The FTC revealed that losses linked to social media scams have increased eightfold in recent years.
These scams now account for higher financial losses than any other contact method used by fraudsters.
Nearly 30% of victims who reported losing money said the scam began on social media platforms.
Among platforms, Facebook recorded the highest number of reported losses. Users reported losing more money through Facebook scams than through text messages or emails.
WhatsApp and Instagram ranked second and third, though at a significantly lower scale.
Shopping scams dominate reports
The FTC report shows that shopping scams were the most common type of fraud on social media in 2025.
More than 40% of victims said they purchased items after seeing ads online. These ranged from clothing and cosmetics to car parts and even pets like puppies.
Many users were redirected to unfamiliar websites, while others ended up on fake versions of well-known brands offering unusually large discounts.
Investment Scams Cause Biggest Financial Damage
While shopping scams were more frequent, investment scams caused the highest losses.
Fraudsters often lure victims through ads or posts promising to teach investment strategies. Some pose as financial advisers or create fake groups—especially on messaging platforms—with fabricated success stories.
These schemes alone resulted in losses of around $1.1 billion, according to the FTC.
Romance scams also linked to social platforms
Romance scams continue to be a major concern. Nearly 60% of victims said their interaction with scammers began on social media.
In many cases, fraudsters build trust by tailoring conversations to match a user’s profile. They later fabricate emergencies requiring money or introduce fake investment opportunities.
The FTC urges users to take precautionary steps to avoid falling victim to scams.
These include limiting who can view personal posts and contact details, avoiding financial advice from online strangers, and thoroughly researching companies before making purchases.
Users are also advised to search product or company names alongside keywords like “scam” or “complaint” to verify authenticity.
.jpg)
