker offers trading CFDs on different assets and currency pairs, overall it provides 1000 trading instruments. Traders can use 1:200 leverage and get bonuses when making their first deposit. At the same time, the broker claims to be providing various educational content for its customers. Till now, everything might look okay for the inexperienced trader, however, it takes a couple of minutes to go through the website and understand that you came across to Trade5000 scam.
Revealing Trade5000 Scam
As mentioned, Trade5000 is an offshore broker. The website provides information that the company behind the brokerage is International Payments 5000 ltd. The brokerage is registered at the Commonwealth of Dominica, but the company that operates it has an operational address in Estonia. The license number of the broker is not provided on the website, and cannot be checked on the webpage of the regulator as well, meaning that the broker does not really have any license. Based on that, the broker is not authorized, moreover, it provides the trading service to the worldwide audience without having the right to do it. Since the website languages are English, Polish, and Russian, Trade5000 FX brokerage must be targeting English speaker traders, as well as Russians and residents of Poland.
Now as we have already answered the question if the broker is legit or not, let us talk about the first impressions. Once you go to the webpage of the broker you can sense that something is not quite right. The website is not working well and leaves the impression that it is just created and should not be visible for everyone on the internet. Multiple links that should direct visitors into the other pages do not work, there is not enough information neither about the broker, nor the services and products that it provides. The website speaks very negatively on Trade5000 rating. It is essential that the broker that claims to be one of the best on the financial market has a website that actually serves visitors.
The broker shows that it provides Forex and CFDs educations through different types of content: Video, eBooks, and webinars but none of them are available on the website and this pages simply do not work. FAQ section is not working as well, there are only several questions with the same answers. Overall, the website of the broker is the first indicator of Trade5000 fraud.
The minimum deposit, leverage, spread
It is not easy to find information about the broker’s features since there is not much to see on the website. Traders can open the account with the broker with the minimum deposit of 250USD, it is one of the highest amounts of the minimum deposit that you can find for the standard account with the other brokers. Leverage is 1:200, considering that the broker is offering its products to the European audience as well, one can assume that it is not legal since the maximum leverage for the EU member country residents can be 1:30. As for the spreads, there is no information about how they look. Moreover, there is no information about what are the instruments offered by Trade5000. One cannot see how does the custom trading platform looks like since the broker does not offer MT4, MT5, or cTrader platforms, which are the most popular. This leaves us with a very negative Trade5000 opinion.
Trade5000 Withdrawal and commission
The broker boldly claims that trading with Trade5000 is commission free. Commissions are nowhere to be found on the website as well, that might convince traders that there are no additional charges. However, the reality is different. The broker charges commissions that can hardly be found with good brokers. The information about it is available only in the document of terms and conditions, which, unfortunately, is often overlooked by the traders.
As we found out while making Trade5000.com review the broker charges verification fee 50 USD, without any reason it is a monthly fee. There is an account maintenance fee – 20 USD as well, and profit clearance fee that varies from 1.5 to 5 USD per trade.
Withdrawal with the broker is not easy. According to the website it takes up to 7 business days for the broker to process the withdrawal request. After that, the trader should wait for the transaction that can last for days depending on the payment reason. After waiting for almost two weeks to cash out your money, you will have to pay an additional 30 USD which is Trade5000 withdrawal fee.
Not surprisingly, account types are not well designed. The broker offers six types of accounts:
The green account is a standard account that starts from the minimum deposit of 250 USD. It has basic features: the ability to open a demo account, 24/6 support, daily market reviews, access to education center and webinars, and price alerts.
The silver account requires the minimum deposit of 2,500 USD, in addition to basic features, it has up to 10 trading signals and up to 10 expert sessions. Compared to the green account Silver one does not have high value, but the difference between the minimum deposits is huge. Moreover, CFDs instruments are not available for these two accounts. It might be part of Trade5000 scam scheme, as the broker tries to make customers register Gold account if they want to have access to CFD trading.
The gold account requires the minimum deposit of 5,000 USD and has an additional 15 trading signals, and 20 expert sessions.
As for the Platinum, VIP, and Black accounts, the minimum deposit is 10,000; 20,000; and 100,000 USD. The difference between them is only the number of trading signals and sessions. As you can see Trade5000 does not provide any real additional value to the holders of different accounts.
is Trade5000 legit?
It is clear that traders who will register with the broker will end up being Trade5000 scam victims. The broker is not reliable or trustworthy for multiple reasons. It is an offshore broker that does not have the right to operate anywhere, it has badly designed trading accounts that encourage traders to deposit more. The broker does not provide legit information about itself, or services and gives traders false information to lure them into registering. The withdrawal policy is made poorly and Trade5000 Forex broker charges every commission possible. For these, and other reasons mentioned above, traders should think again if they were getting interested in Trade5000. The broker is either very bad, and unprofessional, or a pure scam that should be avoided.