WASHINGTON— Reports from older adults who lost $10,000 or more—often their entire life savings—to scammers impersonating government agencies or businesses have more than quadrupled since 2020, according to new analysis from the Federal Trade Commission.
The fraudsters trick victims into transferring money under the false promise of protecting it, when in fact, they’re stealing it.
The FTC’s latest Consumer Protection Data Spotlight shows a huge jump in losses reported by people 60 and over to these types of impersonation scams in the last four years. Most notably, combined losses reported by older adults who lost more than $100,000 increased eight-fold, from $55 million in 2020 to $445 million in 2024. While younger consumers also have reported these scams, older adults were much more likely to report these extraordinarily high losses.
According to the FTC, the scams generally involve someone contacting consumers to alert them to a fake and urgent problem and then proceeding to try to persuade them to transfer their money to “keep it safe” or for some other false reason. In reality, the money is being sent to the scammers.
The lies these scammers tell, the FTC said, generally take three forms:
- Lie #1: Someone is using your accounts: The scammers claim to be from your bank or a well-known company like Amazon and are contacting you to flag suspicious activity on your account
- Lie #2: Your information is being used to commit crimes: Scammers claim to be a government officer warning that your Social Security number or some other information is being used to commit a crime such as drug smuggling or money laundering
- Lie #3: There’s a security problem with your computer: These scams often start with a fake on-screen security alert that looks like it’s from Microsoft or Apple with a number to call. If you call, they say your online accounts have been hacked.
“Ironically, some scammers even pretend to be with the FTC and tell people to transfer money out of their accounts, deposit cash into Bitcoin ATMS, and even hand off stacks of cash or gold to couriers—actions the FTC would never ask people to do. Regardless of the fake story, the goal is generally the same: to get your money. To avoid such scams, the FTC recommends,” the agency said.