NEW YORK— Scams often succeed because victims send money before they have time to stop and think, with nearly two-thirds of scam payments made within 24 hours, according to a November report from PYMNTS Intelligence, commissioned by Block. Based on a survey of 15,110 U.S. consumers, PYMNTS found 19% said they had experienced at least one scam over the past five years.
According to PYMNTS, 59% of victims sent money directly to the scammer, while 41% said they shared account details that were later used to steal funds, underscoring how quickly fraud can move once pressure tactics take hold. The report said 81% of scams involved fraudsters posing as trusted authorities, friendly strangers or personal contacts, with email and phone calls remaining the most common entry points.
PYMNTS reported that 77% of victims notified their financial institution, and those who did had far better odds of recovering their money. Among victims who reported the scam, 53% recovered most or all of their funds, compared with just 12% of those who did not report it at all, highlighting the importance of fast intervention by banks and credit unions.
The study also found scam response has a direct impact on consumer trust, PYMNTS said. Among victims who recovered most or all of their money, 90% said they believed their financial institution would help protect them from future scams, versus 70% among those who recovered nothing. At the same time, 42% of victims said they considered switching institutions after a scam, while 19% said they actually did.
By generation, PYMNTS found Millennials were the most likely to report being scammed, at 24%, while Baby Boomers and seniors were the least likely, at 14%. For Gen Z victims, 24% said the scam first reached them through social media, suggesting fraud patterns are evolving even as the core playbook—urgency, impersonation and speed—remains the same.