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  • FIRST POST
    • Irritated34
    • By Irritated34 7th Feb 17, 9:05 AM
    • 6Posts
    • 3Thanks
    Irritated34
    Section 75 Binary Options claim
    • #1
    • 7th Feb 17, 9:05 AM
    Section 75 Binary Options claim 7th Feb 17 at 9:05 AM
    Hello, I'm new to the forum so please excuse me if I get confused!

    Back in July 2016 I joined a Binary Option site called Option.fm.
    To cut a very long story short, I'm disabled and I was looking for a way to top up my monthly income as I have had to cut my working hours.

    The company looked legitimate and I signed up.

    Using their very clever ways, they promised that they could make me money by following the advice of their very experienced account managers.
    I did what the advised, but by the end of August I had lost all of my deposits, amounting to just under £18,000.00

    As soon as the account went down to next to nothing, I complained to the company but they did not help me. I contacted my credit card company, they were very sympathetic and after investigation started a chargeback. Last week they told me that it had been unsuccessful and that they were passing it onto Section 75. This department contacted me yesterday, and told me that they would have to contact the company involved, I stated that they would not get very far as this Binary options company were on many Internet forums, where other people had also been scammed. The gentleman at section 75 did not seem very interested, and did not inspire any confidence in me.
    I am going out of my mind with worry, as I can not afford this debt on my very small income.
    I have reported this scam to ActionFraud and have spoken to the police about this, they agreed that it was a scam.
    I have done some research and understand that if the Section 75 claim fails I can then take it to the financial ombudsman but there are no guarantees.
    If anyone can give me any advice I would be very grateful.
    Thank you
Page 2
    • bigadaj
    • By bigadaj 11th Oct 17, 2:13 AM
    • 10,819 Posts
    • 7,147 Thanks
    bigadaj
    My partner, who is much older than me (past retirement age) has unfortunately been drawn into this binary trading. He has no idea at all what he is supposed to do, and has only just told me about it, after several months of worry. He has parted with £6,500, and admits that he was subjected to very high pressure selling tactics. He was naive, and I'm relieved he stopped at 6.5K - from what I read online it could have been much, much worse. He tells me he was told to take out a loan, and that the broker even suggested he should use his pension pot. It's bad enough, but could have been disastrous. At the moment, the amount in his trading account is only about £600 lower than what he has invested. However, when he clicks on the My Account button, there is no withdraw button showing, for him to apply to withdraw funds - I cannot understand this, as the website claims that all you need to do is click on the my account button, then the withdraw button,and type in the amount you want to withdraw. Impossible, as the withdraw button just isn't there. I am at a loss, and would welcome some advice.
    Originally posted by Kimmy12
    Unfortunately that money is basically gone, these outfits are based offshore and are unregulated.

    Only answer is to write off that money and make sure he never goes anywhere near anything like this again.
    • Kimmy12
    • By Kimmy12 11th Oct 17, 7:27 PM
    • 3 Posts
    • 2 Thanks
    Kimmy12
    Thank you bigadaj. That is what I expected. I have contacted the FCA, who have informed me that Plus Option is an illegally operating scam. They put me in touch with Fraud Watch, and I have filed a report with them. As my partner didn't authorise the final deposit, his bank is pursueing the possibility of a charge back for that final amount. They have explained that they have attempted to assist other customers (in the same situation) in this way, with varying degrees of success. I think it unlikely he will ever see his money, but the advisor at the FCA suggested that it was reasonable to ask his bank to look into this for him. We await developments with little hope of a happy outcome. Until this happened I had never even heard of binary options. My partner is upset and embarrassed, so is unlikely to share what has happened to him with others, and therein lies the problem with these scams. People just don't find out about them until they fall into the trap themselves.
    Last edited by Kimmy12; 11-10-2017 at 9:54 PM.
    • eco_warrior
    • By eco_warrior 11th Oct 17, 8:59 PM
    • 172 Posts
    • 56 Thanks
    eco_warrior
    Chargebacks for this are next to impossible, esp since mastercards change in stance in April this year. Iíve seen folk lose nearly 100k to it
    • Kimmy12
    • By Kimmy12 11th Oct 17, 11:24 PM
    • 3 Posts
    • 2 Thanks
    Kimmy12
    So all you have to do to avoid prosecution for fraud is be "difficult to track down". I'll remember that when I embezzle my next million.

    Binary options, and any kind of trading with instruments, is not a scam, it isn't fraud, it's not illegal. It is legitimate business, the same as online casinos are.

    With respect, I doubt that the police agreed with you, and I doubt even more that they just shrugged their shoulders and said we can't do anything because they're difficult to track down.

    I would believe they said they couldn't do anything because no fraud has been committed.
    Originally posted by bearcat16
    Actually when I filed a report to Fraud Watch about this exact same thing - though with a different online trading platform to the one stated by the OP - the person at Fraud Watch said it WAS illegal and WAS a scam. His exact words.
    • chattychappy
    • By chattychappy 12th Sep 18, 9:24 AM
    • 6,950 Posts
    • 3,795 Thanks
    chattychappy
    The selling of of financial products/services in the EU is highly regulated. Transactions can be illegal because the sellers are people who are not authorised or exempt under S19 Financial Services Markets Act 2000.

