Note: An earlier version of this article had incorrect figures regarding last year’s global scam losses, which were $1.026 billion.

This year, scammers have swindled victims around the globe out of an astonishing $1.03 trillion, as revealed in a new report.

This amount has risen from last year’s total of $1.026 trillion, based on the findings of the 2024 Global State of Scams report conducted by the Global Anti-Scam Alliance and Feedzai, a firm specializing in fraud management for financial entities.

The report analyzed responses from over 58,000 individuals worldwide.

The U.S. saw the highest losses, with each scam victim losing an average of $3,520. This was followed by Denmark and Switzerland, where victims lost averages of $3,067 and $2,980 respectively.

Positive Trends in the Report

Despite the staggering $1 trillion in losses—which may be even higher due to unreported cases of shame—there are some encouraging aspects in the report, according to Jas Anand, a senior fraud executive at Feedzai, leading the North American fraud team.

“The notable improvement lies in increased awareness and the ability to recognize scams,” Anand stated in an interview with YSL News.

According to the survey, 67% of respondents believe they can identify a scam.

“However, the troubling truth is that even with this awareness, the frequency of scams remains unaffected,” Anand noted, making the situation less encouraging.

Escalation of Scams

Here are additional insights from the global scam report:

• Nearly half of individuals worldwide face a scam at least once a week.

• Fifty percent of people surveyed reported increased exposure to scams in the last year.

• Shopping scams are the most commonly experienced type globally.

• Almost half of scams conclude within a day of first contact.

• Only 4% of victims worldwide managed to recover their lost funds.

• A significant 36% of victims experienced severe emotional distress following a scam.

• Seventy percent of victims chose not to report the scam to authorities.

Increasing Use of AI in Scams

There has been a marked rise in the deployment of artificial intelligence in scam tactics, according to Anand. This includes incidents like the grandparent scam, where fraudsters utilize social media photos to send fake mug shots or create deepfake recordings using the voice of a grandchild to solicit assistance.

“The ability to deceive individuals through AI technology has grown significantly,” he explained.

AI also played a role in orchestrating a fake meeting where deepfakes of company executives convinced an employee to transfer $20 million to scammers, Anand added.

Victims Face Significant Challenges

The revelation that fraud losses surpass $1 trillion globally is shocking yet not entirely unexpected, said Eva Velasquez, President and CEO of the Identity Theft Resource Center. Velasquez will address the Global Anti-Scam Alliance conference next week and is familiar with the report’s findings.

“Scammers have honed their skills not only in manipulation but also in forming relationships with victims, leading them to self-compromise their personal information and finances, which can escalate to six-figure sums,” Velasquez reported to YSL News.

A recent report from Velasquez’s organization also sheds light on the specific repercussions scam victims, especially those dealing with identity theft, face.

Here are some findings from a survey targeting both general consumers and those who have reported their scams:

• Fifty-two percent of surveyed consumers said their personal information was taken or misused, a rise from 30% the previous year.
• The percentage of victims contemplating suicide has decreased to 12% from a record 16% last year, but “12% is still alarmingly high,” Velasquez remarked. “Many individuals are mourning not just financial losses but also the end of relationships they believed were genuine,” she explained.
• There is a notable shift towards digital security, with a 30% increase in the use of passkeys (like face ID or fingerprints) among consumers, which Velasquez views positively as enhanced protection.
• Victims frequently experience repeated scams: 49% of general consumers report being victimized multiple times, as do 47% of those who have already suffered a scam. Velasquez expressed concern about this cycle, fearing consumer fatigue regarding safety measures.
• More victims are reporting extreme financial losses: 31% of general consumers stated they lost tangible amounts due to scams.

• Less than $500 was reported as the amount lost by 23% of victims from the Identity Theft Resource Center (ITRC), while among general consumers, the figure stood at 12%. Additionally, 23% of ITRC victims indicated they suffered losses exceeding $10,000. Velasquez pointed out that while these larger sums are striking, many fraud victims experience smaller losses that can severely impact their financial stability.

Protect Yourself from Scams

Here are some protective measures recommended by Anand and the Identity Theft Resource Center:

• Be cautious of secrecy and urgency: Scammers often create a sense of immediacy, urging you to act quickly and discreetly, which should raise a red flag, according to Anand.
• Implement multi-factor authentication: Adding two-factor or multi-factor authentication helps secure your accounts with additional verification methods such as a text code or phone call.
• Create unique passphrases for every account: Opt for a passphrase of at least 12 characters that is distinctive to you, rather than reusing an 8-character password across different sites.
• Use secure online payment methods: Only purchase from reliable websites and employ trusted payment options. When shopping on unfamiliar sites, consider using a payment method that offers dispute resolution, like a credit card or PayPal.
• Avoid links from unknown sources: Refrain from clicking links or downloading attachments from emails or texts unless you expect them from a known sender.
• Log out from accounts after use: Always log out from your online accounts or apps to prevent unauthorized access in case someone else gets hold of your device.

This article has been revised to correct an inaccurate statistic.