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Investment scams cost Americans $3.8B last year. Here's how to spot one

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Social media is full of scammers promising guaranteed returns on investment, and consumers lost $3.8 billion to them last year just in the U.S., according to the Federal Trade Commission. That's twice as much as in 2021.

NEW YORK — Social media is full of scammers promising guaranteed returns on investment, and consumers lost billions of dollars to them last year.

Financial scams, including cryptocurrency schemes, cost consumers $3.8 billion last year just in the U.S., according to the Federal Trade Commission, twice as much as in 2021. Such scams are also a problem globally. "I was hooked on this person," he said. "And at first it looked like it was working. She said, 'We could be together, you and I, and make all this money.'"

"Watch out for those endorsements," McGovern said. "And know your friends. If you get a message that seems sketchy from someone's account, especially someone you haven't heard from in a while, reach out to them on a different platform. Because someone may be spoofing them." Spoofing is a term for when a hacker disguises themselves as a trusted source.

 

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