Americans reported losing a record $15.9 billion to scammers last year, a 25% increase from 2024, according to Federal Trade Commission (FTC) data. An investigation by The Associated Press and FRONTLINE found that victims frequently face difficulty recovering lost funds; of 58 victims interviewed, only one successfully obtained a refund from a bank. The FTC estimates actual annual losses in 2024 may be closer to $200 billion, or roughly $550 million per day, suggesting significant underreporting.
Current United States law generally does not hold financial institutions liable for transactions authorized by customers, even when those customers are deceived. This contrasts with policies in the United Kingdom, where banks have been required since late 2024 to reimburse most victims of authorized push-payment fraud. In the U.S., some victims reported that banks frozen or cancelled their accounts or pursued them for legal fees and loan repayments following a scam.
Tax regulations also impact the financial recovery of victims. Under a provision of the Tax Cuts and Jobs Act, made permanent in 2025, personal losses from many common scams are no longer eligible for tax breaks. Consequently, retirees who withdraw funds from tax-deferred accounts to pay scammers may still owe taxes on that income despite the theft. While President Donald Trump signed the GENIUS Act last year to regulate certain cryptocurrencies, the law did not mandate that companies return stolen funds to victims.
The scale of financial fraud affects nearly the entire U.S. population, with a poll by The Associated Press-NORC Center for Public Affairs Research finding that 98% of Americans suspect they have been targeted by scam messages. Three in 10 Americans report having personally lost money or sensitive information. Based on the FTC's $200 billion loss estimate, the impact averages out to several hundred dollars for every adult in the country annually. The 58 victims interviewed by investigators ranged from 32 to 90 years old, with individual losses spanning from several thousand dollars to $4 million.
For many, the day-to-day change includes not only the loss of savings but also immediate tax liabilities and the loss of banking services. Retirees using tax-deferred accounts may notice unexpected IRS bills for money they no longer possess. Victims who use cryptocurrency face additional hurdles, as these assets lack federal insurance and are often traded on offshore exchanges where U.S. law does not apply. Several interviewed victims reported they considered suicide following their financial losses.
The U.S. government is pursuing several avenues to address the increase in fraud. In March, President Trump signed an executive order directing the attorney general to prioritize scam prosecutions and recommend a program for victim restitution. Congress is also evaluating more than 12 bills focused on scam prevention, including requirements for AI-generated content disclosures and the creation of a centralized complaint website. The FBI's Operation Level Up has intervened to stop approximately 8,500 potential victims over nearly two years, though the agency continues to receive an average of 3,000 daily complaints through its online portal. The documentary "Scammed" is scheduled to premiere on Tuesday, September 29, 2026.