Is Interactive Brokers a Scam or Legit?

The FCA registration

Regulator	FCA
Licence number	208159 ✓
Registered entity	Interactive Brokers (U.K.) Ltd
Status	Authorised
Register	register.fca.org.uk
Years regulated	48+

What FCA regulation means for you

FCA-regulated brokers must keep client funds in accounts segregated from company funds, provide negative balance protection, and contribute to the Financial Services Compensation Scheme (FSCS), which covers up to £85,000 per client if the broker becomes insolvent.

All regulatory licences

Interactive Brokers holds 7 regulatory licences across different jurisdictions. The entity that applies to your account depends on your country of residence.

Regulator	Licence	Entity	Max leverage
FCA	208159	Interactive Brokers (U.K.) Ltd	1:30 max
FINRA	0258597	Interactive Brokers LLC	1:50 max
ASIC	453554	Interactive Brokers Australia Pty Ltd	1:30 max
MAS	200208570R	Interactive Brokers Singapore Pte Ltd	1:20 max
JFSA	東京都知事（金商）第2516号	Interactive Brokers Securities Japan Inc	1:25 max
SFC	AEJ529	Interactive Brokers Hong Kong Ltd	1:20 max
SEBI	INZ000217730	Interactive Brokers (India) Pvt Ltd	1:5 max

How to verify Interactive Brokers yourself

Go to register.fca.org.uk. Enter the licence number 208159 or search by entity name Interactive Brokers (U.K.) Ltd. The result should show the entity name, authorisation status, and the specific regulated activities it is permitted to conduct.

This takes under a minute. If a broker cannot be found on the relevant regulator's register, that is a serious warning sign. All legitimate regulated brokers appear there.

Common complaints and what they mean

Most complaints about Interactive Brokers fall into standard categories: withdrawal processing times, spread widening during news events, and account verification requests. These are normal business practices, not indicators of fraud.

None of these patterns indicate fraud. They are the normal complaints of a commercial brokerage enforcing its terms. Real forex scams operate without any regulatory licence, refuse all withdrawals, and disappear with client funds. That is not the profile of Interactive Brokers.

Red flags that would indicate a real scam

When researching any broker, watch for these genuine warning signs:

• No licence number listed, or a licence that cannot be found on the official register
• Pressure to deposit more money to unlock withdrawals
• Promises of guaranteed returns or "risk-free" trading
• Platform that only shows profits, never losses
• No physical address or contact information
• Licence from a regulator you have never heard of that has no official website

None of these apply to Interactive Brokers. Its FCA licence 208159 is publicly verifiable, it has disclosed offices in Greenwich, CT, USA, and it has operated continuously since 1978.

Frequently asked questions

Is Interactive Brokers safe to deposit money with?

Interactive Brokers is FCA-regulated and client funds are held in segregated accounts. UK clients are also covered by the FSCS up to £85,000. This does not eliminate trading risk, but it protects funds from broker insolvency.

Why do people ask if Interactive Brokers is a scam?

Most forex scam searches come from traders who lost money trading. CFD trading is high-risk — 60% of Interactive Brokers retail clients lose money. Losing money on a legitimate platform does not make it a scam. Scams refuse all withdrawals and disappear. Interactive Brokers has processed billions in withdrawals over 48 years of operation.

Is Interactive Brokers regulated in my country?

Interactive Brokers holds licences covering 37 countries across 7 regulatory jurisdictions. The entity serving your account depends on your country. Check the full licence table above to find which entity applies to your region.

What happens to my money if Interactive Brokers goes bankrupt?

FCA-regulated brokers must hold client funds in segregated bank accounts entirely separate from company operating funds. UK clients also have FSCS protection up to £85,000.