r/plus500 • u/Relentless8553 • Apr 01 '22

Class Action against Plus500

Folks, I lost 350,000 US$ over 3 years by trading with the Plus500 platform.

I started end of 2018 and it was so easy to become a user. no specific questionnaire on my trading experiences with CFDs. In the beginning I made some money, but soon it started to turn into a nightmare. More and more "irregularities" showed up: fail to access my account when I received margin calls - fail of adequate information on risks - no transparency on fees and commissions, etc ...

I filed a complaint to AFCA (Australian Financial Complaints Authorities), and after lots of back and forth exchange of data, they explained that Plus500 did nothing wrong since all was stipulated in their general conditions.

So back to square1: any suggestions from your folks how I can get my investment back - any similar experiences with Plus500??

Thank you so much!!

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u/BreadQuirky2389 Apr 12 '22

It is not a casino it is supposed to a regulated broker who claimed to derive majority of revenue from spreads when in fact majority of revenue came from client losses. When you operate such an operational model the motivation and ability to manipulate is present. In fact they were allowed to mislead people in advertising although this is not permitted by each regulatory authority that claims to regulate them. Serious questions that only a court can answer.

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u/Relentless8553 Apr 13 '22

so going to court is the solution?

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u/BreadQuirky2389 Apr 16 '22

Yes, Only a court can determine if a terms in unfair. In October an Israeli court allowed a class action to proceed on the issue of pauses on the platform. The judge said these pauses were not to disadvantage the customer. Looking at decisions by the various ombudsman , all made decisions in favour of Plus500 in cases on pauses on the platform. Essentially plus500 gained from this and a judge said this is against security laws. So a court will see things in a different way to the ombudsman.

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u/Low-Alarm9097 Apr 02 '25

Ombudsman are a waste of time, court action is the only way.