The U.S. Federal Trade Commission (FTC) has released alarming statistics, revealing that approximately 2.6 million people fell victim to fraud in 2024, resulting in a staggering $12.5 billion in losses. This marks a significant increase from 2023, when the FTC received roughly the same number of reports, but with losses totaling only $2.5 billion.

The most common method of contact used by scammers was social media, although the FTC did not provide a breakdown of which platforms were most frequently exploited. Impostor scams, where fraudsters pretend to be romantic interests, family members in distress, government entities, or technical support experts, were the leading cause of financial losses.

These scams often rely on creating a sense of anxiety and urgency, which can catch even the most vigilant individuals off guard. In some cases, the scams can be extremely convincing, as seen in the example of a French woman who was swindled out of $800,000 by someone pretending to be the actor Brad Pitt.

Financial columnist Charlotte Cowles shared her own experience of being scammed out of $50,000 in cash, highlighting the sophistication of these criminals in fabricating crises that can destabilize people enough to part with their savings. Cowles' essay demonstrated that scams can affect anyone, regardless of age or tech savviness.

Contrary to popular belief, the FTC's data shows that people aged 20-29 were more likely to lose money to scams than those above the age of 70. However, when the elderly did fall victim, they tended to lose more money than other age groups.

Some types of scams have remained popular over the past decade, while others are rapidly gaining traction. Job and business opportunity scams, for instance, nearly tripled in number of reports between 2020 and 2024, with losses increasing from $90 million to $501 million during the same period.

Traditional bank transfers were the most common method used by scammers, resulting in around $2 billion in losses, closely followed by cryptocurrency payments, which accounted for $1.4 billion in losses.

The rise of AI deepfake technology poses a new threat, as scammers may soon be able to mimic the voices of people's loved ones, enabling more targeted attacks. This underscores the importance of verifying the authenticity of calls and messages, especially those requesting urgent action or sensitive information.

The FTC's report serves as a stark reminder of the need for increased vigilance and awareness in the face of evolving scams. As the threat landscape continues to shift, it is essential for individuals to stay informed and take proactive measures to protect themselves from these types of fraud.