Investment and imposter scams: What they are and what to do about them
Teach your staff about these common fraudulent schemes, plus how to protect members and themselves.
According to the latest Federal Trade Commission data as reported by the fraud prevention education program First Line of Defense, the number of reported scams in 2022 decreased by half a million compared to 2021; however, the total loss increased. In 2022, people reported losing $8.8 billion to scams, $2.6 billion more than 2021.
Of the total loss, investment scams were responsible for $3.8 billion in losses. That’s more than double the total reported losses to investment scams in 2021 and more than any other scam in 2022.
There also was a notable increase in business-focused imposter scams, with total reported losses of $660 million in 2022. In comparison, business imposter scams were responsible for $453 million in losses in 2021 and $196 million in 2020.
Your staff may have questions about investment and imposter scams, including what they comprise, who is most likely to fall prey to them, what would be an example of each and what can be done about them.
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