Investing Scams Are Costing Americans Billions. Here’s How to Spot Them

Americans lost billions to scams last year, with investment fraud leading the surge. Here’s how to protect yourself.

Last year, fraudsters made off with $7.9 billion from Americans who thought they were investing in something legitimate. That figure — reported to the FTC and suspected to be an undercount — makes investment scams the single costliest form of consumer fraud in the country.

This week, we break down how those schemes work and what other big scams are circulating right now.

• The $7.9 Billion Problem: In 2025, the FTC received 3 million fraud reports from consumers, totaling $15.9 billion in losses — a substantial increase from the previous year’s $12 billion. The biggest driver of those losses — responsible for nearly half (49.7%) of all fraud reports — wasn’t a new or exotic scheme, but investment scams. These schemes typically reach victims through social media, WhatsApp or online ads, and promise fast returns on stocks, forex or cryptocurrency. Sometimes the scammer poses as someone you know; in other cases, it’s a new “friend,” or romantic interest that shows up offering the investment opportunity of a lifetime. The bottom line: If someone you’ve only met online starts steering you toward an investment, that’s your cue to press the proverbial brakes.
• Jury Duty or Else: Law enforcement agencies in at least a dozen states have issued warnings this month about a scam that begins with an urgent call from someone posing as a U.S. Marshal, sheriff’s deputy or court officer. Typically, the caller claims you missed jury duty and now face imminent arrest — that is, unless you pay a fine immediately. In North Carolina, an Asheville woman lost $5,000 after a caller convinced her to pay for two fabricated arrest warrants. And in Texas, callers have reportedly been using the real names of local sheriff’s office personnel to sound more credible. Remember that courts will never call you to demand payment over the phone, and no legitimate law enforcement officer will pressure you to stay on the line or keep a conversation secret.
• Scam-and-Pay Tickets: The FTC has flagged a recent spike in reports about text messages posing as official traffic hearing notices — complete with a state seal, fake case number, scheduled hearing date and QR code to pay the fine and avoid court. To pile on the pressure, the messages lists consequences for not responding immediately, like default judgments and additional fines. Scanning the QR code leads to a fraudulent site designed to steal your credit card or Social Security number. Law enforcement agencies across the country are warning that this scheme has evolved beyond fake toll texts, where consumers receive text messages claiming their account will be suspended if they don’t settle an unpaid balance. Scammers are now sending what look like final court enforcement notices to maximize fear and urgency. If you receive a message like this, do not scan the code. Look up your state’s court website independently if you think the notice might be real, and verify through official channels only.

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The most common types of scam you should know

Scammers are constantly upping their game, coming up with new and exciting ways (for them) of fooling their targets. AI-powered scams are one example of this; the technology is being used to reach a larger number of people with increasingly more convincing schemes.

But some tricks never run out of style. Most scams fall into a handful of familiar patterns, and many long-standing schemes are still a threat today. They’ve just evolved to better fit today’s digital landscape.

1. Imposter scams: Scammers often pose as trusted figures such as government agencies, banks, employers and even friends or family to pressure victims into sending money or sharing personal information.
2. Phishing and spoofing scams:
These scams use emails, texts or phone calls that look like they’re from legitimate organizations. The goal is to trick you into clicking a malicious link, downloading malware or handing over sensitive information.
3. Online shopping scams: Fraudsters can create fake online stores or listings with hard-to-find items at unusually low prices. After you pay for an article, what you end up getting might be counterfeit — or it may never arrive in the first place.
4. Investment scams: This type of scam often arrives with promises of high returns from crypto, forex or other “exclusive” opportunities. Many involve long-term grooming tactics in which victims are encouraged to invest more over time before losing everything.
5. Romance scams: Some scammers try to get into your pocket through the heart. They build a relationship with you on dating apps or social media, then convince you to give up money and assets by fabricating emergencies or investment opportunities.

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What to do if you’re the target — or victim — of a scam

No one is immune to scams or fraud, but a few consistent habits can reduce their danger and the damage they cause.

For starters, be skeptical of unsolicited messages, especially those creating fear or urgency. This might look like an email from your bank threatening to close an account, a text from an online marketplace saying you’ll lose a discount or a call from the IRS claiming they’ll report you to the authorities unless you “act now.”

Scammers love to use this sort of language because it puts you on the spot, which they expect will move you to action.

Always verify any requests from an organization by cross-checking with its official phone numbers, email or website. And don’t click any links, download attachments or respond to messages you suspect may be fraudulent. A legitimate organization will not pressure you for instant action or secrecy.

Now, if you’ve already sent financial information or money to someone you suspect is a scammer, you’ll need to take a few steps to protect your data and possibly get your money reimbursed. Contact your bank, credit card issuer or payment platform immediately and attempt to stop or reverse the transactions. Make sure to change any relevant passwords and enable multi-factor authentication to safeguard your accounts, too.

Reporting a scam might also help protect others. You can file a report with the Federal Trade Commission and with local authorities at your nearby police department or sheriff’s office. Identity theft victims should also consider temporarily freezing their credit.

Lastly, review your financial statements and credit reports regularly, keep your software updated and limit how much personal information you share online. Scammers often rely on publicly available details to make their schemes more convincing.

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