You are using an out of date browser. It may not display this or other websites correctly.
You should upgrade or use an alternative browser.
You should upgrade or use an alternative browser.
Possible Etrade Fraud
- Thread starter tradingbug
- Start date
Quote from Sam Mcgee:
Def, I think you're a representative from Interactive Brokers. Would you know what I can do with my Interactive
Brokers accounts and computer setup to prevent any unauthorized withdrawls? If someone did take money from my account without authorization would I be liable for it?
check the IB website and you will see how difficult it is to make a fraudlent withdrawal. if you have questions go into IB live chat and connect to funds and banking room where someone from IB will chat with you.
do a little homework.
Quote from zdreg:
unfortunately it is human nature for misery to love company. i would concentrate on having a detailed plan to get my money back.
you will definitely succeed. ET definitely doesn't need the kind of pressure that you will place on them
I am not sure If you read through the whole thread. I have documented and followed the suggestions laid out before me. I have also followed my detalied plan accordingly. Take a look at my post yeterday stating i may not go to arb becuase it costs 1250 and it was only a 5 grand loss.
My queston to you was how do you know it is rare? What information do you have that sais this? I suspect this is your opinion and not really factual which is why i would like to see the facts. The more information I have, the greater the chances of getting a good understanding and better case. If you google fraud and etrade, i find lots of stuff. Is it possible that this is not rare?
One thing that I know will help from this happening to you is telling your broker that you only want funds wired to your one and only bank. This is what was suggested by etrade after they withdrew money without my consent.
There is no way that Etrade should be honoring ACH requests to transfer money to places like Russia or India when they know that the account was opened up by a US resident.
Etrade performs the functions of a bank. Their ads say that all of your investment needs can be handled by them. It seems obvious that they have not invested in the anti-fraud software that a typical bank uses.
Fraud occurs because companies are cheap about their IT. Fraud is preventable. I read that in 2006, banks and CC companies are going to have to implement special authentication procedures. This sort of fraud will be eliminated. But it won't happen unless companies are forced to. A few companies like IB already do this now, but not many others.
"In the US, federal regulators are now requiring banks to have at least two-factor authentication with their websites by the end of 2006."
http://www.theregister.co.uk/2005/10/19/internet-banking_security/
Etrade performs the functions of a bank. Their ads say that all of your investment needs can be handled by them. It seems obvious that they have not invested in the anti-fraud software that a typical bank uses.
Fraud occurs because companies are cheap about their IT. Fraud is preventable. I read that in 2006, banks and CC companies are going to have to implement special authentication procedures. This sort of fraud will be eliminated. But it won't happen unless companies are forced to. A few companies like IB already do this now, but not many others.
"In the US, federal regulators are now requiring banks to have at least two-factor authentication with their websites by the end of 2006."
http://www.theregister.co.uk/2005/10/19/internet-banking_security/
Quote from tradingbug: Take a look at my post yeterday stating i may not go to arb becuase it costs 1250 and it was only a 5 grand loss.
My queston to you was how do you know it is rare? What information do you have that sais this? If you google fraud and etrade, i find lots of stuff. Is it possible that this is not rare? [/B]
I currently have 4 accounts with E*Trade, some going back 10 years. I've never had any issues other than quibbling over where I got filled on a few trades years ago when I traded an E*Trade actively.
I suspect "problems" are fairly rare. Do you know how many clients E*Trade has? Do you know how many accounts those clients have open? How many transactions per day do they execute? Those might be good data to have if you pursue your case and you feel such "fraud" is not rare.
In your original post you stated your loss was $4000, now you say $5000. In either case it's unfortunate. But there are agreements one signs when they open an account with a broker. I believe agreeing to arbitration is a part of the agreement. If you feel you have a case, and can present evidence and/or documentation to prevail, I don't understand why you'd not pursue it, whether it costs $1250 or not. Right now you're out $4000 (or $5000). If your case is solid and you know you can prevail and it costs $1250 you recoup the $4000 to $5000. So you'd be out a total of $1250 maximum. And you may be reimbursed your arbitration fees possibly (that I'm not sure of). But if you prevail in the arbitration I could see fees possibly being reimbursed just as attorney fees are sometimes reimbursed in cases.
Last, you cannot expect a broker to insure that you have your computer properly protected. A firewall and other anti-hacker software makes sense in this day and age. If people capture your keystrokes and hack into your account that isn't the fault of any broker. If someone leaves their car unlocked and the keys in it and it's stolen the owner needs to take responsibility.
I noticed you just did a rating of E*Trade and you titled it ETRADE FRAUD. Your comments were "I traded with ETRADE 3 + years. They then stole 5 grand from my account and never fessed up to it. Their are others in the same situation as me. STAY FAR FAR AWAY UNLESS YOU WANT TO PUT YOUR MONEY AT RISK. This is dead honest. Try another firm if you want to keep your money."
To say they "stole $5 grand" is a very strong, accusatory statement. Unless you can prove such to be true you set yourself up for possible lawsuit for potentially "reckless" and/or libelous statements. That said, if you can prove it then going to arbitration would be a no brainer IMO.
To say they "stole $5 grand" is a very strong, accusatory statement. Unless you can prove such to be true you set yourself up for possible lawsuit for potentially "reckless" and/or libelous statements. That said, if you can prove it then going to arbitration would be a no brainer IMO.
take a deep breath and just go to arbitration bud... what makes u think u r going to lose??Quote from tradingbug:
SO NOW WHAT? What are the options.
A given when pondering over the options is that their is a given $1250 arbitration cost.
Since my account lost around 5 grand, its not really worth it at this point to bring it to arbitration. I am sure thats what etrade wants to hear.
this thread looks alot better than the thread below where the customer did not present all the facts. he tried to blame the broker before finally being flamed by fellow posters on ET.
http://www.elitetrader.com/vb/showt...55942&perpage=6&highlight=ib irs&pagenumber=1
http://www.elitetrader.com/vb/showt...55942&perpage=6&highlight=ib irs&pagenumber=1
Quote from DHOHHI:
I noticed you just did a rating of E*Trade and you titled it ETRADE FRAUD. Your comments were "I traded with ETRADE 3 + years. They then stole 5 grand from my account and never fessed up to it. Their are others in the same situation as me. STAY FAR FAR AWAY UNLESS YOU WANT TO PUT YOUR MONEY AT RISK. This is dead honest. Try another firm if you want to keep your money."
To say they "stole $5 grand" is a very strong, accusatory statement. Unless you can prove such to be true you set yourself up for possible lawsuit for potentially "reckless" and/or libelous statements. That said, if you can prove it then going to arbitration would be a no brainer IMO.
there is no chance he will be sued in the US for that remark alone.
this kind of nonsensical statement is usually found on yahoo message boards.
the individual in question is upset with his situation. don't add to his woes with incorrect information.