In short
- Recovery scammers target people who've already lost money.
- They pose as lawyers, regulators, police or "blockchain investigators".
- Any request for an upfront fee to recover funds is a red flag.
How recovery room scams work
Victim lists are shared and sold between fraud groups. Weeks or months after a loss, you're contacted by someone who knows details of your case and claims they can get your money back. They ask for a fee, a "tax", or a deposit to "unlock" the recovered funds. Once paid, they disappear — or come back asking for more.
Common disguises
- A "law firm" specialising in forex or crypto recovery
- Someone claiming to be from the FCA, a court or the police
- "Blockchain tracing" experts who say they've located your crypto
- The original "broker" offering a compensation scheme
How to protect yourself
- Never pay an upfront fee to recover lost funds.
- Don't install remote-access software or share ID documents.
- Verify any firm independently — solicitors can be checked with the Solicitors Regulation Authority, financial firms on the FCA register.
- Use legitimate routes: your bank, Action Fraud, and the Financial Ombudsman for FCA-authorised firms.
Frequently asked questions
Do fund recovery companies work?
Be very cautious. Many 'recovery' firms contacting victims are scams. Your bank, Action Fraud and, for FCA firms, the Financial Ombudsman are the legitimate routes, and they don't charge upfront fees.
Would the FCA contact me to recover money?
The FCA doesn't call people offering to recover lost money for a fee. Calls claiming to be from the FCA asking for payment are scams.
CFDs and spread bets are complex instruments and come with a high risk of losing money rapidly due to leverage. Most retail investor accounts lose money when trading these products. You should consider whether you understand how they work and whether you can afford to take the high risk of losing your money.