Topline
About 24,000 Individuals misplaced a reported $1 billion to romance scammers throughout 2021, the FBI estimated Thursday, marking what the Federal Commerce Fee mentioned was probably the most profitable 12 months for love scammers on file—with many rip-off artists luring their victims into sending cryptocurrency.
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Key Details
The FTC—which solely counts scams reported to its Client Sentinel Community, a database for scams and crimes like id theft—mentioned Thursday losses from romance scams rose to $547 million in 2021, up from $307 million in 2020 and $202 million in 2019.
About 25% of losses from scams reported to the FTC final 12 months had been paid in cryptocurrency, with the median particular person cryptocurrency loss at $9,770, and the company mentioned a rising variety of scammers have tricked victims with faux cryptocurrency funding recommendation.
Although stories of romance scams elevated for each age group, the rise was best for individuals ages 18 to 29, although individuals in that group reported a median lack of solely $750, in comparison with $9,000 amongst individuals age 70 and up, the group for whom losses had been best.
Although the variety of cryptocurrency-related scams grew virtually fivefold from 2020 to 2021, present or reload playing cards had been probably the most frequent technique of cost, utilized in about 28% of final 12 months’s scams, in comparison with cryptocurrency at 18%, cost apps or providers at 14%, financial institution transfers or funds at 13% and wire transfers at 12%, in keeping with the FTC.
Many individuals focused by romance scammers are initially contacted on relationship apps, however greater than a 3rd of final 12 months’s victims instructed the FTC they had been first contacted on Fb or Instagram.
Key Background
The precipitous improve in on-line romance scams has coincided with a pandemic-driven improve in social isolation and a reliance on know-how to fulfill social wants. Tinder customers despatched 19% extra messages per day in February 2021 in comparison with February 2020, and dialog size grew 32% over pre-pandemic ranges, the corporate mentioned. Romance scammers create faux on-line profiles utilizing pictures swiped from the net, usually creating identities with built-in excuses for not being obtainable to fulfill in particular person, equivalent to serving within the army abroad. As soon as a scammer has gained the belief of their sufferer, they could request cash to assist resolve a supposed disaster, equivalent to paying for medical remedy for a sick baby or resolving “processing charges” to launch funds that will in any other case be in jeopardy. To protect in opposition to these scams, the FBI mentioned anybody seeking to begin a romantic relationship on-line ought to “go slowly and ask a number of questions,” contemplate researching the opposite particular person’s pictures to see if they’ve been used elsewhere and keep away from sending cash, cryptocurrency or present playing cards earlier than assembly in-person.
Essential Quote
“We must be cautious about casting sure teams because the ‘pure’ victims of scams,” Sarah Rutherford, senior director of portfolio advertising and marketing, international, fraud and compliance at analytics agency FICO, instructed Forbes. “The concept of the lonely, outdated lady struggling to make use of a pc to attach with the world could make others really feel it might by no means occur to them and decrease their defenses.”
Tangent
In 2012, pioneering particle physicist Paul Frampton was arrested in Buenos Aires after checking a suitcase with 2 kilograms of cocaine hid within the lining. Frampton, who was convicted of drug smuggling in Argentina and sentenced to 4 years and eight months in jail, mentioned he was lured into turning into a drug mule by a romance scammer posing as an expert swimwear mannequin.
What We Don’t Know But
Although the FBI on Thursday revealed an approximate determine of $1 billion in reported losses to romance scammers in 2021, a exact determine won’t be obtainable till the Web Crime Criticism Heart’s annual report is finalized. Moreover, many victims of romance scams seemingly didn’t report their losses, the FBI mentioned.
Additional Studying
“How To Keep Protected From Scammers Sliding Into Your DMs” (Forbes)
