Chargeback company scams

The intense activity of dubious organizations providing services in the online trading industry creates fertile ground for demand for refund services from untrustworthy brokers.

This is handled by specialized law firms.

Unfortunately, up to 95% of these organizations also defraud traders.
 
Let's explore how this happens and why it's so difficult to recover funds from fraudulent brokers using the international payment system's guarantees.

What is a chargeback, and what do legal companies do?

Chargeback is a guarantee from Visa and MasterCard international payment systems that refunds money to the payer if a product or service is of poor quality, or if the buyer does not receive what the seller promised.

In such situations, the user of the mentioned payment systems has the right to file a complaint and demand the cancellation of the transaction.

If this appeal is considered in his favor, the amount paid will be compensated in full.

When it comes to dubious brokers, the situation is less clear-cut, and there are several reasons for this:

In the user agreements of untrustworthy organizations, the terms of cooperation are written in such a way that even if a client's account is blocked without justification, the truth remains on the company's side.

That is, with their relatively illegal actions, brokers do not violate regulations and legal norms.

A trader transfers funds to an account and receives guaranteed company access to the trading platform, ensuring full service.

The client then allegedly violates the terms of the agreement, leading to a block. This is how international payment system representatives will handle a user's request.

To initiate a payment cancellation, the applicant must prove payment with a bank statement.

Most unscrupulous brokers either provide clients with the details of private third parties with no official affiliation with the company or process transactions via blockchain, making it impossible to determine the final recipient.

For a request to be considered, the bank statement must clearly indicate the transfer of funds to the intermediary company, which is quite rare.

Initiating a chargeback procedure is possible if the account was replenished using Visa and MasterCard cards.

If you deposit funds via EPS or bank transfer, it will be virtually impossible to obtain a refund.

To cancel the payment and return your investment, you'll need to gather a small set of documents:

• A certified copy of the civil passport.
• The broker's user agreement, which should highlight the points violated by the company.
• A request to cancel a payment, written in English.
• Bank statement to confirm the transaction.

These documents are sent by registered mail to the head office of the bank that issued the card and are subsequently submitted to the international payment system (IPS) for review.

Authorized specialists have a limited review period of 60 calendar days.

Everything seems simple enough, but bank employees often refuse to accept documents, thereby violating their own regulations.

Credit institutions are required to consider absolutely any client request.

What do specialized law firms do?

To obtain a refund from a broker, it is recommended to contact competent lawyers who provide services without upfront payment.

An experienced specialist will handle the entire process, drafting documents, liaising with the broker and regulators, and ensuring that the IPS representatives review the request. Unfortunately, finding such a lawyer is extremely difficult.

Almost all chargeback companies providing services to CIS citizens operate according to the following scheme:

Upon signing the agreement, the user makes an advance payment required to draft the documents and pay for the transfer. The amount varies from 10,000 to 30,000 RUR and depends on the amount of the lost deposit.

The agreement does not guarantee success. The terms of the document merely guarantee the lawyers' performance in drafting and submitting documents.

After receiving the advance payment, the specialists pretend to be working and, after 2-3 months, notify the client that the IPU has rejected the application. In this case, the advance payment is non-refundable.

It's worth noting that this scheme is fully compliant with current legal regulations. Therefore, attempting to defend one's interests in court will only lead to further financial losses.
 
To avoid falling victim to such scammers, it's best to work with lawyers who don't require upfront payment for their services. And, of course, open accounts only with reputable brokers from the very beginning - http://time-forex.com/vsebrokery/proverennye-brokery