Honest Capital Review – Untrustworthy Broker in the Market
Oh, the irony. This dubious broker is anything but honest, don’t let its name fool you. After peering at its website, we got the impression that this was a clever scam designed to defraud poor traders. One quick analysis later, it turned out we were right. If you’re interested in the way we came to our conclusion, you have to read the Honest Capital Review.
|Broker status:||Unregulated Broker|
|Regulated by:||Unlicensed Scam Brokerage|
|Blacklisted as a Scam by:||CONSOB|
|Owned by:||Coconors and Partners LLC|
|Minimum Deposit:||250 USD|
|Types of Assets:||Forex, Indices, Stocks, Commodities|
|Free Demo Account:||Unavailable|
|Accepts US clients:||Yes|
Honest Capital Engaged In Fraudulent Activities?
The first fact that made us take guard was that Honest Capital was being run by Coconors and Partners LLC from Saint Vincent and the Grenadines (SVG). This place is shady, we tell you. Known for the countless scams that were conceived there, SVG is not your typical remote island.
The local regulator, i. e. the Financial Services Authority (FSA), explicitly stated that it doesn’t regulate Forex trading. Therefore, Honest Capital wasn’t being honest at all with us.
Honest Capital is a scamming offshore provider from Saint Vincent and the Grenadines that allegedly offers Forex and CFD trading. It looks for victims in the UK, US, Netherlands, Germany and Italy.
Why It Is Better Not to Choose An Unlicensed Broker
The reason why offshore brokers are very risky is that they don’t abide by strict laws and regulations. For example, there’s no leverage restriction in place, meaning the cap is pretty high, which usually results in huge losses.
Additionally, your funds aren’t segregated so they’re basically out in the open, within the scammer’s grasp. Offshore providers boast negative balance protection, but that’s just another venomous lie.
Moreover, they aren’t required to possess a high minimum operating capital (730,000 GBP in the UK, 1,000,000 AUD in Australia, etc.).
Warning From CONSOB
We found this little warning issued against the company that runs Honest Capital. Thought you might want to know. Issued by CONSOB, the Italian financial market watchdog. A reputable regulator, no doubt, and one whose word has weight.
Honest Capital Software – Platform Tools
Dishonesty knows no boundaries. First, the unscrupulous broker claimed to offer a top-notch platform of the Meta Trader brand, without specifying whether it was 4 or 5.
However, upon registration, all we got was WebTrader, a rudimental browser-based platform that’s nowhere near the aforementioned MT software. It has some basic features like charts and indicators but no advanced tools. Nevertheless, the bait was clever.
TeamViewer and Any Desk
These apps are commonly used to allow one user access to another’s desktop. Sounds helpful but could also be abused. Honest Capital used the customer support pretext here. All the fraudster wants is to gain access to your PC and find your personal documents related to finances.
Honest Capital Range Investment Opportunities – Trading Instruments
Here’s the list of trading instruments that Honest Capital allegedly provides to reel in potential victims:
- Forex currency pairs – EUR/USD, GBP/JPY, AUD/CHF…
- Indices – DOW30, NASDAQ100, S&P500…
- Commodities – gold, natural gas, corn…
- Stocks – NVIDIA, Tesla, Amazon…
Where Does Honest Capital Engage In Fraud? – Countries Of Service
It wouldn’t be a complete review without a list of countries where Honest Capitals looks for victims. Here they are:
- The UK;
- The US;
- The Netherlands;
Thankfully, Italy’s regulator issued a warning against (dis)Honest Capital. Despite the fraudulent broker claiming it doesn’t accept US clients, there is an option in the registration menu to select the States as your place of residence and we believe the con artist does accept them.
What Are The Different Honest Capital Account Types?
As for the account types, here’s a quick overview of them:
- Silver – 250 $, leverage up to 1:10;
- Gold – 1,000 $, leverage up to 1:20;
- Platinum – 2,500 $, leverage up to 1:50;
- PRO – 5,000 $, leverage up to 1:100.
Each account type allegedly offers negative balance protection and minimum spreads, whatever the latter means. The number of available assets is also increasing with each subsequent type.
Demo Account Opening
What we didn’t find on the website was the free demo account option. How disappointing. In our eyes, this is inadmissible. Only shady offshore providers can omit including a demo or trial account.
Bonuses – Is it Possible to Withdraw the Deposit Bonus?
Do you know what Honest Capital didn’t leave out? Bonuses! If you’ve started trading with this financial swindler, you’re stuck with this clause, which you have agreed to by the way, that will make withdrawals a living nightmare. Therefore, don’t trust this con artist.
Negative Balance Protection
This concept is pretty self-explanatory. If you hit zero due to the market going against you, your balance won’t go negative. That’s great but only legitimate and regulated brokers enable you that. An offshore hoax like Honest Capital could never.
This is the pyramid scheme realm. Honest Capital plans to use to attract more victims. It encourages you to invite friends by offering hefty awards. But, only the scammer will profit from this deceitful act.
Leverage, Spreads, and Fees
The maximum leverage is 1:100, well above the legal limit for FX major pairs of 1:30 (UK, EU, Australia) or 1:50 (US, Canada). Trading at such high levels carries enormous risks and more often than not will result in losses.
Spreads start from 3 pips for the EUR/USD benchmark pair. That’s double the industry’s standard and not competitive at all. Honest Capital says it charges commissions and fees but does not go into detail about the amounts.
Minimum Deposit and How Do I Withdraw?
The minimum deposit is 250 $, i. e. scammers’ standard. It’s not worth risking in our opinion. It’s highly unlikely that the broker will allow you to make withdrawals.
The shady broker advertises credit/debit cards and wire transfers as payment methods, but we found out that it also accepts Bitcoin and Ethereum payments. Scammers sure love their crypto because it allows them to stay anonymous and conduct their vile schemes.
Scammed by Honest Capital Broker? – Allow Us to Hear Your Story
You made a mistake, so what? Now it’s time to look for a refund solution. Depending on the method you used to deposit funds, there are different ways of requesting a refund. Consider a chargeback, recall, and crypto tracing.
What Is the Chargeback Procedure?
- Chargeback used to reverse credit/debit card transactions.
- It can be requested at the issuing bank within 540 days.
- A recall is performed by the bank to reverse wire transfers but only it the transactions haven’t gone through.
- Crypto transactions require expert support to be traced. Once a wallet’s been located in a crypto exchange, you can request a refund and hope for the best.
If this broker steals your money, you can contact us for help!
What Is Honest Capital?
Honest Capital is a dangerous offshore broker that provides Forex and CFD trading.
Is Honest Capital a Scam Broker?
Yes, without a doubt. The broker has been blacklisted as a scam by the Italian regulator, CONSOB.
Is Honest Capital Available in the United States or the UK?
Yes. It is available to traders from both the United States and the United Kingdom.
Does Honest Capital Offer a Demo Account?
No. There’s no free demo account and no trial account. There is a promo code though.