TeraFX is an international broker that is registered in London, has the appropriate license and experience in trading in financial markets. The platform, at first glance, seems like the right place for traders. However, when studying reviews and regulatory documents, we concluded that there are many controversial points. Is a scam possible here?
- TeraFX General Information
- Registration and Client Portal Review
- TeraFX Trading Conditions
- Account Types Review
- Trading Platform
- TeraFX — Deposit and Withdrawal of Funds
- Verification
- Tools and Education
- Is TeraFX a Scam?
- Legal Information and License
- Terafx.com Domain Info
- Contacts Review
- Pros and Cons
- Frequently Asked Questions (FAQ)
TeraFX General Information
| Website | https://terafx.com/ |
| Phone Number | +44(0)203 048 4764 |
| customerservices@terafx.co.uk | |
| Address | Office 701, One Canada Square Canary Wharf, London, E14 5AA |
| License | FCA 564741 |
| Minimum Deposit | $100 |
| Assets | Forex (currency pairs), CFDs |
| Leverage | From 1:1 to 1:200 |
| Trading Platform | MetaTrader 4 |
Registration and Client Portal Review
On the TeraFX homepage, we see a welcome and an invitation to trade with a regulated STP broker. The company is licensed by the British FCA. You can go to its website and check the license.
Clients’ money is in the Royal Bank of Scotland. TeraFX also falls under the FSCS. In other words, a trader can apply for compensation to a specialized fund. However, there is a rule that any claim will be limited to £85,000 per person.
After getting acquainted with the site, you can open a live account. First, you need to provide personal and contact information. The system will send you an email with a link to create an account.
Next, you should fill out a detailed questionnaire about your finances, tax status, country of residence, experience on stock exchanges, and other data. In the end, you have to upload documents confirming your identity and place of residence. And of course, you should read the user agreements and agree to them.
As a result, we received a warning from the operators. The system considered that our editor did not have sufficient trading experience, so opening an account is impossible.
Accordingly, we cannot show you the client portal. If desired, any user can register a demo account on the TeraFX platform. However, it only gives access to the MetaTrader 4 terminal, so we do not consider this to be advisable.
TeraFX Trading Conditions
TeraFX clients have access to 4 trading accounts. In addition, they have the opportunity to connect corporate and demo accounts. To discuss the conditions, you need to write to the broker’s email or contact the sales department by phone.
Account Types Review
Before trading, you should select an account type that matches your preferences and capabilities. The minimum deposit is $100.
| Name | Number of Available Instruments | Leverage | Spreads |
| Starter | 82 | From 1:1 to 1:30 | Floating |
| Premium | 147 | From 1:1 to 1:30 | Floating |
| ECN | 82 | From 1:1 to 1:30 | Floating |
| Pro | Depends on sub-account | From 1:4 to 1:200 | Floating |
All accounts have a swap and no commission. TeraFX also presents detailed specifications for each type in PDF.
Trading Platform
For trading on the exchange market, TeraFX has provided the popular Meta Trader 4. Clients, especially experienced ones, know that it has advanced functionality. The main benefits of the platform include:
- User-friendly interface
- A wide range of tools
- High security and data protection
- Mobile version.
Unfortunately, there is no web version of the terminal. For some reason, the broker offers to install an exe program as web software. It stands to reason that it’s available only on Windows. What should MacBook owners do? Secondly, only CFDs are supported here. Not very good.
As for the mobile versions of the MetaTrader, Tera provides links to the App Store and Google Play.
TeraFX — Deposit and Withdrawal of Funds
You can deposit money using a card, bank transfer, or electronic wallet. The funds will be held in segregated accounts of major UK financial institutions.
TeraFX does not charge any fees. However, they may be charged by a third-party bank or payment provider.
Verification
TeraFX does not provide a detailed description of the verification anywhere, although the documents can be downloaded immediately upon opening an account. Even in the Client Agreement and the Risk Warning there is almost no mention of the AML policy.
It’s funny, but the TeraFX client department sent us a list of necessary documents for verification by email. Recall that they did not approve the application for opening an account. However, they still ask to confirm the identity.
So, the broker requires:
- Proof of identity (passport or alternative document)
- Proof of address (e.g. utility bill).
Terms of verification of documents are unknown. However, our failed account application was processed within a few minutes.
Tools and Education
As a European broker, TeraFX is not allowed to offer aggressive marketing or bonuses. At the same time, the company wants to improve the skills of traders and therefore provides training materials.
Alas, it copes badly with this task. Links to upcoming and recorded webinars are broken. It remains to be content with the standard economic calendar, which is imported from TradingView.
You can also become a member of the TeraFX affiliate program. However, its terms remain secret until you personally contact the consultant by email or phone.
Is TeraFX a Scam?
Let’s see if it is possible to work with the broker based on its legal data and customer reviews. We will also use information from trusted sources.
Legal Information and License
TeraFX is indeed registered in the UK and has the required documents, which can be seen on the FCA registry website. Companies House confirms that the legal entity was incorporated in 2011.
It seemed interesting to us that the company had other trade names. They are not mentioned on its website, but some of them still exist today. Moreover, they operate in other jurisdictions. Meanwhile, the license allows TeraFX to serve only citizens of the UK and Gibraltar. What about the rest of Europe?
Terafx.com Domain Info
A domain check shows that it was registered in 2013. According to the Internet Archive, it was originally a Turkish site. It is not surprising, because two Turkish persons are now members of the board of directors of Tera Europe Limited.
Most likely, the broker also works in other countries for other domains. It is not known how legal such activity is.
Contacts Review
You can contact the TeraFX representative by phone number, email address, or online chat. The company is located in the UK at Office 701, One Canada Square Canary Wharf, London E14 5AA. Notably, the UK address on the site is for the head office. Can we assume that there are branches?
Pros and Cons
- Official registration.
- FCA license.
- Account opening troubles.
- Only downloadable MetaTrader is used for trading.
- Cumbersome verification.
- Lack of analytics and education.
- Uncertain work term.
Obviously, TeraFX is not a scam. However, we can't call this broker the preferred option either. It only works legally in the UK, and its trading conditions are not very enticing. Additional services are also not up to par. So, there are probably better companies.
Frequently Asked Questions (FAQ)
The activities of the FCA usually extend to the entire eurozone. However, in the case of this broker, the regulator for some reason does not mention other countries.
The FAQ section says $100. The grading of the accounts is unknown.
We think most likely if you are a British citizen.
Dubious company
They use their schemes with various companies to confuse any client and just a researcher while hiding information about their management. Scammers are covered by Tera Europe Limited. In fact, the suspicious connections go much further.
It looks like a fraud
My experience is not good here. First, they asked to transfer $1,000, then another $5,000 to work on the stock market. As a result, most of this money was lost due to software problems. Amazingly outdated Metatrader integration. The connection speed was sometimes like from a modem. Formally, you can’t even complain about them, since the risks are described in the agreement.
They can do any fake
If we consider the TeraFX contract in detail, then we can write a whole article. I will only talk about one paragraph. It says that the managers do not give any assurances and guarantees regarding the completeness of the information and detailing of any transaction at the legal level. Thus, they can falsify any transaction.