About 4 out of 5 people say they are too smart to be scammed. Most also believe they’re better than others at spotting scams. Yet, scams work — and they’re more prevalent and profitable than ever before. In fact, every 15 seconds, someone’s getting scammed.
Each year, that’s billions lost. Seniors alone lose at least $2.9 billion a year to con artists. And they aren’t even the most vulnerable marks. Millennials are.
So, why are financial scams more rampant and lucrative than ever before? Technology and the internet have been key. They’ve given scammers a better smokescreen and a global reach. They’ve also made it easier to perpetrate mass fraud schemes.
Beyond having better tools, scammers also have better prey these days. The uncertainties of the day have made it easier to manipulate and con people. After all, we’re naturally averse to uncertainty. It scares us. It makes us desperate for stability and impulsive when a golden opportunity seems to arise.
That’s an ideal combination for scammers. And it’s why financial fraud spiked during the pandemic, just like it did during the Great Recession of 2008. That paints a dark picture, but it’s not all bad news. If you know what modern cons look like, you can easily spot and avoid them.
What Multi-Billion Dollar Scams Look Like (Top 5 Money Scams):
- Imposter Scams
- Identity Theft
- Shopping Scams
- Job Opportunity Scams
- Prize Scams
You never know when or how you may be targeted by a scam. Click here to take a look at our recent newsletter for some great tips on avoiding becoming a victim of a money scam.