Fraudulent Activities in Banking Wreak Havoc on Canadians

Staggering Losses Revealed by Canadian Anti-Fraud Centre

The Canadian Anti-Fraud Centre (CAFC) has reported a shocking 101,483 fraud reports involving nearly $160 million in losses last year. The majority of these reports came from Canadian consumers and businesses, resulting in a total loss of over $104.2 million.

Underreporting a Concern

According to estimates, only about 5% of victims file a fraud report with the CAFC, suggesting that the true extent of fraudulent activities may be much higher.

Top 10 Most Common Types of Fraud

Here are the top 10 most common types of fraud affecting Canadians, based on the number of reports received in 2020:

• Extortion: $12.5 million in losses
• Identity fraud: $104 million in losses (unknown total amount)
• Personal information theft: unknown amount

Financial Losses by Scam Type

The most costly scams were:

• Romance scams: $18.5 million in losses
• Investment scams: $16.5 million in losses
• Spear phishing: $14.4 million in losses

Other notable frauds included:

• Merchandise and service scams: $8.7 million in losses
• Romance scams (again): $8.5 million in losses

CAFC Advice

The CAFC emphasizes that scams soliciting personal information and phishing do not typically result in financial losses, and that most people who are victims of identity fraud are not responsible for the resulting financial losses.

To prevent fraudulent activities from occurring, the CAFC urges individuals to:

• Be cautious when providing personal information online
• Verify the authenticity of requests and emails
• Report any suspicious activity to the authorities

Conclusion

These figures highlight the need for increased vigilance and awareness among Canadians to prevent fraudulent activities from occurring. By taking these simple precautions, we can all play a role in reducing the impact of fraud on our communities.