Binary Options are bets on whether an asset (currency, stock etc.) will go higher or lower in price at a certain point in time.
There are many online trading platforms that offer binary options however, there are no websites or online trading platforms registered or authorized to sell binary options in Canada.
Investors are often asked to make deposits into a trading account either via credit card, western union or bank wire transfer. Once the deposit is made an “Account Manager” usually contacts you to help with your trade. When you make a bet, they play on your emotions, let you win and lose some money. Money will show-up in your trading account and when you attempt to take it out, the company will start coming up with excuses to not give you your money.
Here are some red flags to help protect yourself:
• If the website guarantees extremely high returns, be leery.
• If you’re asked to wire money outside the country, don’t.
• If you receive a call or email from someone about the website, be wary.
If you come across a binary options website or receive a phone call or email, here are some best practices:
• Don’t give out your credit card information via phone or Internet if you don’t know the person or haven’t heard of the company.
• Don’t rush big financial decisions.
• If it sounds too good to be true, it probably is.