Northfintechfx – Can You Trust Them?

Website URL: https://northfintechfx.co

Founded: 2020

Regulations: Unregulated

Languages: English

Deposit Methods: Xchangepro, Titan Payment, The Change

Minimum Deposit: Unknown

Free Demo Account: No

Number of Assets: N/A

Types of Assets: Indices, Foreign Currencies, Commodities, Cryptocurrencies

Trading Accounts and Conditions

Northfintexhfx has not provided any information about the types of accounts it offers its clients. However, going by what is written on the broker’s home page, it seems that there is only one type of account available.

Leverage ratios are advertised at a maximum of 1:500, but there is no information given about the spreads. We did check the broker’s platform to get this information. We were able to verify the leverage ratios and saw that the spreads are at 2.3 pips for the EURUSD on the web-based trading platform while they are at 1.5 pips on the downloadable platform.

Northfintechfx – Advantages

We did not find anything that could be an advantage to traders on Northfintechfx.

Northfintechfx – Disadvantages

Here is a list of the reasons why we would not recommend this broker – nor would we trust it:

• Unregulated Broker

According to the broker’s Terms and Conditions, their financial services are provided by two companies – NorthfintechFX Trading Services Ltd and Citigroup Global Market Singapore Pte. There are no legal references for either of these companies, which is an immediate red flag.

The broker goes on to claim that it is registered in St. Vincent and the Grenadines which makes it an offshore brokerage. SVG is a favorite with scammers since there are no regulations in place for forex brokerages.

There is no other information given about this broker’s registration status, which leads us to conclude that this broker is not regulated in any way and is offering its financial services illegally.

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• Banned by CONSOB

We aren’t the only ones to have noticed the anomalies surrounding Northfintechfx’s regulation status. The CONSOB (which is the Italian financial regulator), on September 7, 2020, issued a public warning against this broker, stating it was offering its services illegally. They have already ordered the broker’s website to be blacked out in Italy.

A financial regulator of the CONSOB’s standing blacklisting a brokerage is a clear sign that it is a scam operation and that it would be best to avoid contracting with that entity.

• High Leverage Offered

NorthfintechFX offers a maximum leverage of 1:500. While this kind of ratio is allowed in jurisdictions such as Australia, European, English and North American regulators have put a limit to the amount of leverage a broker can offer. In the EU and the UK, that limit is set at 1:30, and in the US the limit for leverages stands at 1:50.

So, considering that this broker seems to be operating in the European region, we would say that the leverage ratios it is offering are too high – and illegal.

• High Spreads

While the broker has not given details of the spreads it offers on its website, we were able to check its platforms (both the web-based and downloadable ones) to get that data. We found out that on the web-based platform, the spreads for the EURUSD were at 2.3 pips. The spreads on the downloadable MT4 platform were at 1.5 pips.

While the downloadable platform’s spreads with on the higher side of the market average range, the spreads on the web-trader was too high. And the inconsistency in spreads between the two platforms is also another cause for concern. One broker should have only one set of spreads.

While high spreads are not illegal, they do make the cost of trading too expensive. So, even if we had no other problems with Northfintechfx, we would still not recommend this broker simply based on the types of spreads it offers.

• Third Party MetaTrader4 Platform

Northfintechfx offers its customers support for the MetaTrader4 platform. This should be a huge advantage for the broker since the MT4 platform is the world’s most popular trading software. It has a range of excellent features because of which it is favored by 80% of all traders.

The reason we have listed it as a disadvantage is because it is licensed to a third-party company by the name of The Change Ltd. This implies that all the trading conditions we have seen on the broker’s platforms don’t really belong to them.

Furthermore, their web-trader platform is licensed to a company called Zurich Corporation (which has the domain name Isystemstech.com). This company has been blacklisted by the FINMA, which is the financial regulator in Switzerland.

There is yet another company mentioned as a licensee of their trading software – Zurix Corp.

Based on what we have seen, we have a feeling that all three companies (Zurich Corporation, Zurix Corp and the broker) are run by the same scammers.

• Suspicious Payment Methods

Normally, brokers offer their clients credit card, debit card, bank and wire transfers, and popular e-wallets such as Skrill and Neteller as payment options. There are many brokers today who also offer cryptocurrencies as a payment method.

However, Northfintechfx offers three very strange payment options – Xchangepro, Titan Payment and The Change.

Now, Xchangepro is actually a fiat to cryptocurrency exchange service. So, when you deposit money using this provider, all you’re doing is converting your money into digital currency. Titan Payment is an online payments provider like PayPal. Except that it doesn’t have the same credibility as the payments major. This Polish e-wallet is, in fact, considered extremely shady and has been linked with money laundering in the past.

Finally, we don’t even know what The Change is since it doesn’t work. We tried clicking on the link to process our payment, but we were not even able to leave the registration page.

Conclusion

Northfintecfx is an extremely suspicious broker and shows all the signs of being a scam operation. We would not recommend that any trader contract with this broker.

Northfintexhfx

2.5

User Experience

3.2/10

Payment Options

2.3/10

Security

2.5/10

Support

2.2/10

Reputation

2.5/10

Pros

• None

Cons

• Unregulated Broker
• Banned by CONSOB
• High Leverage Offered
• High Spreads
• Third-Party MetaTrader4 Platform