US Consumers Lose $2.088 Billion to Fraudulent Bank Transfers in 2024

US consumers faced a significant financial setback in 2024 due to fraudulent bank transfers and payments, with losses totaling $2.088 billion. This figure marks a substantial increase from previous years, highlighting a growing trend in financial fraud. In 2020, consumers reported losses of $319.6 million, which escalated to $745.1 million in 2021, $1.58 billion in 2022, and $1.86 billion in 2023. The data underscores the escalating threat of financial fraud, particularly through bank transfers and payments.

The first quarter of 2024 saw consumers lose $508.3 million through fraudulent bank transfers or payments. This figure slightly rose to $511.1 million in the third quarter and surged to $563.7 million in the last quarter of the year. These figures indicate a consistent and alarming trend of increasing financial losses due to fraudulent activities. The data from the Federal Trade Commission (FTC) emphasizes the severity of the issue, with fraudulent bank transfers or payments being the leading cause of financial losses among payment methods in 2024.

Cryptocurrency transactions accounted for the second-highest amount of losses, totaling about $1.42 billion in 2024, a slight increase from $1.41 billion in 2023. Transactions through payment apps or services followed, with losses amounting to $391 million. The FTC plays a crucial role in combating financial fraud by sharing fraud reports with over 2,800 law enforcement agencies. While the FTC cannot resolve individual reports, the data collected is instrumental in investigating and bringing cases against fraudulent activities, scams, and bad business practices.

The escalating trend in financial fraud through bank transfers and payments underscores the need for heightened vigilance and improved security measures. Consumers must remain cautious and informed about potential fraudulent activities to protect their financial assets. The FTC's efforts in sharing fraud reports with law enforcement agencies are essential in the fight against financial fraud, but continued vigilance and proactive measures are necessary to mitigate the risks posed by fraudulent bank transfers and payments.