In 2017 imposter scams were the most costly type of fraud in the US

Monday 5 March 2018 14:12 CET | News

Figures released by the Federal Trade Commission’s 2017 Consumer Sentinel Network Data show that imposter scams were the most costly type of fraud.

The report identified that in 2017, although the number of fraud-related complaints was lower, the amount of money lost was higher than in 2016.

“The data book includes complaints from 2.68 million consumers, a decrease from 2016 when 2.98 million consumers submitted reports about fraud, identity theft and other types of consumer concerns. Despite this, consumers reported losing a total of USD 905 million to fraud in 2017 – USD 63 million more than in 2016.”

Debt collection remained the top consumer complaint category, representing 23% of all complaints. This is followed by identity theft at 14%. Credit card fraud was the most common type of identity theft reported by US consumers.

Imposter scams were the third most common consumer complaint. Consumers reported losing substantially more money to imposter scams – a total of USD 328 million – than any other type of fraud. Imposter scams involve someone pretending to be a government official, tech support representative, a loved one in trouble or someone else in order to get consumers to give the scammer money. Nearly one in five consumers who reported an imposter scam indicated they lost money to the fraud.

Millennials are likelier to fall victims to fraud 

According to the report, consumers in their twenties reported losing money to fraud more often than those over age 70. For example, among people aged 20-29 who reported fraud, 40% indicated they lost money. In comparison, just 18% of those 70 and older who reported fraud indicated they lost any money.

However, when older adults do fall victims to a scammer, they lose more money. According to the report, “the median reported loss for people age 80 and older was USD 1,092 compared to USD 400 for those aged 20-29.”

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Keywords: fraud trends, fraud in 2017, fraud in US, credit card fraud, imposter fraud
Categories: Fraud & Financial Crime
Countries: World
This article is part of category

Fraud & Financial Crime

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