They seem to infiltrate every aspect of our online lives: shopping, job hunting, investing, and even dating.
They’re internet scammers, and their field of opportunity is exponentially bigger now that we’re so digitally connected. Over 60% of adults in the U.S. get a scam phone call, email, or text at least weekly, and in many cases it’s a daily reality, according to a newly released Pew Research survey. One in five (21%) reported losing money to an online scam or attack.
In fact, internet crime led to a record $16.6 billion in reported losses last year — a 33% spike from 2023, data from the FBI’s Internet Crime Complaint Center shows. The average loss per complaint was over $19,000.
So, when are we most vulnerable?
For starters, many scams try to exploit job seekers or those in need of income. Scammers post fake listings dangling amazing-sounding offers that require some kind of payment to access.
Or, they offer work doing things like “optimization” or “product boosting” online, only you need to pay to get the assignments. They even prey on legitimate new hires by posing as their new boss in urgent need of their financial information or their help buying gift cards. (How’s that for a reason not to share the news of your new job on social media.)
In other cases, scammers are claiming you broke the law in some way. You missed jury duty, have unpaid parking tickets, or are behind on your taxes. The common denominator is always urgency, and the threat of harsh consequences if you don’t pay right away.
Online shoppers also continue to be a target, whether it’s with scam refund notices (like this recent Amazon phishing scam) or counterfeit retail websites selling merchandise that’s fake or never arrives. Thirty-six percent of respondents in the Pew Survey said they’ve been burned by the latter.
And then there are the sweetheart scams: Charming con artists who deploy fake online dating profiles or AI bots to forge a romantic connection on social media. They may say they need money because they’re sick or hurt. Or they offer to help you invest your money.
So what? Knowledge is power when it comes to protecting your money. Even though today’s scammers are leveraging personal data collection and artificial intelligence to try to fool people, most online scams have a few red flags in common. And extra vigilance goes a long way if you stick to these basic principles:
• Avoid the click trap. Even if a text or email appears to come from a company you do business with, tread carefully. If an offer seems too good to be true, or the company is asking you to update account information, do not click. Head directly to the provider’s main website, log into your app, or contact customer service to determine if it’s a fake operative.
• Be wary of payment preferences. If you’re asked to make payments in cryptocurrency, prepaid gift cards, or through a wire transfer, it could be a scam. Crypto was used to facilitate the crimes that led to $9.3 billion of last year’s internet losses, according to the FBI data. That’s a 66% increase from 2023.
• Take it slow. Legitimate organizations will give you time to make a decision. If you’re feeling pressured to act quickly, it’s probably a scam.
• Stay alert. No matter how clever a scammer is, you take away their power if you can see them coming. Sign up for consumer alerts from the FTC and use Google’s Safe Browsing Tool to stay one step ahead of the next online hoax.
Related Reading
How to Avoid Falling Victim to Online Scams on Social Media Platforms (PNI Atlantic News)
A Guide to Common Bank Scams, Frauds, and How to Avoid Them (SoFi)
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