    S75 makes CCs jointly liable for breach of contract/misrepresentation (subject to provisos).

    It would be quite a leap to hold a CC liable via S75 for it's involvement in the illegal selling of a financial product/service - but personally I think that's the best hope.
    • eco_warrior
    • By eco_warrior 14th Sep 18, 6:34 PM
    • 172 Posts
    • 56 Thanks
    eco_warrior
    The selling of of financial products/services in the EU is highly regulated. Transactions can be illegal because the sellers are people who are not authorised or exempt under S19 Financial Services Markets Act 2000.

    S75 makes CCs jointly liable for breach of contract/misrepresentation (subject to provisos).

    It would be quite a leap to hold a CC liable via S75 for it's involvement in the illegal selling of a financial product/service - but personally I think that's the best hope.
    Originally posted by chattychappy

    Agreed. I've not known any S75 claims to be upheld but some may have been. Banks would view the service as being provided once the money is loaded to the trading account. Transactions from this point aren't being made from the credit card so S75 doesn't apply, and its these transactions from which the problems arise i.e. cash all gone
    • chattychappy
    • By chattychappy 15th Sep 18, 10:17 AM
    • 6,950 Posts
    • 3,795 Thanks
    chattychappy
    The barrier is that S75 doesn't make the CC a party to the transaction in the normal sense. It just makes the CC liable for breach or misrepresentation. I recently encountered some pyramid sellers selling a financial service. The FCA has said that this particular scheme is almost certainly illegal, meanwhile the sellers are saying they are not doing anything wrong and that it's lawful. I'm sure many have signed up on that basis - so in this example there is a potential misrep claim.
    • bris
    • By bris 15th Sep 18, 11:28 AM
    • 8,055 Posts
    • 7,040 Thanks
    bris
    This thread is over a year old, why bring it back up?
    • chattychappy
    • By chattychappy 15th Sep 18, 11:51 AM
    • 6,950 Posts
    • 3,795 Thanks
    chattychappy
    This thread is over a year old, why bring it back up?
    Originally posted by bris
    Weird - my post is almost a year since the previous one, but I wasn't digging back. Perhaps there was a post in between (eg spam) that got deleted but brought it to the top long enough for me to reply.
    • msallen
    • By msallen 19th Sep 18, 5:21 AM
    • 907 Posts
    • 1,052 Thanks
    msallen
    Was filling reluctant in posting this but just have to post it so that traders out there would be cautious. Was con some years back by b4binary, was promised bonuses but didn't know they were fake as at then,they were so tempting i fell for it, when it came to me withdrawing my money thats when i knew what was happening, then binaryuno came along promising me smooth and hiccups free withdrawals, still fell for there trick also, they drained off what was left but was later rescued out of all this mess through the aid of Adams. Got to know through an article he wrote concerning binary options and scam, together and all the documents i provided he was able to recover all i lost, pls beware of B4binary and Binaryuno. <email not quoted>
    Originally posted by Brandoon
    Ah - the old "this is how you can get your money back" scam.

    Very amateurish Brandoon. You'll have to do better than that.
    • JNoble
    • By JNoble 5th Oct 18, 1:01 PM
    • 1 Posts
    • 0 Thanks
    JNoble
    Binary Options
    In my case I had money in the account unused and the broker disappeared. Website down and seems untraceable. I have so far been rejected by my CC company and still trying to pursue the return of funds.
    • audymaccop
    • By audymaccop 5th Oct 18, 3:09 PM
    • 5 Posts
    • 0 Thanks
    audymaccop
    Section 75 Binary Options claim
    7th Feb 17 at 8:05 AM
    #1
    Hello, I'm new to the forum so please excuse me if I get confused!

    Back in July 2016 I joined a Binary Option site called Option.fm.
    To cut a very long story short, I'm disabled and I was looking for a way to top up my monthly income as I have had to cut my working hours.

    The company looked legitimate and I signed up.

    Using their very clever ways, they promised that they could make me money by following the advice of their very experienced account managers.
    I did what the advised, but by the end of August I had lost all of my deposits, amounting to just under £18,000.00

    As soon as the account went down to next to nothing, I complained to the company but they did not help me. I contacted my credit card company, they were very sympathetic and after investigation started a chargeback. Last week they told me that it had been unsuccessful and that they were passing it onto Section 75. This department contacted me yesterday, and told me that they would have to contact the company involved, I stated that they would not get very far as this Binary options company were on many Internet forums, where other people had also been scammed. The gentleman at section 75 did not seem very interested, and did not inspire any confidence in me.
    I am going out of my mind with worry, as I can not afford this debt on my very small income.
    I have reported this scam to ActionFraud and have spoken to the police about this, they agreed that it was a scam.
    I have done some research and understand that if the Section 75 claim fails I can then take it to the financial ombudsman but there are no guarantees.
    If anyone can give me any advice I would be very grateful.
    Twofold alternatives are thought about betting right now (ideally before long to change to speculations so the FCA can direct) so I'd be astounded if the monetary ombudsman could help. Pitiful to state I think your cash has gone.
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