How to file complaints against CySEC regulated Forex broker?


A large number of scams have been evolving out nowadays in the Forex industry. Therefore, it is advisable to keep information handy on how to file complaints against CySEC regulated Forex broker. Here I have outlined some steps to follow.

3 May, 2018, AtoZMarkets The Forex industry has become popular in the recent years because of the dozens of benefits that this currency market provides. We have seen that when an industry grows, a number of scams evolve as it also attracts the scammers. Therefore, in order to curb scams, there are financial regulators to supervise the financial markets and regulate the Forex brokers.

The Cyprus Securities and Exchange Commission (CySEC) is among the most well-known regulatory entities. It is responsible for regulating the financial markets not only in Cyprus but also in the European Union. Most of us are well aware how to file a complaint against an unregulated Forex broker. Today, we will learn how to file complaints against CySEC regulated Forex broker. Here the catch is a regulated broker. Unfortunately, sometimes even regulated brokers are not exempted from doing frauds and tend to go against the regulations. There are some things that you need to know even before you file complaints against CySEC regulated Forex broker.

Things to do before filing a complaint with CySEC

The moment you smell something fishy in the trading behavior of your broker, it is advisable to take screenshots of your user account and save all the correspondences. Moreover, do not share them on forums or online as this will signal the broker. The broker can, in turn, make changes in the T&C or change the settings. Therefore, we suggest you keep patience and advise you to contact the CySEC first.

Steps to file complaints against CySEC regulated Forex broker

The CySEC suggests always contacting your broker first. It is easy to say than to be done. If your broker is cooperative enough, let them know that you are well aware of your rights. CySEC says that it does not have restitution powers and hence does not investigate individual complaints. However, it is a regulatory entity that supervises all Forex brokers and takes all submitted complaints into consideration. The financial watchdog asks you to follow these three steps to file complaints against CySEC regulated Forex broker.

#1 Contacting the CIF (your broker) first

CySEC proposes to settle the complaint with the CIF first (your broker is licensed as a Cyprus Investment Firm). Your broker will provide you a unique reference number. This number will be useful in all possible future communications with CySEC as well as the Financial Ombudsman. Moreover, it will be like an ID of your complaint. To file a complaint, you will need to fill in this investors CIF complaint form. Bear in mind to mention all your information in detail such as your full name, country, email and/or phone, the reason of complaint, your trading financial product, and unsettled funds. Such approach will not allow the broker to have a chance to escape due to technical problems.

Your broker will be required to acknowledge in writing within 5 days regarding the receipt of your complaint. Then, your broker will have to respond the complaint in writing within 60 days. Moreover, the broker needs to inform you if the complaint has been resolved successfully or not. In addition, they can even request for more time (not more than 3 months from the date of the complaint), but the broker will have to mention the reason for extra time.

#2 Contacting the Financial Ombudsman

In case, you are not happy with the broker’s response or they reject your complaint, the second step is to contact the Financial Ombudsman. You can also contact them if the broker does not reply within 3 months. Financial Ombudsman is responsible for settling disputes between the broker and their clients. It is better to check with the Ombudsman’s office if you are eligible to file a complaint with them. One must keep in mind to contact the Ombudsman within 4 months after receiving a final decision from the broker. Otherwise, the Ombudsman will not be able to resolve your complaint in order to seek mediation for possible compensation.

#3 Taking civil action or contact fund recovery firm

I know it is not good to go for this step as it takes time, money, and mental preparation. Taking civil action or requesting the service of a fund recovery firm, is the last resort that a fraud victim can consider. Especially, if you do not accept the Financial Ombudsman’s decision. You can usually start a civil action in the District Court.

Think we missed something? Let us know if the above information is helpful to you in the comments section below.

