Woolwich Capital – Can You Trust Them?

Website URL: www.woolwichcapital.com

Founded: 2018

Regulations: Unlicensed

Languages: English

Deposit Methods: Coinipop

Minimum Deposit: $5,000

Free Demo Account: No

Number of Assets: N/A

Types of Assets: FX, Shares, Cryptocurrencies, Commodities, Indices

Trading Accounts and Conditions

Here are the types of trading accounts offered by Woolwich Capital:

• Basic: To start a Basic account, you first need to make a minimum deposit of $5,000.
• Standard: The minimum deposit this broker asks for is $50,000 for this account.
• Silver: You need to make a minimum deposit of $100,000 to use this trading account.
• Gold: The minimum deposit you are required to make for the Gold Account is $250,000.

The broker has not provided any information about the trading conditions set by them. There is nothing related to the spreads, the leverage ratios, commissions or fees on this broker’s website. We had to register for an account to find out about the spreads – which was at 0.9 pips for the EURUSD pair. Despite registering, we were still unable to get any information on the leverages or other possible costs of trading.

Woolwich Capital – Advantages

After going through this broker’s website in detail, we cannot find any advantages to trading with them.

Woolwich Capital – Disadvantages

Here is the long list of disadvantages of trading with Woolwich Capital:

• Anonymous, Unlicensed Broker

The first thing that we check up on is a broker’s license status, whether is it appropriately regulated or not. To be able to do so, we need to have all the corporate information of the company behind the brokerage – its name, address and license number.

The company name provided in the Contact Us page is WOOLWICH CAPITAL LIMITED. There is a London address provided, which, when we investigated, turned out to be a virtual office. This means that this broker does not really have a physical address to provide. The telephone number provided also a fake.

What this also means for you is that if you contract with this broker, you will actually be dealing with an anonymous entity.

Furthermore, we checked up on the license number this broker has provided on its website. We found out that it is an Australian license number that was de-registered by the ASIC (Australian Securities and Investments Commission) on August 15, 2017.

The broker has also mentioned that it operates in Australia, the UK, New Zealand as well as the European Union. We checked the online registers of all the countries’ financial authorities and found that this broker is not listed on any of them.

Thus, we can safely say that this broker is not regulated in any way.

This makes Woolwich Capital an anonymous and unregulated broker, and dealing with such an entity puts your funds at risk.

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• Poor Trading Platform

This broker does not support the MetaTrader 4 platform, which is what the majority of brokers offer. The MT4 platform is so popular because of how easy it is to use and the many features for advanced trading it has. If you are a novice trader, you will love how easy it is to use this trading software, and if you are more experienced trader, then you will love the range of charting, market analysis and automatic trading tools this interface provides.

What Woolwich Capital does provide is a web-based platform that looks like it was hastily put together by amateurs. The only useful feature that this platform has is the pending orders one. The charts on its dashboard have been directly extracted from an independent market data provider called TradingView. There is no data on the broker’s liquidity, which means that that fantastic 0.9-pip spread we see here is not the broker’s own.

• No Leverage Information

Another red flag that we find about this broker is that there is no information about the leverage ratios it offers. Leverages are important information as they let traders know what kind of trading strategy they should adopt.

As a benchmark, most brokers that are regulated in the UK and the EU cannot offer more than 1:30 leverage ratios, but in Australia and New Zealand, they can offer much higher ration – as much as 1:500.

• Ridiculously High Minimum Deposit Requirement

Woolwich Capital demands a minimum deposit of at least $5,000, which is just ridiculously high. Most brokers require you to deposit between $100 and $250 as an initial deposit, so $5,000 is just much too high.

• Deposit and Withdrawal Methods

The two most important transaction details that a trader requires from a broker are the methods by which they may deposit or withdraw funds. However, this information too is missing.

Woolwich Capital’s withdrawal section states that you can withdraw your funds using Bank Wires, Cryptocurrencies and Credit Cards. However, there is no information given about the time it will take for such transactions to be processed or even what fees this broker charges.

Furthermore, when we checked their payment section, we found out that the only way you can make deposits is via Coinipop, which is a kind of a cryptocurrency payment service based in Estonia.

We need to warn our readers that making payments via cryptocurrencies is highly risky since there is no way you can get your money back; cryptocurrency transactions are irreversible. On top of that, such transactions are also almost completely anonymous, so you won’t even be trace who has taken your money.

And finally, the only way you will find out about the withdrawal conditions is if you first open and account and make a deposit with this broker.

Conclusion 

Woolwich Capital has given information that are outright lies, which means that this is a broker that you just cannot trust. We would recommend that you look for another broker – one that is truthful about its regulatory status, corporate information and trading conditions.

Woolwich Capital

2.6

User Experience

3.2/10

Payment Options

2.5/10

Security

2.3/10

Support

2.4/10

Reputation

2.6/10

Pros

• None

Cons

• Anonymous, Unlicensed Broker
• Poor Trading Platform
• No Leverage Information
• Ridiculously High Minimum Deposit Requirement
• Deposit and Withdrawal Methods