Risk & safety

How to spot a forex scam

Forex attracts scams because it is fast-moving, global and easy to make sound profitable. Most share the same warning signs, and a few checks on official registers catch nearly all of them.

Guide · 7 min read Updated 3 Nov 2026 Reviewed by the research desk

Common types

Unlicensed brokers. A professional-looking website with no valid licence, or a licence from a regulator with little oversight.

Clone firms. Scammers copy the name, address and licence number of a real regulated firm, then give you different contact details or a different website.

Signal and account-management schemes. Offers to trade for you, or to sell signals with "guaranteed" returns, often promoted on social media or messaging apps.

Recovery scams. After a loss, you are contacted by someone offering to recover your money for an upfront fee.

Red flags

✕Guaranteed or very high returns. No legitimate broker can promise profits.

✕Pressure to deposit quickly or add more money.

✕Requests to pay in crypto, by gift card or to a personal bank account.

✕Being asked to install remote-access software so someone can "help" with your account.

✕Withdrawals blocked until you pay a "tax", "fee" or meet a trading target you did not agree to.

✕Contact that started on social media, a dating app or a messaging group.

How to check a firm

Search the firm on the regulator's own register, not through a link the firm gives you: the FCA Register in the UK, ASIC Professional Register in Australia, CySEC entity list in Cyprus, or NFA BASIC in the US. Then check the regulator's warning list and IOSCO's I-SCAN, which collects warnings from regulators worldwide. See how to check a broker's legal entity.

If you think you have been scammed

✓Stop sending money, including any "release" or "recovery" fees.

✓Contact your bank or card provider immediately; card payments may be disputable.

✓Report it to your national regulator and the police or fraud reporting service.

✓Keep records of every message, payment and website address.

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Written by the Forex Awards research desk

Guides are checked against current broker documents and regulator rules. Spotted something out of date? Tell us and we will re-check it.

How to spot a forex scam

Common types

Red flags

How to check a firm

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