Cybersecurity Policy Report, FTC Sees Rise in Number of ‘Impersonation’ Scams, (Apr 2, 2024)
The cost to victims of “impersonation” scams reported to the Federal Trade Commission more than tripled between 2020 and 2023, and scammers became more reliant on e-mails or text messages than phone calls to hook victims, according to the FTC.
“Scams that impersonate well-known businesses and government agencies are consistently among the top frauds reported to the FTC’s Consumer Sentinel Network,” the commission said yesterday in a news release.
“In 2023, data from the FTC alone show more than 330,000 reports of business impersonation scams and nearly 160,000 reports of government impersonation scams. That amounts to nearly half the frauds reported directly to the agency. Combined, reported losses to these impersonation scams topped $1.1 billion for the year, more than three times what consumers reported in 2020,” it said.
Messages about supposed suspicious activity or unauthorized charges are the most prevalent hook used by scammers, along with phony subscription renewals, fake giveaways, bogus legal troubles, or made-up package delivery problems, the FTC noted.
The FTC recommends not responding to unexpected messages and instead contacting the company or agency that supposedly sent the message and being suspicious about requests for cryptocurrency or gift cards.
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