Complaint on XM (FRAUD MAYBE).

[jay1228]

XM apparently reduced my leverage on my standard account from 1:888 to 1:100 without having my consent. They did e-mailed me and the email goes like this,

Dear Sir,
Further to our risk management procedures, it has been decided that the maximum leverage to be offered to all of your trading accounts will be 1:100.
Additionally, we regret to inform you that your account(s) does not comply with our bonus Terms and Conditions, and that we must deduct the bonus amount from your trading account(s) and cancel any further bonuses for your account(s) in future.

If you have any question or concerns, please do not hesitate to contact us.
Kind regards,

XM Team
Middle Office
t: +357 25 029900
f: +357 25 820344
e: middleoffice@xm.com

Now, I replied to their email asking how can I change my leverage back to 1:888 from 1:100 and why did they change my leverage so sudden without my consent. Im making a huge negative floating right now on my account and they didn't even reply. Please help me with this.

Account number: 2587246

 

[jay1228]

This was due to our risk management procedures.
Please note that you may continue trading with us but your leverage will remain restricted to 1:100.
Kind regards,

This was their reply. Im still quite unstatisfied with the answer and needed them to elaborate more on this.

 

[FxMaster]

Two steps that you must follow

1st - Invite them to join this thread via email (Send email to every possible address).

2nd - Invite him via skype or any communication address you have for him.

 

[Pharaoh]

Depending on what pairs and what big news events are looming, it's possible that they are worried that your large floating negative will push your equity far below zero before they can hit you with a margin call. That would leave the broker to either eat the negative equity or to try to bill you for it.

 

[XM]

Dear jay1228,

Leverage of your trading account was changed when you had no open trades and you were promptly informed about the change. I can only guess the reason why you are misinforming the FPA community but the fact is that reduction of leverage did not affect any trades or floating loss because you simply did not have any. Moreover, you have continued trading with us after the change and since then as I can see your floating has never been more than $150 at any point of time.

I am aware that your account manager have already spoken with you and that your complaint has been handled in a satisfactory manner.

I can assure you that it is not our wish to trouble our clients and further confirm that we always endeavor to abide by the Client - Company agreement with which you accepted before starting to trade with us.

Kind regards,
Andrey - Official Representative of XM (Trading Point of Financial Instruments Ltd.)