Scary Fraud and Identity Theft Statistics That Will Haunt Your Halloween

Published: October 25, 2024

As the days grow shorter and Halloween approaches, there’s more to be wary of than just things that go bump in the night. Financial fraud and identity theft continue to rise each year, impacting millions of unsuspecting people. This Halloween, let's shed light on some chilling statistics about fraud and identity theft to help keep you safe and secure.

1. $10.3 Billion Lost to Fraud in 2023

In 2023, Americans reported a record-breaking $10.3 billion in losses to fraud, according to the Federal Trade Commission (FTC)—a haunting jump from previous years. To avoid adding to this frightening figure, monitor your financial statements, sign up for account alerts, and be cautious with calls or messages that ask for personal details.

2. Nearly 1 in 3 Americans Fell Victim to Identity Theft

Nearly one-third of U.S. adults reported experiencing identity theft in 2023. Thieves are constantly lurking, ready to pounce on personal information to create fake accounts, drain savings, or even take out loans in someone else’s name. Protect yourself by using strong passwords and enabling multi-factor authentication on your accounts.

3. Social Media Scams: $1.4 Billion in Total Losses

Scams initiated through social media platforms resulted in the highest total losses across scam types, amounting to $1.4 billion in 2023—a $250 million increase from 2022. From fake giveaways to ads for products that never arrive, scammers are eager to take advantage. Think twice before clicking on tempting offers; not every treat is safe.

4. Younger Adults at Higher Risk of Social Media Scams

People aged 20-29 reported the highest number of social media scams, which makes sense given their frequent use of platforms where scammers operate. Social media scams target younger users with flashy ads or tempting giveaways, especially during high-traffic periods like holidays. Share these cautionary tales with younger friends and family members to keep them safe.

5. Older Adults Lose More Per Incident

While younger adults (ages 20-29) reported losing money to scams more frequently, older adults (ages 70+) suffered the highest per-person losses. These age-related trends emphasize the need for fraud awareness across all generations. Remind older family members to stay alert to scams, as they are particularly vulnerable to significant losses.

6. Email: The #1 Contact Method for Scammers

In 2023, email was the top way scammers reached their victims, often by impersonating a trusted business or government agency. This method has become increasingly effective, as emails can look convincing enough to bypass suspicion, resulting in widespread financial and personal information theft. Remember, legitimate organizations will rarely ask for sensitive information via email, so avoid clicking on links or sharing details unless you are 100% certain.

7. Average Per-Person Loss of $1,480 from Phone-initiated Scams

Although social media scams have grown in prevalence, phone scams still cause the highest per-person financial losses. In 2023, people who fell victim to phone-based scams lost an average of $1,480 each. This method often involves scammers posing as government officials, tech support, or loved ones in distress. Consider using call-blocking apps and be wary of unsolicited calls.

8. Cryptocurrency Scams Continue to Rise

Cryptocurrency, a common scam payment method, showed a significant surge in 2023, with total losses reaching $1.41 billion. Cryptocurrency transactions are typically irreversible, making it easier for scammers to disappear with victims' money. Be skeptical of crypto investment opportunities from unknown contacts or “urgent” messages to buy into a deal—most are just tricks to part you from your funds.

9. Losses from Prize, Sweepstakes, and Lottery Scams Increase Among Seniors

Older adults, especially those over 70, are highly vulnerable to “too good to be true” scams, particularly involving prize or sweepstakes winnings. In 2023, seniors reported some of the highest losses in these scam categories. Encourage older family members to verify the authenticity of any sweepstakes or prize notifications and to never send money to claim “prizes”.

Protect Yourself Against These Frights

Set up account alerts to receive alerts for suspicious activity.
Enable multi-factor authentication (MFA) wherever possible.
Check your credit report regularly for ghost accounts or unfamiliar charges.
Be cautious on social media and avoid sharing sensitive information.

Join Us for Our Upcoming Webinar:

Spooky Scams: Beware the Frights of Financial Fraud!

Wednesday, October 30 | 6:00 PM ET

From “Phantom Phishers” to “Zombie Debt Collectors,” we’ll explore the scariest scams lurking in your inbox and teach you how to protect yourself from these financial frights. Don’t let these spooky schemes haunt your finances—learn the tricks to avoid getting tricked!