FTC says bank impersonation is most-reported text message scam

Federal Issues Consumer Finance Fraud Consumer Protection FTC

On June 8, the FTC reported that consumers lost $330 million to text message scams in 2022, which is double the amount reported in 2021. The FTC’s recent Consumer Protection Data Spotlight found that the top five text message scams, accounting for over 40 percent of the 1,000 randomly sampled text frauds in 2022, are often impersonating well-known businesses. The data spotlight names copycat bank fraud prevention alerts, bogus “little gifts,” fake package delivery problems, phony job offers, and fake online-shopping account fraud prevention messages as the top five text message scams. With text message scam open rates at 98 percent and email scam open rates at 20 percent, scammers use the speed and cost effectiveness of text messages to their advantage, the FTC reported.