Warning on Currency Exchange Scams: Be Vigilant and Protect Your Funds

Recently, we’ve noticed instances of fraudsters carrying out currency exchange scams by promising unusually high exchange rates or using fake advertisements. These scams not only harm customers but also violate local and international laws. To help you better identify and guard against such scams, we’ve put together this article with tips and advice.

1. Case Studies

i. Victims Scammed Through Accounts
Some people have been tricked by scammers who promised them unusually high exchange rates. The victims sent money to the scammers’ accounts but never received the foreign currency they were promised. Since these transactions did not involve legitimate trade activities and were not performed through official channels such as licenced and authorised financial institutions, recovering the money became almost impossible.

ii. Misuse of Accounts for Illegal Currency Exchange Deals
Certain merchants misrepresented their business offerings to be advertising services or other legitimate services but secretly engaged in unlawful currency exchange transactions. Upon discovery of such activities, their accounts might be subject to suspension, termination or such other actions.

2. What Are the Risks?

i. Legal Risks of Transactions Without Genuine Trade Background
Any payment not based on genuine commercial transactions is a breach of our Terms and Conditions. Such activities may be deemed as unlawful activities, or even as money laundering, which could result in customers’ accounts being terminated, potential penalties, financial penalties, or other legal consequences.

ii. Violating Local Currency Exchange Rules
Many countries have strict regulations on exchanging of local currency and foreign currencies. For example, in Vietnam, you’re only allowed to exchange money through licensed financial institutions. If you exchange currency with unlicensed agents or individuals, such activity is a breach of law, which could lead to serious consequences.

iii. Breach of Account Terms and Conditions and Applicable Regulations
Our account terms and conditions, and applicable regulations prohibit our service to be used by persons engaging as unlicensed money exchangers. Violating these rules could cause serious legal repercussion to the customers.

3. How to Protect Yourself

i. Stay Alert and Verify Who You’re Dealing With
Before making any payments or engaging in currency exchange transactions, make sure you know who they are, whether they are qualified or licensed to do so and verify the information they provide. Do not trust people offering unusually high returns or deals that sound too good to be true.

ii. Learn the Rules and Follow Them
Familiarise yourself with the rules and regulations in your jurisdiction pertaining to currency exchange and ensure that your currency exchange transactions comply with them.

iii. Use Legal and Trusted Financial Institutions
Always exchange your money through established banks or licensed money exchange operators in your jurisdiction. Avoid using unlicensed services providers for currency exchange.

iv. Report Unusual Activity
If you think you’re being scammed, contact our customer service team immediately. Save and share the relevant any proof, like messages or transaction records, to help us investigate.

In Summary:
It’s important to always protect yourself and stay safe. We hope this article helps you understand currency exchange scams better so you can avoid them and keep your money secure.