Autogrowprime – The Red Flags to be Wary of

Autogrowprime

Run a Google search for an online broker to start trading with and the sheer list of companies you will come across can make this task a daunting one. A look at just a handful of them will show you that they all have something in common; they all promise you excellent trading services, claiming to fulfill all your requirements. You cannot possibly sign up with all of them, so you have to sort through them to find the one that fits you best. But, the biggest reason to be cautious is because of scam brokers that are looking to trap you. You can check this Autogrowprime review to find out how that can happen.

The problem is that it is not that easy to identify these fraudulent brokerages, especially at first glance because they do a very good job of hiding who they really are. They know just how to draw people in, what features and services to offer in order to grab their attention and how to conceal their reality. By the time people find out the truth, it is too late and they have already lost their money. The key is to remember that when something sounds too good to be true, then it usually is.

The same is the case with an online brokerage that comes across as perfect. Rather than just accepting their story, you should make sure the company does not have any red flags. As long as you do that, it will help keep you safe from scam brokerages and allow you to find the best one for your needs. This will ensure that you are able to achieve your financial goals and not lose your money to criminals. Using this approach in the case of Autogrowprime will also work in your favor.

It has a very convincing presentation, as Autogrowprime advertises raw spreads that start from zero, high leverage and a wide range of trading instruments like stocks, cryptocurrencies, commodities, forex and indices. It also claims to be authorized and licensed, all of which sounds great. But, a closer look reveals a number of red flags. What are they? Take a look:

False licensing and regulation claims

If you want a reliable and safe brokerage, you need to find one that is licensed and regulated because it ensures that you can get quality services, transparency as well as security. What more could you want I a brokerage? The license provides them credibility and you can be rest assured that they can be held accountable in case of a problem. However, you should bear in mind that a lot of companies may claim to be licensed, but this does not mean that they really are. This appears to be the case with Autogrowprime, which presents itself as a UK-based broker.

It also offers a ‘Business License’ on its website that shows it is operating in the United States, but it is obviously a forgery. Even if the license is genuine, it cannot be used as a substitute for a legitimate forex license that brokerages are required to have in order to operate in the US. This is issued by the Commodity Futures Trading Commission (CFTC) and the National Futures Association (NFA). You can go through their online registers, but Autogrowprime is not mentioned anywhere.

Moving onto the address that you are provided on the Autogrowprime website, which puts the company in London, United Kingdom. It should be noted that the UK is also a strictly regulated jurisdiction and companies can only be based there after they have obtained a license from the Financial Conduct Authority (FCA), but you can check the online register of the regulatory body and not find the broker mentioned there either.

Thus, you can make the long story short by concluding that Autogrowprime is outright lying about its address and its authorization, which is a huge red flag that you cannot ignore.

Excessive leverage

You should always check out the leverage that a broker offers because it is an important trading condition that determines the kind of flexibility you can have during trading. This is where you will be shocked to see that Autogrowprime is offering leverage ratios that go as high as 1:5000. This may seem quite attractive to a lot of traders, but you should remember that leverage comes with a lot of risks.

Sure, it can give you high profits, but leverage can also lead to high losses if the trades don’t go your way. Most importantly, Autogrowprime has claimed to be based in the UK and the US, both of which have limitations on the level of leverage that can be offered. It is 1:30 in the UK and 1:50 in the US, yet Autogrowprime is offering you leverage significantly higher than levels allowed. This proves that the brokerage is lying and is not up to any good.

High minimum deposit

In order to open an account with a broker, you are required to make a minimum deposit and the same is the case with Autogrowprime, but the problem is actually with the amount of money they are asking for. Nowadays, you will find that many platforms are willing to let their clients open accounts for as low as $10 because of the competition in the market.

Yet, the minimum deposit at Autogrowprime is about $500, which is quite high. Even if it was going for the standard amount, it should not have been more than $250, but it is twice that.

No refunds

The payment methods that Autogrowprime offers are also not something that incite confidence in the brokerage because it offers you crypto payments like Bitcoin, Ethereum and Litecoin and an e-wallet in the form of Perfect Money. These methods do not offer you the option of filing for a chargeback, so you cannot get a refund in case of any issue. Your money will be lost once you have deposited with them.

Ending Thoughts

These red flags at Autogrowprime show that the brokerage is not legitimate and you should not open an account with it.