Making sure that you’re trading with a reliable Forex broker is one of the greatest favors you can do for your trading career. The online trading community is full of cases whereby a broker has scammed its client and stolen their money.
Our team at Top Forex Brokers is dedicated to helping you make the right choice. We regularly review Forex brokers, both big and small, and give you our honest take on their regulations, software, and trading features.
In today’s 70Trades review, we’ll do exactly that. Make sure to fully read this piece to find out if this broker is trustworthy.
The safety and security of the 70Trades
The very first thing we need to talk about is broker licensing. You may already know that a government license can be a deciding factor in whether a broker is a reliable or complete trash, with some exceptions, of course.
In terms of 70Trades, licensing is as straightforward as it gets. At the very bottom of the website, it says that the broker is established in Seychelles and holds a license from the Seychelles Financial Services Authority (FSA) with license number No. SD012.
Now, Seychelles is a third-world country with little to no financial or political prowess up its sleeve. What this means is that even if the FSA subjects are acting suspiciously, there’s no way the institution can effectively monitor them and suppress their fraudulent activities; There are virtually not enough resources for that.
Besides, we’ve seen all too many Forex brokers with the same FSA license from Seychelles that turned out to be nothing more than scammers. Therefore, a 70Trades license is not sufficient to get a high score in this metric. But still, the presence of a regulatory body is a positive sign in itself and all depends on the broker’s discretion and ethics.
70Trades Fees and spreads
As for the informative aspect of the website, we had a hard time finding some specific details about commissions and whatnot. Besides, even the details that were available turned out to be pretty suspicious.
What’s worse is the inactivity fees of the brokers are enormous. If a trader is not trading actively for three months, the broker applies a fee of 500 USD! This is very bad behavior from the broker’s side and could be considered as fraudulent. 70Trades fails to deliver an impressive commission package. While we weren’t able to find any specific information about the spreads, the inactivity fee is pretty alarming: apparently, if you leave your account inactive for 3 months (90 days), the broker will charge you 500 USD every quarter. This is just unbelievable and completely alleviates any kind of prestige 70Trades previously had.
Accounts, deposits, and withdrawals of 70Trades
However, as our 70Trades review shows, there are a couple of pretty alarming details that come along with these instruments. For example, leverage is what makes us doubt the legitimacy of 70Trades.
One of the biggest safety implications of high leverage is rapid market movements against your position. If you use high leverage, and you lose, the financial loss will be huge for you. That’s why the EU and US regulators cap this feature at 1:30. However, 70Trades completely neglects that by going for a much larger, 1:200 leverage rate.
When it comes to making payments on the platform, though, 70Trades features a decent amount of diversity. 70Trades withdrawals and deposits are powered by traditional methods like bank wire and credit cards, as well as alternative platforms like Skrill and Neteller.
70Trades Trading assets and features
Moving on, let’s talk about how the trading terms and conditions stack up against the competition in the market.
As the broker’s website points out, you can trade lots of different financial assets on the 70Trades platform. These assets are divided into the following categories:
- Currencies
- Commodities
- Stocks
- Indices
Of course, having this level of diversity in your choice of assets is an advantage; you can diversify your portfolio by trading all sorts of different products and have it secured from drastic and unexpected market developments.
Website and Features
Finally, let’s focus on the website and the overall software experience before we continue to other sections of our review.
When it comes to the website design, we’re not really impressed with what 70Trades has done. The interface is stuffed with pretty old visual decorations; besides, it’s pretty clear that the server that this website runs on is cluttered with huge chunks of data and is struggling to keep up with it, hence the laggy page loads.
When it comes to the trading platform, we were still unable to find any tangible information about which specific platform 70Trades offers. However, if we’re to guess, it probably uses its own proprietary software, which it can use in any form or fashion it so desires.
70Trades Customer Support Review
Customer support is probably the best thing about 70Trades as they provide all options including a live chat. Besides, the live chat, it is also possible to connect with the broker’s support team via WhatsApp. This alone would better support when compared to many other brokers if there were better trading conditions and lower fees. Now, we re this good support falls apart in this notice by the company: “*The Company has installed WhatsApp on the company’s computers using appropriate software. You acknowledge that the Company is not responsible and shall not be held accountable if any third party obtains access to any of your personal data, including but not limited to your number, email address, and any other information that may be provided through your communication with the Company or any other entity.” Definitely a scam behavior.
70Trades Education
70Trades has a coaching offer for traders, but its services seem less legit than other brokers as they do not take responsibility for customer data and their commissions are just ridiculous. We do not recommend using the educational services of this company either as it also could scam people out of their hard-earned money by false premises.
Should you consider 70Trades?
So, is it worth your time and money to trade with 70Trades?
Well, as our 70Trades broker review shows, the firm has many issues with its FSA licensing. It doesn’t even abide by the guidelines put in by this regulator, therefore, we believe it to be some kind of cover.
On the 70Trades website, we were able to find 3 different account packages, which are weirdly named ‘trading plans’. These are Entry Level, Advanced, and Pro plans, and they’re somewhat different from each other in minor details. Yet, the overall trading conditions are all the same for them.
As for trading terms and conditions, we found leverage to be dangerously high, whereas the commission charges are egregiously high. Finally, we checked out the broker’s software and determined that it’s no less mediocre than other aspects of 70Trades.
All in all, we cannot recommend trading with 70Trades to any of our readers.
