Kapital Consult Review: Characteristics of a Scam Broker
Kapital Consult review is going to dissect this shady broker from top to bottom. This trading company, if we can even call them that, chose complete anonymity. They weren’t very keen to provide its website visitors license data, information about ownership, or even their headquarters address.
These things would only a fraudster hide. Why would a legit business keep its users in the dark? Even this early in this article your scam alert should be ringing. But, this is just the beginning. We have got a lot of concerning things about Kapital Consult which will make you second guess investing in them.
Working with unlicensed brokers, such as those described in the following paragraph, has the same risks as Everrise Brokers, Smartlite Exchange, and Swiss4Trade.
License and Funds Security at Kapital Consult
Financial swindlers always hide information about their licenses for a very good reason. Because they are unregulated. Kapital Consult doesn’t differ from many other phony trading companies we’ve come across. This is another business that’s not worth the risk of investing money in it.
Such brokers often operate with the explicit goal of defrauding you. That is possible because such companies, not being under anyone’s oversight, can just take your deposits and misuse them, oftentimes stealing as much as they can.
These firms are not operating with sufficient capital and good enough leadership to stay afloat in a market as competitive as Forex. Their survival solely depends on more victims joining their cause.
That’s why you should always choose a regulated company. The compulsory rules include client account segregation, benefits like leverage restrictions and negative balance protection, and increased capital requirements to license a broker (€730 000).
Pick companies that are regulated by authorities like the FCA, CySEC, IIROC, ASIC, etc.
Kapital Consult Trading Platform Overview
Momentarily, you can’t open an account at Kapital Consult. When you try to, some error pops up. And without that possibility, we can’t say much about their trading platform. However, that doesn’t mean they are inactive. This could mean that they are picking their clients by hand. We’ve seen this in the past. They may cold call potential customers looking for them on social media.
We can’t be sure about these assumptions, but their non-transparency isn’t helping their credibility. Without the possibility of accessing the trading software, not knowing anything about their headquarters or ownership, there is only one thing certain. This is as shady business as it gets.
Look for trading companies that use trading platforms like MetaTrader 4 and MetaTrader 5. The MetaTrader 4 platform meets the highest security standards. Data exchange between the client terminal and the platform servers is encrypted.
The fifth generation of the MetaTrader platforms, MetaTrader 5 offers increased functionalities and features from its predecessor and quickly became one of the most popular trading platforms by online foreign exchange traders and brokerage services around the world.
This is a safe way to go since there will be no ugly surprises.
Trading Instrument Available at Kapital Consult
Kapital Consult offers trading with forex, metals, indices, energies, stocks, ETFs, and cryptocurrencies. Btw, Kapital Consult calls indices “indexes”. This is a perfect example of how little average scam brokers know about this market. Fake trading companies always have websites with many grammatical errors and overall, untrue statements.
With no platform, there are no real trading conditions to discuss, and the brokerage doesn’t provide much information either. From what we could find on the website, the leverage is allegedly up to 1:300. This makes Kapitalconsult.com’s trading service generally risky.
Leveraging this high is illegal in many jurisdictions like the EU, UK, and Australia. They do not allow more than 1:30 for retail clients. Yet another piece of evidence is that we are dealing with a fake broker.
Kapital Consult Deposit and Withdrawal
At Kapitalconsult.com, the minimum deposit is $250. If we compare this amount to what many legit brokers ask for, we can realize that Kapital Consult’s offer is a lot higher. Licensed companies ask for $100 on average, while some accept clients for as little as $5.
Other than the deposit requirement, there is absolutely no information about funding methods, withdrawals, or fees. This fake broker doesn’t even provide necessary documents like terms and conditions, user agreements, or privacy policies. When we say they’re an anonymous business that means we know nothing about them.
Common things for fraudsters are hidden fees that customers find too late.
How Does This Scam Operate?
Scam brokers like Kapital Consult will never stop frauding people. They are always among us looking for innocent people to steal money from. The broker has a great sales pitch and they talk to their clients like friends.
They provide benefits like high leverage and bonuses, and inexperienced people may see that as a good deal. But there is a good reason why legal companies don’t promise these conditions. Law forbids them.
Kapital Consult Summary
Kapital Consult is yet another offshore fraud. Anonymity is their middle name. They don’t provide any information regarding license data, headquarters address, ownership, etc. They aren’t regulated and no entity is overseeing their activities.
This business doesn’t even afford necessary documents like terms and conditions, user agreements or privacy policies.
Kapital Consult offers a $250 minimum deposit, which is much higher than what many legit trading companies charge. Another big issue is some imitation of a serious trading platform.
FAQs About Kapital Consult Broker
Is my Money Safe with Kapital Consult?
You should let unregulated companies like Kapital Consult handle your money. It’s too dangerous.
Does Kapital Consult Offer a Demo Account?
Kapital Consult doesn’t offer a demo account. Fraudsters rarely do.
How Secure Is Kapital Consult?
Kapital Consult is a business that can disappear at any time. They are insecure.