Is TorFX safe?

Claire Millard
Ileana Ionescu
Last updated
28 February 2022

**TorFX is a specialist currency broker, offering international payments and currency risk management solutions to individuals and businesses. If you’re considering using TorFX for an international transfer, you probably have one question on your mind: is TorFX trustworthy? This guide covers all you need to know.

Quick Summary

  • International transfer and currency services available via brokers

  • UK services are authorised and regulated by the FCA

  • Account verification, security questions and password required

  • Regulated business services with award winning customer service

  • TorFX holds the highest possible UK credit rating

Is TorFX safe?

Sending money with TorFX is safe. We’ll move into the details of exactly how TorFX keeps customers and their money safe in just a moment. First, let’s start with an overview of some key facts and figures about TorFX:

  • Regulators: Financial Conduct Authority (FCA) in the UK, and other global regulators as required by law
  • Established in: 2004
  • Customer numbers: 325,000
  • Volume of transfers: 7.5 billion GBP/year

TorFX is regulated by the UK’s FCA. For customers based in or sending payments to the EU, TorFX is also registered and regulated under the name Currencies Direct Spain. Currencies Direct Spain is regulated by the Bank of Spain.

Additionally, companies like TorFX need to be licensed and regulated according to local laws in any other country in which they operate.  Examples include FINTRAC in Canada, or AUSTRAC in Australia.

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How is TorFX regulated?

TorFX is licensed in the UK under the FCA as an Electronic Money Institution (EMI). As an EMI, TorFX has to follow strict rules to keep customers' money safe. One key fact is that customer funds are safeguarded - this means they’re held separately to TorFX’s own funds for security.

TorFX customers are not covered by the Financial Services Compensation Scheme (FSCS). Under the FSCS, client funds are protected up to the value of 85,000 GBP/depositor. However, under safeguarding rules customer funds must all be held separately to TorFX’s own funds, with no cap to the amount covered. That means that if TorFX went into insolvency customers should get most, if not all, of their money back.

Read our TorFX review.

Is TorFX safer than traditional banks?

TorFX is licensed in a slightly different way to regular banks - but it's a safe company to use for international money transfers. Using a specialist service like TorFX can also mean you get a better range of currency management products and a better exchange rate when you convert currencies.

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TorFX security measures

TorFX takes steps to keep customers safe. As well as safeguarding customer funds in dedicated accounts, there are stringent verification procedures in place to make sure customer accounts and transactions are secure. It’s useful to know that TorFX holds the highest possible level of creditworthiness through a top credit rating agency. That means there’s minimal risk of any problems arising with your funds or payment.

When you set up your account you’ll need to take a variety of security steps including verification, confirmation of your phone number and setting a password and security questions.

Is TorFX legit?

TorFX is a large global organisation, managing extremely high volumes of payments and currency risk management products. Services are offered online, but also through dedicated brokers, which means you can always talk to someone if you have questions.

 Many TorFX customers are businesses and individuals sending high value payments - they trust TorFX’s strong reputation, which is backed by their high credit rating.

Is TorFX safe to transfer money?

TorFX is a safe provider to trust with your international payments. Once your payment has been arranged, you’ll send the money to TorFX, and in most cases they’ll pass it on to the recipient immediately. If funds are still with TorFX the day after receipt - while verification checks are taking place for example - TorFX is obliged to move the money to a safeguarding account under the terms of their UK licence. That ensures your money is safe, even when delays occur.

Is TorFX safe for large amounts?

With TorFX you can send one off payments from 100 GBP, or make regular overseas payments from 500 GBP to 10,000 GBP. There’s no upper limit on how much you can transfer, and many customers use TorFX for high value transfers for themselves or their businesses.

Sending a large amount with TorFX is safe. When you arrange your payment it’s worth checking what verification documents may be required. The verification processes in place vary based on both local laws and the laws in the destination country. That means you may need to provide additional documents, even if you’ve been through verification steps already with TorFX. Understanding in advance what paperwork may be required can help the process move more smoothly, and avoid any unnecessary delays in getting your money moving.

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Is TorFX business account safe?

Sending a business payment with TorFX is safe, and can mean you pay less in fees compared with using your regular bank. You’ll find the same range of currency risk management options available, and business customers can also transfer up to 100,000 GBP in value online.

Can you get scammed on TorFX?

Criminals do prey on victims through a range of financial service providers - meaning it’s possible you’ll get scammed on TorFX, just as it is possible a fraudster may target you via your regular bank account. However, staying safe from fraud will usually only take a few simple steps. TorFX recommend that customers think carefully before sending a payment, and consider questions like:

  • Can I prove the recipient is who they say they are?

  • Why does that person suddenly need money? Is it a genuine request?

  • Why do I need to send money to release a bigger payment?

  • Why am I being asked to pay a tax I’ve never heard of?

Can I avoid falling victim to fraud?

Taking simple precautions is all you usually need to prevent fraud and avoid scams. Take a few moments to consider and challenge if you’re asked to send money or hand over personal data - if you’re being pressured to act fast that’s a red flag. Anyone who is making a genuine payment request will be able to provide you with proof of their identity if you have doubts, and give a full explanation of what you need to pay and why.

If you think you’ve been the victim of fraud, contact your local police and report the issue to TorFX.

Is your personal data safe on TorFX?

TorFX is committed to keeping customer personal data safe. There’s a thorough privacy policy available which covers all the details of how information may be collected and used, and which types of data collection or use can be prevented by customers.

In broad terms, TorFX collects data directly from customers, from third parties like verification agencies, and through technological means - such as collecting user IP addresses. This customer information is used in a variety of ways, including:

  • To process payments and manage your account

  • To comply with all relevant legislation

  • To communicate with customers

  • To market new services to customers

  • To improve service provision

This type of data collection and use is pretty standard - most banks and financial service providers will do roughly the same.

What personal data does TorFX collect?

Let’s look at a few of the types of data TorFX might collect:

  • Contact information - your name, address, email

  • Financial information - your bank and card details, credit checks

  • Verification information - your government issued ID and proof of address

  • Information about your recipient - their bank details and name

  • Technological information - your IP address, browser and device type

Depending on how you set up your account and the services you need to access, TorFX may collect additional personal data. For example, background checks must be carried out to open some account types, and users who connect with TorFX through social media may give permission for TorFX to access their contacts.

Any customer data collected by TorFX is held for 5 years after an account is closed, in line with legislation.

How to get started on TorFX?

Open a TorFX account online, in the TorFX app, or by calling their customer service team. Here’s how to create an account online:

  1. Open the TorFX desktop site or app

  2. Select Open an Account

  3. Confirm if you want a business or personal account

  4. Enter your email address and create a password for security

  5. Follow the onscreen prompts to enter your personal information including phone number

  6. You’ll receive a PIN by SMS, enter this to proceed

  7. Confirm your identity - a verification process may be required

  8. Review all the details and you’re done

    The exact verification steps required will depend on the type of account you’re opening. In most cases you’ll need to provide government issued photo ID to prove your identity, and in some cases proof of address is also required. The TorFX team will talk you through any documents they need to see to make sure the process goes smoothly.

Conclusion

TorFX is regulated in the UK by the Financial Conduct Authority, and also covered by authorities overseas including the Bank of Spain. There’s a personal broker service which means that customers can always talk through high value transactions or complex currency risk management products in advance.

TorFX holds the highest available credit rating with UK credit agency Dun & Bradstreet, and follows a range of security protocols to ensure that sending payments is safe for customers.

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