  1. Mr Colin says:

    y company whose broker burned my account says that I will have to pay a fee ot 300 euros to file a complaint to Cysec. Is he lying

  2. Siziwe says:

    Good day how are you I invested my money on Nexfarfx then I withdraw after 14 day and they say I must pay upgrade amount before the process my payment I did that still my pending and said I must pay recommit

  3. Francois says:

    XENITFX is a Forex trading company that was introduced to me by a trader on LinkedIn. Their website is based on the design and functionality of OCTA FX. Their website boasts all the awards that OCTA has won. In August, when I started trading, the website did not have Risk Disclosure, Privacy policy, Return Policy, Customer agreement, or AML Policy but it has since been loaded.

    Based on the facts provided by the trader that introduced me, I deposited $250. It was not long, then the account was capped and I was advised that I needed to pay $1650 to upgrade the account so that trading can continue and to be able to withdraw funds in the account. There is currently 2.39BTC in the account. I attempted a withdrawal which was refused, indicating that I am not allowed to withdraw or trade since the account is marked for upgrade. I have had endless problems with these people.

    I notified them about why withdrawal took so long and was told that I’m not allowed to withdraw. The agents or whomever I liaise with on email simply does not give a crap about anything.

    I went so far as to speak with OCTA to confirm if XENIT is an affiliate as they indicate on their website, OCTA’s support indicated that there is no affiliation and that they are a copy site, most likely a scammer.

    This morning I listed findings about the company available on the internet to which the agent simply replied “you can as well do whatever you wish. Our good works speaks for us so you can paint the internet Red”

    There are no documented procedures regarding upgrades and respective fees and it’s not written into their policies.

    I am thus reaching out, to make people aware of this site so that other people don’t get scammed in the event that this is a SCAM.

    If this company is legit and licenced, I want to withdraw my full balance and also make people aware of the unethical behaviour that awaits them.

  4. Gayathri says:

    Hello sir,
    My name is Gayathri from india.My trading company name is bondforexx. My broker name is karthik.
    My mt4 account balance is $546. But my broker is trapping my money.
    Please help me sir
    My broker is not response. How to withdraw to my money sir.
    Please help me sir. Any idea say sir.
    Sir help me sir. My mobile number is : +919489750940

    Mt4 account number : 73801333
    Name : Gayathri
    Bondforexx live account
    Password :
    Qm9uZEAwMDE=
    Bond forex broker (karthik) number: +44 20 3287 7755
    Bond forex broker(Nayra) number: +44 20 3097 1825

  5. KARABO emmanuel says:

    I have been trying to cobtact my broker(Globex360) they keep on saying they’ll come back to me i cant trade or even withdraw my funds from it

  6. David Sello Seabi says:

    I lost EUR 4000 with a Broker ( 9 Markets) after investing within7 days. they told me they use metered system so I would never loose all my money on a single Trade, however that is exactly been . I have been communicating with them for 2 weeks now. They did refund me EUR210 (USD 250) but have now quite about my claim for refund of the balance of my capital. I believe these brokers are taking advantage of investors who are not based in EU. I will write to them for the last time then i will contact the Ombudsman regardless of time limits they have set. in my country this amount is equivalent to 6months of my income. my family will be without food from October. I was tricked into transferring all my money to 9 Markets.

  7. Abdullah Al Maksud says:

    There has to be a cell for taking immediate action against cheating forex brokers because retail traders are being horribly cheated by the regulated but dishonest brokers.The reviewing body should review the traders’ complaint on daily basis and take action as strict as can be a real punishment for them so that they do not take heart to do the same again. The regulatory body cannot evade the responsibility of protecting the innocent traders from the dishonest and corrupted forex brokers. This is not small issue I think. There has to be a committee formed for taking rapid action against the cheating brokers because millions of retail forex traders take to trading good faith to be treated honestly. And they are contributing much to the global economy. So why should their rights be ignored or underestimated. This is also an important issue that there are some brokers who claim them to be ECN brokers but actually they are engaged in trading against their clients leaving the retail traders extremely helpless. So there has to be a body to take quick action against the cheating forex brokers. And the complaints should be reviewed on a daily basis because you know JUSTICE DELAYED IS JUSTICE DENIED.

  8. SN KHOZA says:

    Step #2 What if the broker doesnt respond to any of your emails and therefore doesnt give you the complaint ID?

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