We all know that with the rigid laws and regulations it has become very difficult for forex brokers especially the unregulated ones to open the bank account because of the current scenario of the forex industry and hence making it very challenging for fore brokers to open a corporate account in the bank. The strict AML policies is also one of the reasons.
- It is very important to start the forex brokerage with a proper forex license because it is hard for an unregulated forex brokerage to be trusted by the people as most of them are really looking forward to working with the forex brokerages which are fairly regulated and have an authentic forex license.
- Banks have got the trust issues with the forex brokers who are unregistered or unregulated. As we all know that in the forex industry one thing that is involved is a regular transaction. Lots of transactions are made in a day, many deposits and withdrawals are done and therefore, it has become very difficult for the banks to regulate such transactions and hence they find it very hard to open a corporate account for the unregulated forex brokers.
- Unregulated forex brokerages are being noticed as the most high risk as the banks who tend to open the account for the unregulated brokerages may have to face huge penalties and could also face other problems. Therefore, banks avoid opening an account for the unregistered or unregulated forex brokerages.
- It is better to have an authentic forex license from a jurisdiction so that in future you might not have to face any such problems. Planning to run a business for a longer period of time needs a lot of investment; monetary investment as well as you are also required to have patience and above all, you should be ready enough to invest your time. In order to build a good client’s trust and loyalty, it is very important to run a business that is authentic and trustworthy and follows all the judiciary guidelines in order to avoid any banking or any sort of further challenges.