SwissUnion.net review – 5 things you should know about Swiss Union

 "SwissUnion is one of the many brokers pretending to be headquartered in Switzerland, thus aiming to mislead customers and create a false sense of security. In fact, it’s an offshore entity that’s dangerous to deal with, and we’ll show you why in the full SwissUnion.net review.

SwissUnion.net REGULATION AND SAFETY OF FUNDS

As seen from the screenshot above, SwissUnion.net claims to be a Swiss entity based in Zurich. So, if it wants to call itself legit, the brokerage needs to be authorised by FINMA- the financial regulator in Switzerland. In fact, all Forex companies in the Alpine country need a banking license and should provide not less than 20 million Swiss Francs (more than 21.5 million USD in today’s prices) in paid-up capital. Well, the broker reviewed is neither a bank nor a legit FX company.

Actually, SwissUnion.net is just another shady entity that originates in St. Vincent and the Grenadines, and that’s undoubtedly a major red flag because the broker gives a fraudulent headquarter address. However, even if it didn’t do so, we still wouldn’t recommend it for two major reasons.

Firstly, SVGFSA- the financial authority in St. Vincent and the Grenadines, does not license or monitor brokers created on the island. The absence of regulation signifies that SwissUnion.net is constantly unaccountable, so it can always put clients’ money at risk or just misappropriate it. And if this happens, the people running the brokerage will escape punishment for their actions.

The second reason is that SVG tolerates the incorporation of shell companies with concealed ownership, which further makes SwissUnion.net immune to legal persecution. So, if voluntary or not, SwissUnion.net harms its customers, only they’ll take the loss, while the brokerage won’t face any consequences whatsoever. On top of all that, whenever customers fund trading accounts, the money goes offshore, where it just disappears without a trace. Those things considered, we confirm that your funds will be in danger if you deposit with SwissUnion.net because it’s anonymous and unregulated.

That’s why it’s always a better choice to open accounts with companies authorised by trustworthy financial regulators like CySEC (Cyprus) and FCA (Britain) if you are genuinely interested in trading. Both mentioned force brokers to keep deposits segregated, thus ensuring that clients won’t lose their capital in case of unforeseen events. The segregation improves transparency, speeds withdrawals up, makes chargebacks easier and generally helps prevent fraud. What’s more, the European FX companies are covered by deposit insurance funds laid down to reimburse clients in case of unforeseen events- CySEC brokers’ clients can get up to €20 000 in compensation, while the British guarantees are even up to £85 000.

SwissUnion.net TRADING SOFTWARE

SwissUnion.net has some Webtrader, but the broker didn’t let us test it, as you can see from the screenshot at the bottom of the section. So, training accounts with virtual money are not available, which is a major red flag because every self-respected broker allows Demo trading before KYC or a deposit.

In any case, though, we doubt that the Webtrader can be compared to MetaTrader 4 and MetaTrader 5– the market leaders coming with advanced tools like Expert Advisors and even its own programming language (MQL). We recommend both MTs as they withstood the test of time and are still the most widely used platforms.

Discussing real-time spreads and trading costs is worthless in this case. However, we’ll discuss the alleged risks involved- SwissUnion.net claims to offer leverage of up to 1:400, so its services could be hazardous. We say so because leverage is dangerous, and it’s now a part of the regulatory framework in many countries- regulators allow up to 1:30 in the EU, UK and Australia, and 1:50 in the USA, respectively. It’s worth noting that Swiss brokers can offer 1:400, but as already discussed, the one we are reviewing has nothing to do with Switzerland actually. Avoid!

SwissUnion.net DEPOSIT/WITHDRAW METHODS AND FEES

The minimum deposit is $5000 allegedly via Credit/Debit cards, SEPA Transfers and Bitcoin, but we can’t validate this piece of information as our account is still pending. Still, $5000 is too much, given that many trustworthy companies are nowadays offering their services for $5 or even less. So, SwissUnion.net is an unregulated broker providing no Demo accounts, and it asks for 5K to begin trading. That’s certainly not a legit offer.

As for withdrawals, there isn’t much to discuss except for the bonus policy that unethically alters the trading conditions. In particular, clients need to trade 1/4 the bonus amount in terms of lots to become eligible for withdrawals- for $200 given away, 50 lots (5 million USD in turnover) should be executed. Too much!

HOW DOES THE SCAM WORK

SwissUnion.net is an unregulated offshore brokerage falsely pretending to be a legit broker from Switzerland, which is more than enough to put it as a suspected scam. That being so, we’ll now share how scammers usually work while trying to milk unfortunate victims for as much money as possible.

So, when fraudsters get hold of your contact numbers, you’ll get a call, promised the moon and the stars if you deposit immediately. And to gain trust, those criminals will usually pretend to work for governments, financial authorities, banks, other reputable companies and so on. Scammers will be confident in what they say, so if you don’t see the warning signs, you may end up depositing fascinated by their fake commitment. However, the fraudulent game actually begins after you send the money. Once they have the desired deposit, the cons will distort prices and forge fake reports to make you believe you are on the winning side, manipulating you to start thinking big and consider more deposits.

Then, the fraudsters will continuously ask you to increase the size of the investment and invent stories to make you deposits over and over again. Sooner or later, though, you’ll get determined to withdraw some money, and then the scammers will ask you to deposit again because, according to their words, there are taxes and fees that you should pay. At this point, you’ll probably realise something wrong is going on, and when the scam becomes too apparent, the cons will simply stop answering your calls and e-mails.

WHAT TO DO WHEN SCAMMED

It would be best if you first call your bank to inform it and deactivate your card to avoid getting exposed to additional risks, as the scammers may as well have obtained your details.

Then, call the police, inform the financial authorities, file complaints and don’t forget to spread the word online so that other people can find out about the fraudulent scheme. Still, it’s crucial not to rush trying to reclaim your funds as numerous scams are disguised as chargeback agencies set up to double-scam victims.

Finally, we know it’s an awful experience to get scammed, but please share your story to help protect others!"