I would like to file a case against XM they don't follow their regulations I deposited 1000USD and traded and made a profit of 1340 USD and further placed a withdrawal, this happened on the 16th January and so they did not process my withdrawal and said my account was under investigation they will get back to me within 24 hours and so I complied and granted them the time period that they specified and said they would further report to me if there was an issue with my account whatsoever and so they got back to me after their 24 hours had expired and asked me for the strategy I had used to make my profit, bear in mind they didn't report back to me stating if there was or was no problem with my account and bear in mind my account with XM was opened earlier 2018 it wasn't even this year and so they said they had to validate or confirm my account, an account which was so old... But they now said I need to confirm my identity which I confirmed when I received their 30USD welcome bonus early 2018
Then they further had their support team call one of their representatives which was Aneta and she asked for my ID number which I confirmed and my address which I did that as well
Then they emailed me again and said as per their anti money laundering policy they had to with hold my funds and that this was forex policy and so I went to read their conditions and nowhere did I find that after I deposit money into my forex account and make profit a broker is allowed to disable my account and with hold my funds alogg with my initial deposit included and so I confronted them about the regulations of anti money laundering policies and one of their agents ended up saying they would reverse my money which they didn't do, after some time I contacted them again telling them it was not allowed and they were trying to lie to me thinking I'm not aware of bonus conditions so after fighting them with facts and law they decided to only return 1000USD to my account and started asking that I send them documents of my personal bank account ID document and proof of address I then further told them I was not comfortable to post physical copies of my personal documents through the hands of a third party because those documents have my banking details and my entire identity but I'll have them certified scanned and emailed to them and so they agreed, which was over a phonecall and so when I finally sent the documents through to them certified and everything they then said that I had to post physical copies despite the fact that it wouldn't change anything and so I had to take my funds again and make physical copies and have the documents certified and physically posted again at my cost and I'm doing all these things without the knowledge of what's wrong with my account because there are no inconsistencies whatsoever I provided all the information they required of me to provide.
Then to my surprise they start emailing me asking for the trading strategy I use and I should share with them how I trade for which reasons I am still in the dark till today
Once I told the representative that I was going to file a case on FPA and they said no FPA will only make the process longer and so I waited for them to handle it and it's been a month no feed back I also asked them that if I did anything wrong why do they not open a case number for me with XM which I can track and follow up on it has been over a month I still don't have a case number my money hasn't been processed only my initial deposit has but my profits are locked in
So I would also like to enquire if are brokers allowed to ask for physical copies of ID banking details which include your bank account number and card number as well as address because I feel like that compromises my safety to scams especially when this sensitive information has to pass through other parties and is not directly sent to them because they don't want them soft copy
Dear Mrs. Mukary,
In response to your posts dated 21st January 2019, please find our responses below:
A.Withdrawal request dated 16/01/2019
Following thorough review and investigation of all information available in our systems, as well as all the correspondence you had with the relevant personnel of our Company in regard to your withdrawal request dated 16/01/2019 for the amount of USD 2,361.15, we can confirm that the said withdrawal request was correctly rejected by the relevant department of our Company and you were informed that your account was temporarily suspended for investigation purposes. In addition, you were also informed that due to the latter no withdrawal requests would be processed at that time.
For your better understanding, prior to the processing of the said withdrawal request and upon relevant review of the trading activity in your account, please note that the trading patterns in your account strongly indicated that you acted in coordination with another client of our Company in order to exploit arbitrage opportunities by placing opposite orders. Due to our “no negative balance” policy, the trading strategy you were trying to exploit would have limited the potential loss to the entire balance of the account having the loss making position and the account having the profit making positions to have unlimited upside potential which will duly cover the losses suffered in the loss making account.
This cannot be deemed as an acceptable strategy as you create an environment which does not follow the fair rules of trading and makes the strategy in a way risk free and therefore not permitted. In this respect, we quote below the Clause 49.4 of Terms and Conditions of Business/Client Agreement for your reference:
“49.4 Any indication or suspicion, in XM’s sole discretion, of any form of arbitrage (including but not limited to risk free profiting), abuse (including but not limited to participant's trading activity patterns that indicate that the participant solely aims to benefit financially without being genuinely interested in trading in the markets and/or taking market risk), internal hedging in coordination with other parties, abuse of our ‘no negative balance’ policy, fraud, manipulation, cash-back arbitrage or any other forms of deceitful or fraudulent activity, will constitute all Transactions carried and/or profits or losses garnered as invalid. In these circumstances, we reserve the right to close/suspend (either temporarily or permanently) all of the Client’s trading Accounts and cancel/or all Transactions [..]”.
In view of the above mentioned violation, we can confirm that the withdrawal request dated 16/01/2019 was correctly rejected and your account was temporarily suspended. Following the Company’s first email and once the above findings were identified, you were requested via another email to provide the necessary documentation for verification purposes and respond to specific queries in relation to your trading account and trading activity. We note that you did not respond to any of the questions asked regarding your trading activity and account and that the documents were not provided in the requested manner and form. Furthermore, we note that your Client Relations Manager attempted to contact you numerous times via telephone, however, you were unreachable. At this point, we would like to stress out that the Company, pursuant to the Terms and Conditions of Business which govern its business relationship with its clients and in line with its policies and procedures, has the right to request additional information from its clients.
B.Withdrawal request dated 21/01/2019
We can further confirm that on 21/01/2019 you had submitted a withdrawal request, again for the amount of USD 2,631.15. Taking into consideration the above violation and the fact that you were not reachable and did not provide the requested documentation in the manner and form requested, any deposits made in your trading account were sent back to the source of deposit (i.e., USD 1,000) whilst the remaining amount of USD 1,361.15 was credited back in the trading account (which remains suspended). As you were already informed, the said amount may be sent to you upon receipt and review of the requested documentation, provided that such documentation is received in the manner and form requested and appears to be in order.
We hope that the above information explains what has occurred, and we would like to assure you that we always abide by the Client - Company agreement which governs our business relationship.