Beware! Cheonan International is an offshore broker! Your investment may be at risk.
RECOMMENDED FOREX BROKERS
Don’t put all your eggs in one basket. Open trading accounts with at least two brokers.
Cheonan International is a highly controversial Forex broker most probably residing in Hong Kong. Cheonan International claims to hold various licenses worldwide, but a licensed company accused them of exploiting their name and credentials. Find out the controversies surrounding this shady broker in the full Cheonan International review.
Cheonan International REGULATION AND SAFETY OF FUNDS
Cheonan International claims to be operated by many companies, including Blackwell Global Investments Limited in Britain. We checked the Blackwell’s FCA license but didn’t find such a trading name of theirs. Worse though, Blackwell themselves warn traders and investors that fraudulent websites are illicitly using their name, including Cheonan International in the list. Your funds are not safe if you deposit with Cheonan International because it’s a clone firm.
Clones pretend to be legit by abusing the names, addresses, licenses etc. of genuine companies. It’s an effective way to take off the wary investors’ guard and trick them into believing they are dealing with authentic businesses. Firm cloning is a fraudulent tactic that’s becoming increasingly popular. Each consecutive year the number of clones exposed by FCA increases. Beware!
Avoid Cheonan International and see the CySEC regulated (EU) and FCA regulated (UK) brokers we recommend. The brokers operating in Europe are safe because they have to comply with many strict rules enforced as customer protection measures. The regulations include minimum capital requirements of 730 000 EUR, personnel qualification standards, segregation of the clients’ accounts etc. But most importantly, the FX companies are covered by the deposit insurance funds inaugurated to protect clients’ money. If you trade with CySEC brokers, you can claim up to 20 000 EUR in compensation, while the British guarantees are of even up to 85 000 GBP per client. Each EU member state is compelled to create similar funds seen as the last resort for traders if a Forex broker can’t meet its financial obligations.
Cheonan International TRADING SOFTWARE
Cheonan International provides the traders with MetaTrader5, the best retail Forex platform alongside MetaTrader4. The EUR/USD spread with the demo account is 0.8 pips, but we cannot guarantee the same conditions apply with the real accounts. Upon registration, they didn’t send us the SMS verification code, so we couldn’t access their Client area and open a real account. The spread forms part of the trading costs, so lower rates benefit traders. Most of the regulated brokers offer Buy/Sell difference of 1 pip and below, so it’s easy to find a better broker to trade with.
See the regulated MetaTrader4 brokers and MetaTrader5 brokers we recommend. MT is the most popular retail Forex trading platform globally, which traders prefer for its reliability and ease of use. It features sophisticated trading tools rare to find elsewhere for free such as Expert Advisors, Algo Trading, Complex Indicators, reliable Strategy testers and even a marketplace with more than 10 000 trading apps and counting.
The maximum leverage level is 1:400, a ratio no longer considered adequate for retail traders. The leverage is a hazardous tool, so EU, UK and Australia (from 2021) forced a leverage cap on the market- 1:30 as a customer protection measure. On the other side of the Atlantic, the Canadian brokers and US brokers cannot offer more than 1:50. So, brokers offering higher ratios are not recommended due to the absence of competent regulation and fraud danger. The Swiss brokers, are not leverage restricted, but Switzerland keeps scam away with its capital adequacy requirements- more than 22 mln USD to get an FX license.
Cheonan International DEPOSIT/WITHDRAW METHODS AND FEES
There is no information about the minimum deposit requirements. We also couldn’t unearth anything about the funding methods available. Quite frankly, the information about their products and services is hard to comprehend, so it’s yet another reason to stay away. Would you trust someone who doesn’t really know what they are talking about? Same here!
Warning! Cheonan International doesn’t present clients with comprehensive Client Agreement, Terms and Conditions or another legal document serving as a contract between both parties! A major red flag we need to raise here. It doesn’t only confirm Cheonan International is a mistrustful entity but also leaves traders unaware of critical conditions such as withdrawal requirements, fees, request processing time, dormant account policy, bonuses etc.
Overall, Cheonan International is a clone company, so stay safe and avoid this broker.
HOW DOES THE SCAM WORK
One can see hundreds and thousands of promising ads on the Internet and social media. Unfortunately, many of these are fraudulent schemes targeting to rip the people off their hard-earned money.
If you click and provide scammers with your e-mail and contact number they’d contact you immediately and would promise you anything to make you deposit with them as quickly as possible. Most of the scammers are experienced manipulators and before you know it they’d ask for your bank card numbers to make the transaction “easier for you”. The urgency is a warning sign; the fraudsters are always in a hurry to persuade you to begin investing.
But the first deposit is only the beginning. Gradually scammers would ask for more money no matter the circumstances. If you lost on the market, they’d persuade you to put more money and recover the losses. If you traded well, they’d try to convince you to invest more and increase the profits. The troubles start when you ask for a withdrawal. The scammers would do anything to discourage you and even ask you to pay them if you want to withdraw. The scammers’ mantra is “give me your money”, they’d insist every day you should deposit more and more, for no obvious reason. Legit companies do not bother you on the phone to deposit with them, so if someone urges you to start investing, it’s most probably a scam.
WHAT TO DO WHEN SCAMMED
Unfortunately, no one is immune to scam. In case you got scammed first protect yourself from further risks. Contact your bank and explain to them your situation, they will give you necessary instructions to follow and will help you, if possible, recover your money.
Report what happened to you, file a complaint, contact the financial regulator, contact other government institutions related to trading and investing, call the police if you feel necessary. Seek help actively!
It’s crucial not to rush blindly trying to recover your funds because many scam recovery agencies and individuals are stalking, aiming to double scam the victims. They ask for an advanced payment, but do nothing to help you recover your losses and simply pocket the money you’ve sent!
Share online your experience; it’s important to protect others, as well. Be responsible!
Rich Snippet Data