Premium Brokers is a platform that provides CFDs and forex. However, they are well known to be among the group of scam forex brokers to avoid

Premium Brokers – Scam or Service?

A Premium Brokers review

Brokers are important in the financial market. They serve as a form of intermediary between the trader and the forex market. There are lots of brokers out there providing traders access to the forex market. However, the major problem with these sites is that some of them are very fraudulent.

A major challenge in picking a broker for forex is the reputation of the company as a whole. There are both reputable and scam brokers in the market. So, how do you detect a scam? This write-up reviews the legitimacy of Premium Brokers.

Broker Data

Feature Premium Brokers
Year Founded
2015
Publicly Traded
No
Bank
No
Tier-1 Licenses
No
Tier-2 Licenses
No
Tier-3 Licenses
Yes
Trust Score
54%
Overall
3.2

Premium Brokers: An Overview

Premium Brokers is a platform that provides CFDs and forex. However, they are well known to be among the group of scam forex brokers to avoid. They seem to supply a reasonable amount of currency pairs and crypto CFDs, but this doesn’t stand as a good reason to use them. Premium Brokers offers CFDs on commodities and precious metals like aluminium, gold, natural gas, silver, cocoa, coffee, cotton, nickel, soybean, wheat, and zinc.

As expected, the platform also provides a MetaTrader platform. Most scam websites provide MetaTrader platforms, so it doesn’t count as a point to create an account with this broker. The platform includes over fifty integrated market indicators and trading robots for easy automation of trading sessions.

The available payment and withdrawal options provided by Premium Brokers are significantly few. The options include Wire Transfers via banks, credit cards like MasterCard and Visa. Premium Brokers restricts users from using eWallet options like Skrill. The restriction of Skrill is suspicious due to the recent anti-scam policies that the platform operates.

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Is Premium Brokers a Scam?

The legitimacy of Premium Brokers as a platform brings up a lot of questions. One of the things that should be reviewed is the regulation of the broker. Premium Brokers is an offshore broker with no legitimate license to provide financial services on regulated markets like the European Union. A site without a legitimate license shouldn’t be trusted. It appears the licensing of the site is the major reason behind the blacklisting by CONSOB.

Unregulated brokers are unaccountable for the way your money is handled in their accounts. Besides, most of these brokers are involved in a scam. For this reason, it’s better to trade with reputable platforms. Examples of institutions that are commonly trusted in forex include Financial Conduct Authority (FCA) in the United Kingdom, the Cyprus Securities and Exchange Commission (CySEC), and the Australian Securities and Investments Commission (ASIC).

Premium Brokers operates a rigged Demo account. This type of account is created to deceive traders into thinking trading gives 98% success. The demo accounts don’t operate like the live accounts that require actual deposits. Funds are not safe with this broker because it’s unregulated and they don’t engage in the segregation of accounts.

Brokers should always have responsive customer support for trader’s questions and challenges. However, Premium Brokers doesn’t provide a well responsive support line. Most reputable brokers provide live support for immediate help, but this platform relies only on email communication. Emails requesting withdrawals may not give a quick response, but those that involve a deposit.

Premium Brokers offers traders with three significant types of trading accounts. These accounts are the Platinum, Gold, and Platinum. Unfortunately, there isn’t enough information about these accounts. The entire account doesn’t have enough information regarding the least acceptable deposit with each account, the available leverage, and spreads.

Premium Brokers: Forex Scam Warning Signs

Expert traders and regulators have given their opinions about Premium Brokers. It’s important to consider the reviews and analysis from them before choosing this scam broker. Most traders have given severe warning signs by reporting the Premium Brokers and writing a series of bad reviews about the company.

Apart from the view of the traders, the opinion of regulatory bodies matters a lot. Unfortunately, Premium Brokers has received a series of red flags from notable regulatory bodies in the industry. For instance, The Commissione Nazionale per le Societa e la Borsa (CONSOB) has issued a severe warning against using the platform.

The fact that Premium Brokers doesn’t give enough information about the crucial parts of the website is shady and unpleasant. Traders don’t have an idea of the least permissible amount for deposits. Premium Brokers offers trading bonuses that come with additional requirements. The company boldly states that they retain a right to change the bonus policy, which makes it an obvious scam. Note that the most important warning sign is the site’s unregulated state.

Spotting a scam broker:

Scam forex brokers have certain systems that aren’t in place as a platform. One of the commonest signs of a scam forex broker is the fact that they are usually offshore and regulated.  Apart from recognizing a scam broker by research, you can know them by certain experiences or acts. Here are some of them:

  • The broker freezes your account
  • Inability to log into the account
  • The broker isn’t answering you calls
  • Guarantee of ridiculously high profits with no financial risk
  • Wide bid-ask spreads on some currency pairs, making it hard to make a profit on trades.
  • The broker provides a bonus for a loss
  • Sudden site crashes or inactivity.
  • Removal of money from the account without a heads up.

Been Scammed by this Broker?
How can you be helped?

You shouldn’t overlook a scam from an unregulated forex broker. It’s your hard-earned money and you should take it seriously. There’s no cause for alarm. Trader Defence Advisory and their reputable team of legal professionals can be very helpful.

Trader Defence Advisory has marked this broker as a very dangerous scam, with the only positive feature being the MetaTrade4 tool and lots of currency pairs and crypto CFDs. Premium Brokers is a scam that lures people in with the so-called good spreads. Premium Brokers doesn’t have an account with the Better Business Bureau, which indicates a major problem.

All the significant categories used by Trader Defence Advisory, including the regulation, sets Premium Brokers at a very low score, which makes it a fraudulent platform. This site is 100% a scam and should be avoided.